Economy
Nigeria’s ports drop in global rating
The report released by the National Bureau of Statistics in March reveals that Nigeria’s Ports dropped in global ratings basically due to bad infrastructure.
“Interestingly, major competitors in the West African region, such as the Port of Lome in Togo, Port of Dakar in Senegal, and the Port of Cotonou in Benin Republic, all deliver better efficient services than the Nigerian Ports.
“This is really not acceptable,’’the Speaker of House of Representatives, Honourable Yakubu Dogara, said on Monday to kick off a probe of Nigerian Port Authority and Nigerian Inland Waterways.
Some of the problems that have been identified as the reasons the Nigerian Ports are performing so poorly, he said, include bad infrastructure, high cost of doing business and low draught at a lot of our major waterways.
“It is our hope that the Legislative exercise being carried out through this committee will proffer lasting solutions to these problems,” he said.
He also stressed the need to dredge other ports in order to increase traffic and in turn, boost economic productivity.
“It has also been pointed out by stakeholders that dredging our port channels will increase traffic to our ports and invariably increase economic productivity.
“For instance, if we have cargoes going up north to places such as Kaduna, Kano and Maiduguri, such cargoes would not need to go through Lagos, which is already so congested.’’
“But for this to happen, the channels of other ports need to be dredged.
“Reports have it that the Lagos water channel is about 14.5 meters deep, while the Port Harcourt and Calabar channels are less than 10 meters deep, which limits their capacity to receive big cargo ships.
“This explains why there is so much congestion at the Lagos Port. If we must make the expected progress in our maritime sector, all available resources must be accountably and prudently managed to meet the various demands for improved infrastructure,” he said.
The speaker further highlighted other factors militating against the development of the maritime sector.
The factors, he said, include alleged arbitrary increases in charges by terminal operators, inefficient collection and accounting procedures, and contract repetitions and payment of huge commissions to service providers compared to remittances to the Federation Account, among others.
According to him, if these allegations are anything to go by, we can understand why the sector has recorded persistent decline in performance and economic growth over the years.
The speaker pointed out that these are serious allegations which need to be looked into.
The investigative hearing was necessitated by seven maritime related motions on issues relating to Guaranteed Minimum Tonnage at the Nigeria Ports, extra budgetary spending and other financial improprieties by terminal operators and service providers engaged by the Nigerian Ports Authority.
Others are abandonment of dredging projects by companies so contracted, even after allegedly receiving payments and alleged illegal disposal of lands and properties belonging to the Nigerian Ports Authority and the National Inland Waterways Authority of Nigeria.
The House of Representatives on Monday kicked off investigation into the alleged malpractices in Nigerian Ports Authority and National Inland Waterways.
The investigative hearing began on Monday in Abuja by the House of Representatives Committee on Ports, Harbours and Waterways.
The probe followed several motions calling for an investigation into malpractices in the maritime sector.
Dogara, while speaking at the hearing, noted that the allegations raised were very weighty, with potential to seriously affect the economy.
He emphasised the importance of an effective maritime sector to the Federal Government’s diversification drive, saying that the Nigerian maritime industry still seemed to be struggling in spite of efforts aimed at repositioning it.
Dogara also commended the Executive Arm and particularly the managements in the Maritime Industry for their efforts to reposition the Nigerian Maritime Industry for improved service delivery and enhanced contribution to economic growth.
According to him, I must say that the maritime industry in Nigeria is yet to attain the desired and expected status of becoming the hub for international freight and trade in West Africa.
“In this regard, it has been observed that over the years, the Nigerian maritime industry has failed to attract the required local and foreign investment inflow that is proportionate to its contribution to both the Nigerian and West African economy, despite its great potential and enormous investment opportunities.”
He described as unacceptable, a situation whereby ports in other West African nations would deliver better and more efficient services than Nigerian ports.
“According to the National Bureau of Statistics in March, Nigeria’s Ports dropped down the global ratings basically due to bad infrastructure.
