NIGERIA COUNTRY BRIEF 080207

Basic Political Developments THE Minister of State for Energy (Petroleum), Mr. Odein Ajumogobia, said the report of

the Oil and Gas Reform Committee will soon be presented to the Federal Government. THE Court of Appeal, Abuja Division, yesterday upheld the verdict of the Governorship

Election Petition Tribunal nullifying the election of the Kogi State Governor, Alhaji Abubakar Idris. The appellate court held that the election was flawed by the unlawful exclusion of the governorship candidate of the All Nigeria Peoples Party (ANPP), Prince Abubakar Audu, from the polls.

The Federal Ministry of Transportation may have stirred up a controversy over its direction to its Lagos Office to supervise the N3bn Lagos-Ibadan Expressway expansion project.

The ministry had awarded the contract for expanding the ever-busy road to eight lanes to Reynold Construction Company, from the Lagos end to the Shagamu interchange in Ogun State.

Fresh fact has emerged that the administration of former President Olusegun Obasanjo spent $16bn on Nigeria’s epileptic power sector and not $10bn earlier reported by the media.

The Speaker of the House of Representatives, Mr. Oladimeji Bankole, disclosed this in a statement on Wednesday by his Special Adviser on Communications, Mr. Kayode Odunaro

National Economic Trends THE banking consolidation marked the birth of a new era in banking services in Nigeria

and formed a cardinal point in the financial services reforms being embarked upon by the government of Nigeria.

The process led to the transformation of 80 weak and struggling banks to 25 consolidated banks. The country has also witnessed reforms in the pension administration system, insurance sector and capital market. Beyond any doubt, more reforms and recapitalisations are still on the way.

Business, Energy or Environmental regulations or discussions NIGERIA's industrial cluster scheme, recently scripted by the Federal Government, may

have struck a positive note on Asian investors, as manufacturers from Vietnam are seeking partnership with Nigerians, to set up industrial plants in the country, under the new initiative

Nigeria plans to slap duties on old computers imported for spare parts because much of the excess material is later dumped and causes toxic waste, Information Minister John Odey said on Wednesday.

Activity in the Oil and Gas sector (including regulatory) TECHNO Oil Limited, an indigenous oil and gas company, is set to commission a

Liquefied Natural Gas (LPG) tank farm in Apapa area of Lagos State. The project is to

gulp $10, million (N1.2 billion).

The facility, with installed capacity of 5,000 metric tones (mt), is at an advanced stage of construction and would be commissioned next month.

The Nigerian arm of Royal Dutch Shell <RDSa.L> said 130,000 barrels per day (bpd) of crude output was halted because of leaks on the Nembe Creek pipeline in the Niger Delta, a spokeswoman said on Thursday.

Nigeria's Warri oil refinery will restart production on Thursday, the head of the state oil firm NNPC said, two years after the plant was shut when its main feeder pipeline was blown up by militants.

Kidnappings, attacks on energy installations/infrastructure Youths from the five oil producing ethnic nationalities in Delta State on Wednesday

embarked on protests in Warri and Effurun over the delayed take- off of the five modular refineries initiated by the Delta State Oil

Nigerian kidnappers have demanded 500 million naira (4.2 million dollars) ransom for the release of the wife of a prominent politician taken hostage in Port Harcourt, a family member said Thursday.

------------------------------------Basic Political Developments

http://www.guardiannewsngr.com/energy/article01//indexn2_html?pdate=060208&ptitle=Oil%20sector%20reform%20committee%20to%20submit%20report%20before%20March

Oil sector reform committee to submit report before MarchBy Yakubu Lawal, Deputy Energy Editor

THE Minister of State for Energy (Petroleum), Mr. Odein Ajumogobia, said the report of the Oil and Gas Reform Committee will soon be presented to the Federal Government.

The minister, while speaking with journalists after the meeting of the Organisation of Petroleum Exporting Countries (OPEC) in Vienna, Austria, last week, said though the ministers were not part of the committee, but that reports reaching his office indicated that work was in top gear and would be ready on schedule.

"But I think the process is on course. The president inaugurated the Energy Council and the Implementation Committee in September 2007, had given the command. This will expire in March, I think we are on course," Ajumogobia said.

According to him, the final report will be submitted to the Energy councils. Pointing out that the thinking is done long before now through the OGIC committee, adding that the implementation committee is trying to fine tune the road, which is already on the slide.

"And then the next stage is the legislative process. They are putting the legislative framework in place to properly accommodate the OGIC. And I think that will be done very soon and I expect it very shortly. We are having inter face with the National Assembly to let them know what we are doing and the draft laws will be presented to them" Ajumogobia said.

