FG Mulls Investment On Coal To Power
Six Under Consideration to Replace Sanusi as CBN Governor
As the Governor of the Central Bank of Nigeria (CBN), Mallam Sanusi Lamido Sanusi, prepares to step down in June 2014, frontline contenders for the job have started to emerge, investigations by THISDAY have revealed.
The foremost contenders in consideration can be put into two groups comprising three outsiders, who will steer a new direction for CBN and its monetary policies.
They are the Managing Director/Chief Executive Officer, Asset Management Corporation of Nigeria (AMCON), Mr. Mustafa Chike-Obi; the Group Managing Director/Chief Executive Officer, Access Bank Plc, Mr. Aigboje Aig-Imoukhuede; and Managing Director/Chief Executive Officer, First Bank of Nigeria Limited (FBN), Mr. Bisi Onasanya.
The second group are insiders who share similar views with Sanusi on monetary policies and are expected to ensure continuity.
They are the three Deputy Governors of the CBN: Dr. Kingsley Moghalu, Mr. Tunde Lemo and Dr. Sarah Alade.
Whoever succeeds Sanusi next year will be the 11th central bank governor in Nigeria, following in the footsteps of Roy Pentelow Fenton (1958 – 1963); Alhaji Aliyu Mai-Bornu (1963 – 1967); Dr. Clement Nyong Isong (1972 – 1975); Mallam Adamu Ciroma (1975 – 1977); Mr. Ola O. Vincent (1977 – 1982); Alhaji Abdulkadir Ahmed (1982 – 1993); Dr. Paul A. Ogwuma (1993 – 1999); Chief (Dr.) Joseph O. Sanusi (1999- 2004); Prof. Chukwuma C. Soludo (2004 – 2009); and Mallam Sanusi Lamido Sanusi (2009 to date).
As specified in the CBN Act 2007, the central bank governor is in charge of the official bank of the Federal Government of Nigeria and provides economic advice to the federal government.
Apart from appending his signature to every denomination of Nigeria’s currency, the governor among other duties, oversees the country’s banking sector.
Alongside the Monetary Policy Committee of the CBN, the governor also determines the monetary policies of the country, which have an impact on the financial system and the macroeconomy.
In a country aspiring to attract investments, create jobs and plug the infrastructure deficit, a major consideration when appointing a central bank governor is understanding his economic philosophical underpinnings.
Will the central bank governor’s monetary policies be targeted at attaining price stability and bolstering the local currency that will be driven by a tight monetary policy stance as epitomised by Sanusi or will he adopt an expansionary approach that will lower interest rates, drive investments and create jobs?
With the North holding the CBN governorship for four times, it is expected that the post will go to the South.
The contenders are:
Mustafa Chike-Obi
Chike-Obi played a huge role in the resolution of the banking crisis that almost led to the collapse of the financial sector in 2009. AMCON under Chike-Obi bought all the non-performing loans of banks which helped to restore sanity in the financial system.
In fact, AMCON’s job which was to stabilise the banking industry was even extended to the restructuring of bad debts. The corporation had over 12,000 individual bad loans to deal with and was able to approach that without the mentality of a liquidator by supporting ailing industries that were once indebted to banks.
Chike-Obi until his appointment as the AMCON’s helmsman was the founder and managing partner of Madison Park Advisors, a financial service advisory and consulting firm in New Jersey, USA, specialising in hedge fund and private equity investment advice.
He has also held senior positions in various Wall Street firms including Goldman Sachs, Bear Stearns and Guggenheim Partners, among others.
He graduated from University of Lagos with a First Class degree in Mathematics and holds an MBA from Stanford University Graduate School of Business.
Pros
• Unlike Sanusi, he will pursue a monetary policy regime that is more expansionary.
• He will work towards lowering the Monetary Policy Rate (MPR), thereby allowing more credit to flow through the banking system to create job opportunities and support SME and real sector growth.
• By his nature, he will be more accessible and transparent in the position.
• He will only be the third governor from the South-east.
Cons
• Has been absent from Nigerian banking for a while, though his role in AMCON has helped him to catch up.
• Does not fully understand the dynamics of Nigerian politics.
• Regional considerations may count against him, given that the Minister of Finance, Director General of the Securities and Exchange Commission (SEC) and CEO Nigerian Stock Exchange are from the South-east.