“Interestingly, major competitors in the West African region, such as the Port of Lome in Togo, Port of Dakar in Senegal, and the Port of Cotonou in Benin Republic, all deliver better efficient services than the Nigerian Ports.
“This is really not acceptable.’’
Some of the problems that have been identified as the reasons the Nigerian Ports are performing so poorly, he said, include bad infrastructure, high cost of doing business and low draught at a lot of our major waterways.
“It is our hope that the Legislative exercise being carried out through this committee will proffer lasting solutions to these problems,” he said.
He also stressed the need to dredge other ports in order to increase traffic and in turn, boost economic productivity.
“It has also been pointed out by stakeholders that dredging our port channels will increase traffic to our ports and invariably increase economic productivity.
“For instance, if we have cargoes going up north to places such as Kaduna, Kano and Maiduguri, such cargoes would not need to go through Lagos, which is already so congested.’’
“But for this to happen, the channels of other ports need to be dredged.
“Reports have it that the Lagos water channel is about 14.5 meters deep, while the Port Harcourt and Calabar channels are less than 10 meters deep, which limits their capacity to receive big cargo ships.
“This explains why there is so much congestion at the Lagos Port. If we must make the expected progress in our maritime sector, all available resources must be accountably and prudently managed to meet the various demands for improved infrastructure,” he said.
The speaker further highlighted other factors militating against the development of the maritime sector.
The factors, he said, include alleged arbitrary increases in charges by terminal operators, inefficient collection and accounting procedures, and contract repetitions and payment of huge commissions to service providers compared to remittances to the Federation Account, among others.
According to him, if these allegations are anything to go by, we can understand why the sector has recorded persistent decline in performance and economic growth over the years.
The speaker pointed out that these are serious allegations which need to be looked into.
The investigative hearing was necessitated by seven maritime related motions on issues relating to Guaranteed Minimum Tonnage at the Nigeria Ports, extra budgetary spending and other financial improprieties by terminal operators and service providers engaged by the Nigerian Ports Authority.
Others are abandonment of dredging projects by companies so contracted, even after allegedly receiving payments and alleged illegal disposal of lands and properties belonging to the Nigerian Ports Authority and the National Inland Waterways Authority of Nigeria. (NAN)
Meta recently hosted its first Youth Summit in Lagos, Nigeria, bringing together over 200 young professionals, students, recent graduates, creatives, tech enthusiasts and aspiring entrepreneurs.
Themed ‘Empowering Youth Through Technology, Innovation and Entrepreneurship’, the summit included a series of thought-provoking panel discussions, a mentoring session and an interactive workshop designed to equip young Nigerians with the skills, insights and networks needed to thrive in today’s tech-driven world.
Commenting about the event, Phil Oduor, Head of Policy Programs, Sub-Saharan Africa said, “At Meta, we believe that today’s youth are tomorrow’s change-makers. Through initiatives like the Youth Summit, we aim to foster innovation, promote digital literacy and empower young Nigerians with the tools and opportunities to realise their potential and contribute to Nigeria’s growing digital economy.”
Delivering the keynote address, Femi Aluko, CEO/Co-Founder, Chowdeck, shared his journey of breaking barriers to achieve success in tech. He encouraged attendees to embrace the limitless opportunities within today’s technology ecosystem.
A panel discussion, led by Chinny Francis, Public Policy Manager at Meta, featured panellists Nifemi Akinwamide, Head of Operations, Alt School; Adaora Mbelu, Co-Founder of Lumination Global and Obaloluwa Adeagbo, Marketing Lead at Talstack. They shared valuable insights about the future of work, emphasising the importance of storytelling to build a personal brand, practicing self-awareness, developing soft skills, lifelong learning and honing problem-solving skills to thrive in a digitally transformed world.
Francis Sani, Technical Adviser for Innovation, Entrepreneurship & Capital at the Federal Ministry of Communications, Innovation & Digital Economy, spoke at the event. He highlighted the 3 Million Technical Talent (3MTT) program, emphasising that the program aims to build Nigeria’s technical talent backbone to drive the digital economy and position Nigeria as a net talent exporter. He encouraged youth to take advantage of this opportunity.
