Day: June 1, 2024

The Financial Reporting Council of Nigeria (FRC) and its partners have launched the Small and Medium Enterprises Corporate Governance Guidelines (SME-CGG) to ensure business sustainability beyond their founders.

FRC launched the Guidelines in collaboration with Integrity Organisation, UN Global Compact Network Nigeria and sponsored by MacArthur Foundation in Abuja.

Dr Rabiu Olowo, Executive Secretary of FRC, at the issuing and unveiling of the guidelines, said that SMEs contribute over 50 per cent to the GDP of the country.

It also employs millions of citizens who are instrumental to innovation, fostering entrepreneurship and growth.

Olowo further said that unlocking the potential of SMEs required good corporate governance practices,involving a structure through which objectives of a company were set.

‘SMEs are an incredible sector to improve growth, reduce poverty, and promote social progress.

‘We believe that governance to SMES is very key. There is a myth that the problem of SMEs is finance, which is
not entirely true.

‘A well ran SME is well governed with the principles of succession planning, risk management well put in place which will promote the ability to live in the future.

‘We believe that with this SME-CGG, SMEs will live beyond their founders and this document will go a long way to contribute to the future of our SMEs,’ he said.

Key components of the SME-CGG, Olowo said, included a board structure and responsibilities, risk management,corporate governance policies and procedures,financial oversight, and stakeholder engagement.

Other components, he mentioned, were ethical conduct and compliance, succession planning and family-owned enterprises.

The executive secretary added that the guidelines were not mandatory, but would be a key distinguishing factor to access capital, living in short, medium or long term.

‘Looking at all of these,even without its mandatory feature,I believe it is a must have for every SMEs.

‘By adopting these guidelines, SMEs will be better positioned to attract invest
ment, build trust with stakeholders, and enhance their competitive edge.

‘The launch of the Nigeria SME-CGG is an opportunity to set a new standard for how our SMEs are run, ensuring they are well-equipped to compete on a global stage,’ Olowo said.

He called on the relevant stakeholders to embrace the guidelines and remain committed to its implementation.

Ms. Ayotola Jagun, Co-Thematic Lead, Anti-Corruption and Governance, UN Global Compact Network Nigeria, said that partners working in synergy could create an ecosystem where responsible business practices and sustainability were not ignored.

‘The future of the Nigerian economy rests on the shoulders of these SMEs and by empowering them to be committed and ensure sustainability, we can create a future that is prosperous,equitable and environmentally conscious.

‘I urge SMEs and relevant bodies to adopt the SME-CGG to achieve the Sustainable Development Goals,’ Jagun said.

Mr Soji Apampa, Chief Executive Officer of Integrity Organisation, said the guideli
nes created an opportunity for SMEs to access incentives for their businesses.

Mr Osita Ede, Head of Finance Service Cluster, Lagos Chamber of Commerce and Industry (LCCI), said that apart from business capital, investors were also interested in a good governance structure of a business.

‘Investors are interested in companies raised on a good track record, equity,a good team, a clear vision and commitment to responsible practices.

‘Good governance enables businesses to equally help SMEs to demonstrate these qualities,’ he said.

Ede, also Chief Product Officer of Fidelity Bank, pledged LCCI and the bank’s commitment towards creating more awareness on the SME-CGG.

He said that Fidelity Bank was putting measures in place to launch Fidelity SME hub, a one-stop shop for SME solutions.

Ede added that they would incorporate the SME-CGG in their capacity building programmes.

Mr Oryiman Alu, from the Small and Medium Enterprises Development Agency of Nigeria, said that the problems of SMEs included access to f
unding, insecurity,among others.

Alu said there was the need to engage stakeholders at the state levels to be part of the national programme aimed at improving businesses of SMEs, encourage inclusivity and addressing their challenges.

Source: News Agency of Nigeria

The Controller General of Nigerian Correctional Service(NCoS), Haliru Nababa, has appointed Ibrahim Usman as the new Controller incharge of FCT Command.

The newly appointed FCT command controller, Usman Ibrahim assumed duty on Friday in Abuja.

Ibrahim took over from John Francis, who was recently redeployed to Kaduna State Zonal Headquarters.

Francis while handing over thanked the officers of the command for their support and urged them to extend the same gesture to Ibrahim, whom he believed would take the command to greater heights.