(This could also be a strategic calculation on the part of President Goodluck Jonathan to retain the South-east in his support base
Aigboje Aig-Imoukhuede
Aigboje Aig-Imoukhuede’s banking career spans over two decades. He spent over 10 years at Guaranty Trust Bank Plc (GTBank) and resigned in 2001 to lead a dynamic team of accomplished bankers as the Managing Director/Chief Executive Officer of Access Bank Plc, with the mandate to transform the bank into a world-class financial services provider.
Aig-Imoukhuede’s leadership inspired Access Bank’s rapid and unprecedented growth over the past eight years which have seen the bank rank amongst the top six banks in the country.
He holds LL.B and BL from the University of Benin and the Nigerian Law School respectively. Aigboje serves on the sub-committee of the Bankers Committee on Professional Ethics.
Pros
• He is a seasoned banker who understands the dynamics and workings of the Nigerian banking system.
• He is a ruthless risk manager, much in the same mold as Sanusi, but also pro-growth and in support of women and SMEs.
• He is on several technical committees at the heart of Nigerias economic transformation from banking to equity and debt.
• He is a member of the economic management team with regional and global reach.
• He will only be the second governor from the South-south.
• Like Sanusi, he can be firm.
Cons
• He will be coming with the baggage of an owner-manager of a bank that he would have to supervise. But THISDAY checks reveal that upon leaving Access Bank, he intends to divest his shares in the bank to invest in a new venture.
• There might be a strong lobbying against him by the oil marketers who he indicted.
Bisi Onasanya
Mr. Bisi Onasanya, a fellow of the Institute of Chartered Accountants of Nigeria (ICAN), has been the Managing Director/Chief Executive Officer of First Bank of Nigeria Limited (FBN) since April 2009. Onasanya also serves as Chairman at Kakawa Discount House Limited.
Onasanya boast over 23 years post-qualification experience and until his appointment as MD/CEO of FBN, was Executive Director, Banking Operations and Services. He joined FBN Holdings Plc (formerly known as First Bank of Nigeria Plc) in 1994 as a Senior Manager and was previously Deputy General Manager/Group Head, Finance and Performance Management Department, Coordinator, Century 2 Enterprise Transformation Project, as well as founding MD/CEO of First Pension Custodian Nigeria Limited, a subsidiary of FBN Holdings Plc.
Pros
• Would be bringing a wealth of experience garnered in the banking and financial services sector.
• If pedigree is anything to go by, Onasanya will be following in the footsteps of Joseph Sanusi and Sanusi Lamido Sanusi, who were previously managing directors of FBN, Nigeria’s oldest bank.
• His appointment will assuage the feelings of marginalisation in the South-west under Jonathan.
• He will only be the third governor from the South-west.
Cons
• The choice of another CBN governor from First Bank could raise eyebrows over the reluctance by government to beam its searchlight on other banks (although Ogwuma was from Union Bank of Nigeria Plc).
• He is not an economist.
• He is by nature insular and may be less accessible.
Kingsley Moghalu
Kingsley Moghalu has been the Deputy Governor, Financial System Stability since 2009. He led the implementation of far-reaching reforms to enhance the quality and stability of banks and other financial institutions, the management of systemic risk to Nigeria’s banking system.
Moghalu is a member of the Board of Directors, the Monetary Policy Committee, and the Committee of Governors of the CBN, and is also a member of Nigeria’s Economic Management Team. He is a member of the board of directors of AMCON.
He obtained an LL.B (Honours) degree in Law at the University of Nigeria, Nsukka in 1986, a BL from the Nigerian Law School, Lagos, an M.A. from The Fletcher School of Law and Diplomacy at Tufts University, USA, and a Ph.D in International Relations from the London School of Economics (LSE) at the University of London, UK. He also obtained an International Certificate in Risk Management from the Institute of Risk Management, London, UK.
Pros
• He contributed significantly to the resolution of the banking crisis which is vital for the job.
• He is experienced in risk management.
• His experience as a deputy governor of the central bank could work in his favour.
• He will only be the third governor from the South-east.
Cons
• Although it should not matter for a job that requires a keen sense of economic management, regional considerations may count against him.
• The presidency may be more favourably disposed to looking for Sanusi’s replacement from outside the CBN.
Tunde Lemo
Lemo, who is currently the Deputy Governor Operations, has been a deputy governor at the CBN since 2004. He is presently driving the industry-wide shared services initiative towards achieving efficient banking services with 30 per cent cost savings for the Nigerian banking industry and greater penetration of banking services. Prior to this, he was Deputy Governor, Financial Systems Surveillance. He is an experienced and versatile public officer and financial manager.