Another panel of industry experts took the stage during the ‘Lunch and Learn: Navigating Entrepreneurship in a Rapidly Changing Landscape’ session, moderated by Sade Dada, Head of Public Policy for Anglophone West Africa at Meta. Seye Bandele, CEO of PaidHR and Damilola Teidi-Ayoola, Head of Platform and Networks at Ventures Platform Fund, shared their invaluable insights. Seye highlighted the importance of grit, curiosity and candour, while Damilola reinforced the need to understand one’s target audience, deliver value through their business and embrace data-driven decision-making in the dynamic entrepreneurial landscape.
The event also featured inspiring conversations with leading figures in the creative industry. Miss Techy, an award winning tech content creator and Salem King, a creator, storyteller, author and speaker, shared their experiences and advice on achieving long-term success. Attendees also benefited from an interactive workshop and a mentoring session, where industry experts shared practical advice and strategies for entrepreneurs and tech enthusiasts.
Meta’s Youth Summit 2024 highlights a commitment to driving positive change, championing youth empowerment and advancing economic opportunities in Nigeria. Through investments in key areas—such as the creative industry, digital literacy, economic impact and youth job training—Meta is dedicated to empowering young Nigerians to thrive in today’s tech-driven world.
Cross-section of some of the attendees at the Meta Youth Summit 2024 in Lagos
L-R: Chinny Francis, Public Policy Manager, Meta; Nifemi Akinwamide, Head of Operations, Alt School; Adaora Mbelu, Co-Founder of Lumination Global and Obaloluwa Adeagbo, Marketing Lead at Talstack.
L-R: Sade Dada, Head of Public Policy, Anglophone West Africa, Meta; Damilola Teidi-Ayoola, Head of Platform and Networks, Ventures Platform Fund, and Seye Bandele, Chief Executive Officer, PaidHR during the Lunch and Learn: Navigating Entrepreneurship in a Rapidly Changing Landscape panel session.
Salem King, a creator, storyteller, author and speaker and Miss Techy, an award winning tech content creator
During a mentoring session workshop
Femi Aluko, Chief Executive Officer and Co-founder, Chowdeck.
Francis Sani, Technical Adviser to the minister of communications and digital economy of Nigeria
Economy
Tosin Eniolorunda: Fighting fraud related issues in financial ecosystem requires collaboration
Nigeria’s financial system has come under renewed scrutiny against the backdrop of the increase in the value of electronic payment transactions in Q1 2023 and the challenges posed by bad faith actors who exploit gaps in the payment systems even as Nigerian financial institutions have reported ₦159 billion ($201.5 million) lost to fraud since 2020. There is a need for all players in the financial services sector to come together in tackling these challenges.
Group CEO, Moniepoint Inc., Tosin Eniolorunda during a courtesy visit to the Chief Executive Officer, Fidelity Bank, Nneka Onyeali-Ikpe in Lagos. Onyeali-Ikpe, who welcomed the Moniepoint boss, used the opportunity to reaffirm her bank’s appreciation for the patience and understanding demonstrated during its banking channel integration optimization which resulted in service disruptions and the inability of Moniepoint customers to receive financial inflow.
It will be recalled that Fidelity Bank had recently announced to its customers and the general public, the resumption of interbank transfers to all licensed financial institutions in the country. This was following speculative reports from various media publications that the bank had imposed transaction restrictions on some neo banks operating in the country.
During conversations around the growth of the digital payments segment and contributions of the financial services to Nigeria’s socio-economic development, Tosin Eniolorunda used the occasion to stress the point that Moniepoint as a responsible and compliant organization takes customer KYC very seriously. “KYC is not merely an acronym but indeed a cornerstone in establishing trust, ensuring security, and complying with regulatory standards. All accounts created on our platform have BVN verification and in addition to this we perform a liveliness check at the point of onboarding. This is a comparison of the account holder’s life picture and the BVN image as a way to reduce impersonation,” Eniolorunda maintained.