On his part, Ibrahim expressed confidence for a mutual working relationship towards achieving the mandate of the service in FCT.

The News Agency of Nigeria (NAN) reports that Ibrahim was enlisted into the service in 1990 and had served in 14 Custodial Centres.

Until his deployment as Controller of Corrections, FCT Command, Ibrahim was the Controller of Corrections in charge of Operations at the National Headquarters.

Source: News Agency of Nigeria

The Construction and Civil Engineering Senior Staff Association (CCESSA) and National Union of Civil Engineering Construction Furniture and Wood Workers (NUCECFWW), have threatened to stop work on major roads due to some crises.

The unions affiliated to the Trade Union Congress of Nigeria (TUC) and the Nigeria Labour Congress (NLC), represent the senior and junior staff in the construction industry.

The National President of CCESSA, Ayodeji Adeyemo, and the NUCECFWW President Stephen Okoro, at a news conference on the state of the construction industry on Friday in Abuja, raised alarm over the plight of construction workers.

According to Adeyemo, the construction industry is the second largest employer of labour in Nigeria after the Government.

He, however, expressed concern that a lot of workers were being laid off by construction companies and the trend was creating a crisis in the sector.

‘About 30,000 workers have lost their jobs and about 52,000 workers may lose their jobs if care is not taken.

‘Ov
er 20,000 have already lost their jobs in the last three months and 32,000 will also lose their jobs if the conflicts are not resolved.

‘We may have no choice but to stop work on major roads if the trend continues.

‘Some of the roads that are affected by the conflicts are roads being handled by major construction companies like RCC, Setraco, Julius Berger, Dantata and Sawoe, among others.

‘They are: Obajana road, Abuja -Kano Road, Bodo-Bonny Road, East-West Road, Lagos-Ibadan expressway, Zaria-Sokoto Road and Edo-Auchi Road.

‘When you sack people with family and other dependents, you are only calling for more insecurity in the country. Nigeria is currently grappling with insecurity, and you can imagine when 52,000 workers are laid off,’ he fumed.

Adeyemo said that the unions were also concerned with the disagreement between the Federation of Construction Industry (FOCI) and the Minister of Works.

According to him, there is a total slowdown in the industry due to disagreement between the contractors han
dling various civil construction projects for the Federal Government and the ministry of Works.

He said this was because of unilateral imposition of new standard conditions of contracts by the Minister, contrary to the existing conditions as approved by the Bureau of public procurement (BPP).

According to him, this has affected employment in the industry, leading to mass sack of Nigerian workers who are members of our unions.

Adeyemo said the unions have appealed to the Minister of Works, David Umahi, for a form of bail out to the distressed construction sector rather than any form of conflict.

‘We call on the federal government to resolve the conflict in the industry by involving all stakeholders in contract awards.

‘These are the Bureau of Public procurement (BPP), Ministry of Justice, Ministry of works, Council for Regulation of Engineers in Nigeria (COREN), Federation of Construction Industry (FOCI), among others.

‘We urge the Minister of Works, FOCI and all concerned to amicably resolve the current
conflict within 21 days otherwise, the two Unions will be compelled to declare industrial actions in the construction industry.’

The two unions called for an end to banditry, kidnappings and killings that had become so common in the country, urging security agencies to ensure the safety of the members and all Nigerians.

Source: News Agency of Nigeria

The African Development Bank (AfDB) Group President, Dr Akinwumi Adesina, has reaffirmed the bank’s commitment to continue to deliver at scale to countries in the continent.

Adesina said this at the sideline of an event to celebrate the bank’s 60th anniversary.

The event was held on the sidelines of the ongoing 2024 AfDB Annual Meetings in Nairobi.

‘On the walk of the bank, with the journey we have travelled in supporting Africa and the one yet to be embarked on, one thing is sure that we are on the right path.’

‘A journey to accelerating the development of Africa. Amazingly, in the 60 years that we have been travelling this journey, we are not yet tired.

‘Just like Kenyans always run and win in long-distance races, so are we. We are running to win for Africa.

‘In 60 years, we have not diminished; we have grown and are delivering at scale for Africa,’ he said.

The AfDB president said the bank began its journey with nine countries and advanced to 23 countries after its inauguration, but now, it counts a
bout 81 countries.