Prior to his appointment as deputy governor, he had led the transformation of Wema Bank Plc as MD/CEO between 2000 and 2003 resulting in the bank’s performance which ranked it as one of the top 10 most profitable commercial banks in Nigeria in 2003.
He is a fellow of the Institute of Chartered Accountants of Nigeria as well as fellow of the Chartered Institute of Bankers with significant leadership and top management experience in both the public and private sectors spanning over 26 years. He obtained a First Class Bachelor of Science degree in Accountancy from the University of Nigeria, Nsukka in 1984 where he won seven academic laurels, including the best overall graduating student in the faculty.
Pros
• If appointed, he will be coming to the position with extensive banking experience, reinforced by his experince at the central bank.
• Although it should not matter for a job that requires a keen sense of economic management, regional considerations may work in his favour.
• He will only be the third governor from the South-west.
Cons
• Some have continued to question the role he played under the former CBN governor, Professor Chukwuma Soludo, when the rot in the banking system was not uncovered.
• The presidency may be more favourably disposed to looking for Sanusi’s replacement from outside the CBN.
Dr. Sarah Alade
She has been the Deputy Governor, Economic Policy since 2007. She attended the University of Ife, Ile-Ife (now Obafemi Awolowo University) where she obtained a B.Sc (Hons) degree in Economics in 1976. She also obtained an M.Comm degree at the University of Melbourne, Melbourne, Australia in 1983 and a Ph.D in Management Science (Operations Research) from the University of Ilorin in 1991.
She joined the CBN in 1993 as an Assistant Director in the Research Department where she served as Head, State Government Finance Office (1993-1996), Head, Federal Government Finance Office (1996-2000) and Head, Fiscal Analysis Division (2000-2004).
Alade has served on the teams of major economic policy studies, and has been involved in the preparation of the CBN’s Monetary and Credit Policy Proposals over the years. She was actively involved in the drafting of the Medium-term Economic Programme (MTP) for Nigeria and the IMF staff Monitored Programme/Standby Arrangement.
Pros
• If appointed, she will be the first female CBN governor.
• She is a qualified economist.
• Regional consideration may favour her.
• Her experience as a deputy governor of the central bank could work in her favour.
• She will only be the third governor from the South-west.
Cons
• The presidency may be more favourably disposed to looking for Sanusi’s replacement from outside the CBN.
• Some could question the role she played under the former CBN governor, Professor Chukwuma Soludo, when the rot in the banking system was not uncovered.
Source:This Day Online
‘Why We Introduced The Spokesperson Magazine’
Mr. Yushau Abdulhameed Shuaib has been a spokesperson of various institutions and bodies since his undergraduate day in Bayero University Kano where he was Public Relations Officers of the Mass Communication Students Association (MACOSA). After a successful National Youth Service he won several awards including scholarship and automatic employment in public service. The awards enabled him to serve as PR Man in Government House Delta State and later various federal government agencies including Ministries of Information, Finance, Health, NASS, RMAFC and NEMA. A holder of Master in Online PR from the University of Westminster, Shuaib belongs to various professional bodies in Nigeria and abroad. An author and blogger, Shuaib, in this chat with KABIR ALABI GARBA speaks about the new publication and rationale behind its birth including strategies being adopted to market it. Excerpts:
THE Spokesperson, your new effort at promoting art of public communication and image making, what is the motivation for this?
It is actually influenced by the success of PRNigeria platform, the first online interactive forum for Public Relations Practitioners in Nigeria. As you may be aware, the PRNigeria Online Forum was created in 2007, using the Yahoo Groups Mailing tool for interaction and exchanges of ideas and knowledge among PR practitioners, communication experts, professionals in integrated marketing communication and students of Mass Communications. May training at home and abroad are also centre on communication discipline. I had always planned to share some of the training and experiences with others because of the dynamism of the profession.
Do you think publishing a PR magazine will satisfy restlessness of a PR expert who, in the last two decades, had been in the service of various government establishment?
To be very very sincere with you I never had an interest to work in the civil service. When I accepted automatic employment awards I thought it could be for a short while, but the challenges of my responsibilities then propelled me to work harder in proving my worth. When I went to University of Westminster for Master in Public Relations with bias with bias on Online PR, my plan was to return to Nigeria and retire from public service. My family and very close associates were aware of this but I met another challenge on the ground, disaster management, where timely and adequate information should be provided. My interest has always been to be in academics, journalism, PR consultancy and publishing. So far I have been enjoying myself with the new enterprises and working with young chaps that are well educated, smart and daring to excel.