He continued, “we have zero tolerance for fraud and typically go all out to ensure that we track fraudsters and fraudulent transactions on our platforms. We have deployed and utilize robust fraud detection systems and technologies that can analyze patterns, identify anomalies, and detect suspicious activities in the system. As such we are better empowered to identify potential fraud incidents and trigger alerts for further investigations and remedial actions.”
As partners in deepening the CBN’s mandate of ensuring provision of adequate and convenient financial services to consumers and guaranteeing their protection as well as the various undercurrents in the financial services industry, Moniepoint and Fidelity agreed to work closely together to develop a tightly knit mechanism to stem the menace of fraudulent transactions and collaboratively push through in addressing payment challenges in the country.
The Republic of Angola has become the 21st African Member State and the 1st Lusophone Member State of pan-African insurer, Africa Trade Insurance Agency – ATI, after paying a capital subscription of USD25 million. The membership was funded the Angolan National Treasury resources and proceeds from the landmark BITA water project – a strategic public investment for the construction of infrastructure for the treatment, supply and storage of drinking water that will benefit 2.5 million people in Angola.
Welcoming Angola’s membership, ATI’s Chief Executive Officer, Manuel Moses, noted the country’s demonstration of its commitment to diversify its economy through ATI’s trade and investment risk mitigation solutions.
“We are happy to support Angola in its quest to economic diversification and becoming an agricultural powerhouse on the African continent. Angola’s membership is timely as ATI’s risk mitigation and credit enhancement services will act as a catalyst for strengthening and diversifying Angola’s economy, supporting both increased investment, exports and trade under Africa’s continental framework of the AfCFTA,” Mr. Manuel said.
Under this one of a kind blended finance and guarantee innovative structure, the Republic of Angola – along with the lenders covered by ATI under the transaction – agreed for the use of proceeds under the syndicated loan to also include the financing for the purpose of Angola becoming a member of ATI. ATI provided guarantee and insurance support for this World Bank’s partially guaranteed facility to the Government of Angola for the expansion and improvement of water supply service in the urban and peri-urban belts of Luanda.
Current exposure
ATI’s gross exposure in Angola, the largest country in Southern Africa Region, currently stands at USD467M mainly in construction, energy & gas, trade & transport, water supply and wholesale & retail sectors, with transactions valued at USD1.4B.
“This development was made possible because of ATI’s pan African mandate that allows the organization to cover transactions in Angola and beyond, despite ATI non-membership. Now that Angola is a fully-fledged shareholder of ATI, the country can fully access more of ATI’s guarantee solutions to attract more Foreign Direct Investments and boost its internal and external trade across the region,” Mr. Manual explained.
Angola’s economy is mainly driven by its oil sector but the country seeks to pursue new growth models for economic diversification through the agricultural sector and private sector development.
With ATI’s support, Angola is on the path to fiscal consolidation, manage their debt ceiling, increase in public and private investment, in order to resume the ascending curve of sustainable and inclusive economic growth as well as human development.
ATI has grown from a small African start-up in 2001 into a pan-African institution with presence across Africa and with a significant global reach. Besides Angola, other member countries include Benin, Burundi, Cameroon, Côte d’Ivoire, Democratic Republic of Congo, Ethiopia, Ghana, Kenya, Madagascar, Malawi, Niger, Nigeria, Rwanda, Senegal, South Sudan, Tanzania, Togo, Uganda, Zambia, and Zimbabwe.
Institutional members include African Development Bank, African Reinsurance Corporation, Atradius Group, Chubb, CESCE (Spanish ECA), Ministry of Finance India (represented by ECGC), SACE SIMEST, The Common Market of Eastern and Southern Africa (COMESA), Trade and Development Bank (TDB), Kenya-Re, The PTA Reinsurance Company (Zep-Re), and the UK Export Finance.
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