According to him, the bank’s founding fathers dreamed of promoting and accelerating the economic and social development of African countries.

While commending the founders’ vision, Adesina said, ‘Their dreams have been realised, one strategy at a time, one president at a time.

‘But it takes all of our shareholders, you, to support us in making things happen. You, as shareholders, celebrate with us today,’ he said.

Adesina said that the AfDB was a trusted voice for Africa and responsible for its needs.

He thanked various heads of state and governments for their continued support for the bank, and urged them to do more to transform the continent.

‘I would like to close this time by congratulating His Excellency, President William Ruto for the wonderful announcement you made this morning by contributing to the African Development Fund (ADF).

‘That will make you the largest contributor to that fund as a regional member. Thank you also for your bold call for a 17th fund replenishment at 2
5 billion dollars.

‘It is so important in the AfDB that the Organisation of African Units gives it a clear mandate to mobilise development financing for Africa. And we are doing so with your collective support.

‘In 2019, you, the bank’s shareholders, raised the bank’s capital 93 billion dollars to 208 billion dollars, the highest in the bank’s history since it was established in 1964. Thank you very much,’ he said.

According to the AfDB president, the bank’s staff has been its strength, moving from 10 pioneer members in 1996 to 2,092 staff members.

‘Today, from 17 to 6 countries, we all come with one goal in mind, to activate African development.

‘Our Board of Governors and Board of Directors from 81 member countries have been the guiding light of the bank,’ he said.

He said that from an initial capital base of 2.3 billion dollars, the bank now maintained a triple-A rating and was the only triple-A-rated financial institution in Africa.

Adesina said the bank took pride in its humble beginnings and its
current status as a globally respected institution, innovating and leading among global financial institutions.

‘The African Development Bank is on the hybrid path from the global capital market, first-ever by a multilateral development bank, creating a new global asset class for institutional investment.

‘It is the first and the only multilateral development bank to do synthetic decentralisation, transferring risks from our sovereign and non-sovereign portfolios to the private sector for institutional investment.

‘In 2021, AfDB was ranked the best multilateral financial institution in the world by Global Finance.

‘In 2022, the ADF, our concessional lending institution, was ranked the world’s second-best concessional financial institution by the Centre for Global Development, ahead of all eight concessional financial institutions,’ he said.

The AfDB president said the bank in 2022, was ranked the most transparent financial institution in the world by Corbett.

He said: ‘together, building on the foundati
ons laid by our founders, we have built a global financial institution focusing on the assets, bringing the wealth to Africa and taking Africa to the world.

‘Let us celebrate Africa’s development. Let’s accelerate it relentlessly. Africa deserves the best, and only the best is good enough for Africa. Happy 60th anniversary,’ he said.

Source: News Agency of Nigeria

Africa needs to close a financing gap of about 402.2 billion dollars annually by 2030 to fast-track its structural transformation.

Dr Akinwumi Adesina, President, African Development Bank (AfDB), said this during the presentation of the African Economic Outlook (AEO) 2024 at the ongoing AfDB Annual Meetings in Nairobi.

‘The report highlights the glaring inadequacies of the current global financial system in closing Africa’s financing gap for structural transformation, estimated at 402.2 billion dollars annually between now and 2030.

‘To rectify these disparities, the report proposes a bold agenda for reforming the global financial architecture, including in the five following key areas,’ Adesina said.

According to him, the AEO 2024 calls for overhauling the global financial architecture to transform African economies.

He said this included giving Africa a greater voice in Multilateral Development Banks (MDBs) and International Financial Institutions (IFI), reflecting its growing global gross domestic pro
duct share and rich natural resources.

Adesina said: ‘let us be clear. By seeking to transform the global financial architecture, Africa is just asking for a fair share of access and availability of resources to build on our vast economic opportunities.’

‘The AEO advocates for greater private sector participation to complement public investments, particularly in areas with high social returns such as climate action and human capital development.

‘The report calls for streamlining the global climate finance architecture to enhance coordination and facilitate access for African countries disproportionately affected by climate change.’

Adesina said the report urged MDBs to revise their business models to provide long-term concessional financing at scale to developing countries to bolster their capital positions.

‘It urged the channelling of a portion of the IMF’s Special Drawing Rights (SDRs) to MDBs and ensured a healthy replenishment of the concessional windows of the AfDB, the World Bank, ADF and the In
ternational Development Association.