Now that you have joined the private enterprises as publisher, what experience are you bringing to lift the practice.
I have always being a writer and blogger syndicating press releases and opinion articles to the media even at the critical period of my life whenever unfortunate altercations with Ogas-At-Top. I have personal blog that is more than 10 years old and I have moderated some professional mailing list groups and online interactive platforms free-of-charge. Therefore I can said that those services that one had provided for free would now be more refined, standardised and improved upon based on international standard at reasonable and affordable fees. We have PRNigeria portals for Press Release distribution and for professional resources.
Who are the target audience of the Spokesperson Digest.
We believe strongly that officers and practitioners in the public service, private sector, politics, academia, media and students will find the magazine a valuable asset for image building and crisis management.
What are the distribution and the Marketing Strategies?
Like I said early, the monthly publication is by subscription only and more copies will be produced on demand because of the flexibility of the printing machine and versatility of the current staffs. Rather than selling products at newsstands or on the street, the magazine size, smaller to the conventional magazine by half, will surely appeal to busy readers who will find its contents and size irresistible. We are also utilising Direct Marketing techniques of reaching the potential and prospective readers and advertisers by direct communication through emails, text messages, phone calls and the industry’s websites.
Don’t you think the print media market is already saturated to accommodate specialised publication such as spokesperson?
Saturated… I doubt. If the social media, online blogs and websites are yet to be saturated to prevent new comers who create website by the second, print publication require more dedication, skills, expertise, equipment and resources before one can venture in. One must be very very serious before going into publication because you may fold within a short time if you have no business plan. Let me add that we recently recruited outstanding graduates of Mass- communication and International relations, who are young, energetic and aggressive in the job. With our newly acquired Direct Imaging Printing Machine which prints, collates, stitches and fold sdirect from the computer, we have no problem with the printing process. While not all the information in the print edition will be online, we will ensure that online readers too have values from the web contents .
What are the specific issues the magazine will be engaging?
The Spokesperson will provide educative and informative news, features, opinions and excerpts from credible sources. It will centre on public communication, political communications, Public Relations, social media, media relations and integrated marketing communication in various varieties. In every edition, we intend to features exclusive interview, personality profile, diary of events, programmes and latest vacancies that are valuable to the readers. We will also provides in-depth reports and analyses on current issues that are relevant to communicators and sensitive information that can only be provided in the exclusive publication like telephone addresses of Who-is-Who in consultancy services and similar information for the benefit of reaching out and networking. For instance in the current edition we published the “50 influential PR firms in Nigeria” where we provide the names of the CEOs or the contact persons and their telephone numbers which cannot be provided online.
What is your target businesswise?
While we strongly believe that our target and prospective clients will be satisfied with the quality of the publication in terms of design, concept, editorial and other useful and informative contents, we will rely on subscription, advertisement and special partnership which may even be with the parent company, Image Merchants Promotion, that is into publishing, printing, web management, social media and event management. It will add value to the general portfolio of the company. The idea of the magazine is to make the contents refreshing, straight to the point with educative tips. Within the weeks of its introduction, we have received over 100 subscribers who had paid N10,000 discounted rate for one year subscription. For the advertisers, we will provide a number of complimentary copies which they may choose that we deliver on their behalf to their friends, clients or associates at no extra cost to them.
How will the publication foster professionalism and ethical standard in PR?
The introduction of The Spokesperson is to serve as another platform that will remain independent and useful sources of information on strategic communication, while updating readers with recent developments and latest technologies in the field of communication. I am glad to inform you that some professional bodies have shown keen interest in the publication and we are working towards sustain partnership in promoting basic ideals and ethics of the noble profession of public relations, journalism and other related/allied fields. We will advocate best practice, strict compliance to the ethical standard and updating readers with the latest technologies and thinking in the field of communication.
While setting up, what are the challenges? How were they surmounted? And market penetration plan?