‘Recognising the slow and cumbersome nature of existing debt resolution mechanisms, the African Economic Outlook advocates for reforms to expedite debt workouts.

‘It said this will ensure sustainable debt management, including innovative market-based solutions like ‘Brady bonds,’ debt relief for climate purposes, and sovereign debt authority systems,’ he said.

Adesina said the report emphasised the importance of strengthening domestic revenue mobilisation through improved tax policies and enhanced government revenue collection and utilisation efficiency.

He reiterated the importance of combating illicit financial flows, tax avoidance, and leveraging Africa’s abundant natural resources.

‘Domestic resource mobilisation is good, but so is the prudent use of such resources. Countries should, therefore, strengthen their capacity to improve public finance management.

‘Every year, the African Economic Outlook report provides timely evidence and analysis crucial for African
policymakers, empowering them to make informed decisions,’ Adesina said.

For his part, the bank’s Vice President and Chief Economist, Prof. Kevin Urama, underscored why strategic policies and firm political commitment are key to effectively using resource wealth for domestic revenue generation.

Urama described hard infrastructure, including roads, railways, and bridges, and soft infrastructure, including knowledge and institutional governance capacity, as ‘two wings of an aircraft’.

He said: ‘investing in productive infrastructure is key to accelerating Africa’s structural transformation.

‘Growth prospects vary across Africa’s regions, reflecting differences in economic structure, commodity dependence, and policies.’

Source: News Agency of Nigeria

Mrs Beatrice Jeddy-Agba, the Solicitor General of the Federation says the Freedom of information Act (FOI) in Nigeria is still a work in progress.

Jeddy-Agba, said this in Abuja at a ceremony marking the 13-year anniversary of the advocacy and implementation of the FOI Act in the country on Friday,

She was represented by Mr Godwin Garba, Head, FOI Unit, Federal Ministry of Justice.

The News Agency of Nigeria (NAN) reports that the theme of this year’s anniversary is `Evaluating the Role of Freedom of Information Act and its Implementation Towards Building Strong Institutions For Good Governance.

She noted that the implementation of the FOI Act, 2011 in the past 13 years has been both challenging and work in progre.

The solicitor general noted that the Act is as a guide through which the public can access vital information or record from government.

‘The essence of the Act is to guarantee the right of access to information held by government institutions as well as to deepen governance and government ref
orms by addressing corruption and improving the credibility of the Country.

‘It is to promote citizens’ participation in governance, enhance and develop the country’s democracy by ensuring openness, transparency and accountability in the conduct of government business.

‘Nonetheless, the implementation of the FOI Act in the last thirteen years has come with a series of benefits and challenges”.

Jeddy-Agba said although the FOI unit has improved on the level of awareness of FOI, there are still many challenges facing the implementation of the Act.

‘There is still lack of functioning record management system in public institutions, lack of political will on the part of leaders to ensure the prompt release of information or records and culture of secrecy in government as big challenges”.

She commended the courts on their prompt rulings on FOI matters which have deepened its implementation.

Also speaking, Mr Shofola Osho, the Company Secretary and Legal Adviser of the Development Bank of Nigeria in his go
odwill message commended the FoI unit for pushing through despite all odds.

Osho urged for more commitments from all stakeholders and also called for review of the Act for more participation in open governance and accountability.

Mr Jubril Shittu, CEO Public and Private Development Centre, said with that with good working relationships, the ministry’s FOI unit has made significant progress.

In her own remarks, the Program Officer, Right to Know (R2K), Ms Vicky Etim noted that the annual FOI report has grown over the years but that experiences still needed to be shared on how challenges were overcame.

She advised that the Public Service handbook should be updated or reviewed to meet new laws and regulations that make it difficult to achieve more.

There were goodwill messages from the FOI standing Committee of National Assembly, Public Institutions, the media and Civil Society Organizations (CSOs) as well as robust interactions by all the participants at the event.

NAN reports that the FOI Act was enacted
on May 28, 2011.

The purpose and objectives of the FOI Act are to make public records and information more freely available and to provide for public access to public records and information.

Others are to protect public records and information to the extent consistent with the public interest and the protection of personal privacy and to protect serving public officers from adverse consequences for disclosing certain kinds of officials information without authorisation, among others.

Source: News Agency of Nigeria