There were initial challenges and fear that some people who may not like your face, your name or your stand may discourage potential patrons. In fact not only the fear of competition, there is also fear on the kind of operators and players in our political and social climes who may frustrate one’s efforts. There were discouraging hints or threat of the environment, but one must forge ahead if one’s subconscious mind and conscience are clear. I think we have cross the barrier. We are sincere and committed to promote the very best of ourselves, our people, our profession and our nation without any fear. We believe our professional colleagues and other readers may find our new venture a worthwhile adventure. We invite professional communicators to feel free to share their opinions, experiences and proffer suggestions in various aspects of reputation and crisis management for the benefit of all. In fact we openly welcome constructive criticism which is the yolk to success.
NCAA comes clean on N255million armoured cars, says “we have no documents of purchase”
The Civil Aviation Authority, NCAA, entangled in the controversial purchase of two armoured cars at a quarter of a billion naira [N255 million], for Nigeria’s aviation minister, Mrs. Stella Oduah, appears to be gradually withdrawing its support for the minister and is now claiming it has no documents related to the purchase of the cars.
This appears a veiled way of coming clean that although financial transactions between the NCAA, Coscharis Motors, and the First Bank had been concluded on the purchase, no evidence exists that the cars were ever delivered.
The NCAA made the disclosure in its reply to a Freedom of Information request by the activist lawyer, Femi Falana, who asked for full details of how the agency purchased the two cars at the directive of Mrs. Oduah.
Mr. Falana’s request, dated October 21, 2013, gave the agency the stipulated seven days to respond.
But in its reply two days after, the NCAA’s Legal Adviser, E.K Chukwuma, speaking for the director general of the agency, Fola Akinkuotu, claimed the NCAA was neither in possession of documents showing the purchase, nor was the agency with details of any previous purchase, as requested by Mr. Falana.
“I am directed to your letter dated 21st October 2013 on the above matter (Request for information on N255m armoured cars for Aviation Minister, Ms Stella Oduah) and to inform you that the Nigerian Civil Aviation Authority is not in possession of any document relating to the purchase of armoured cars for the Aviation Minister, Ms Stella Oduah,” the agency was quoted as saying.
“With regard to your request for records of previous purchase of armoured cars by the Aviation Ministry or NCAA, I am to inform you that the Nigerian Civil Aviation Authority does not have such records.”
The NCAA’s claim builds a new kind of pressure on Mrs. Oduah, billed to appear before House committee on aviation, on Tuesday, the same day she is expected to return from Israel as part of a delegation of President Goodluck Jonathan.
The new shocking claim is contradictory of its stand on the scandal all along. The agency had addressed a press conference where it sought to justify the purchase and back Ms. Oduah.
It claimed it bought the cars for the use of the minister and visiting dignitaries. It also insisted to the House of Representatives Committee on Aviation that the purchase of the cars followed due process.
Investments in Onne Oil, Gas Free Zone hit $4.2b
THE Onne Oil and Gas Free Zone (OGFZ) recorded $200 million more in investments this year, Industry, Trade and Investment Minister Olusegun Aganga has said.
According to the minister, this was in addition to about $4 billion capital investments recorded so far by the OGFZ, adding that the development was positive for the economy in the face of global economic challenges.
Aganga spoke at the second edition of the Nigeria Oil and Gas Investment Forum, in Onne, Rivers State with the theme: “Investment Opportunities in the Upstream and Downstream Sectors of the Oil and Gas Industry.”
The minister said: “The Onne Oil and Gas Free Zone has done very well, with additional investment of $200 million added in 2013, to the $4billion capital investment reported so far.
“This is indeed a remarkable progress when considered in the light of a weak global economy and the cut-throat competition, even among emerging and advanced economies for the inflow of Foreign Direct Investment.”
The Minister said, owing to the tremendous success the country had recorded through its Free Zone policy, more local and foreign investors had renewed their interests in investing in the Free Zones.
“The success of our Free Trade Zone Policy has invariably increased the demand of the sub-national level of government for a replication of Free Zones in other parts of the country, while an avalanche of applications for setting up business enterprises in the various Free Trade Zones keep pouring in from prospective investors,” Aganga noted.
The minister said Nigeria was occupying a strategic position in Africa, and globally, due to its abundant human and raw materials base, in addition to its hugely untapped investment opportunities .
He, however, stressed that in line with President Goodluck Jonathan’s transformation agenda, anchored on inclusive economic growth and diversification through job creation and wealth generation, the Ministry of Industry, Trade and Investment was committed to partnering the private sector and other Ministries, Departments and Agencies of the Federal and state governments to provide a conducive environment for local and foreign investors to invest in Nigeria.