He explained further that after the legislative process, the next stage would be the setting up of the organizations and then appointments to these organizations stressing that the government is committed to achieving the goal.

On the allegation that Nigerian government has failed to fund its share of the Joint Venture. He said, "This is not the first time that we have funding difficulties, but I think this is the first time the government has decided to directly confront funding issue by not limiting funding of the industry to just budget provision but going out to the market to make money and to raise money".

The minister said government would work out the difficult areas, adding that the biggest challenge for Nigeria today is the funding of the industry and security.

The minister said government has commenced discussion with the International Oil Companies (IOC), with a view to chart short, medium and long-term strategies for funding in the oil and gas sector.

"And I am happy to say, we have closed agreement with some of them on a short term strategy. We've been given time to bridge financing through immediate obligation" he said.

According to him, there is a short fall of about $3.8 billion in this year's budget, which can be raised by the stakeholders, but this can't be done over night, stressing that government and the oil companies have adopted strategies to work this out over the years.

"We will still ensure that we meet our financial obligations for security of the region, it is an on-going process with Government dialoguing with the villagers.

On the 2007 bid round, the minister said the president set up an investigation panel headed by the permanent secretary Ministry of Energy. The committee he has submitted its report and that the report is being reviewed.

" Once that is done, the process completed, decisions will be taken and communicated. It will be pre-emptive to suggest that any particular block will be revoked. They have been asked to review and make their recommendations. I have looked at the report myself and made some comments on it. But I would not want to make those comments public before the president," he stated.

On Warri Refinery, Ajumogobia said the plant is currently under going test running preparatory to full operation.

"The problem of Warri was that we could not get crude to the refinery. We are now getting crude to the refinery, and then we are testing the lines to ensure that they are also efficient before we resume crude production. I think this month it will resume".

http://www.guardiannewsngr.com/news/article01//indexn2_html?pdate=070208&ptitle=Speaker%20takes%20over%20as%20Kogi%20governor%20loses%20appeal

Speaker takes over as Kogi governor loses appeal

>From Madu Onuorah, Lemmy Ughegbe (Abuja) and Ralph Omololu Agbana (Lokoja)

THE Court of Appeal, Abuja Division, yesterday upheld the verdict of the Governorship Election Petition Tribunal nullifying the election of the Kogi State Governor, Alhaji Abubakar Idris. The appellate court held that the election was flawed by the unlawful exclusion of the governorship candidate of the All Nigeria Peoples Party (ANPP), Prince Abubakar Audu, from the polls.

This followed President Umaru Musa Yar'Adua's order that all relevant authorities abide by the Appeal Court judgment and that the Speaker be sworn in to avoid a vacuum in government. Hours later, the Speaker of the Kogi House of Assembly, Clarence Olafemi, was sworn in as Acting Governor.

In a unanimous decision of a five-man panel delivered by Justice Victor Omage, the appellate court held that "the exclusion of the petitioner/2nd respondent (Audu) from the Kogi State gubernatorial race by the Independent National Electoral Commission (INEC) was a wrong that must be cured."

Omage held that INEC acted in excess of a power it did not possess when it decided to exclude the petitioner / 2nd respondent from the said election on the basis of his purported indictment by an administrative panel of inquiry set up by former President Olusegun Obasanjo.

He held that the electoral body constituted itself into a judicial body, which it was not, in disqualifying Audu from the poll on the premise of the said indictment, which, according to him, was not a conviction passed on him by a court of competent jurisdiction.

He further held that the decision of the electoral body to

exclude Audu from the said election amounted to an abuse of the party's right to a candidate of its choice, who had emerged through a tedious nomination exercise.

The Appeal Court also held that the tribunal was wrong to have struck out Audu's name for want of locus standi since, according to it, his (Audu's) nomination by the ANPP had conferred the locus on him to challenge his exclusion as a petitioner before the tribunal.

Consequently, Justice Omage ordered that a fresh election be conducted within ninety days of delivering this judgment while "the next in the ranking of the political structure of the state which is the Speaker should be sworn in in the interim.''

His words: "INEC was wrong to have excluded the name of the Petitioner/2nd Respondent (Audu) because he was validly nominated by his party. The purported indictment relied upon by INEC is not a conviction pronounced upon by a court of law; INEC is not a judicial body to penalize any candidate by excluding him from an election. It lacks the judicial power to disqualify any candidate, more so a candidate who had been duly nominated by his party. The decision of INEC to exclude the candidate of the ANPP amounts to a breach of the party's right to field the petitioner/2nd respondent as a candidate of its choice for the governorship election. Since Audu turned out as the party's choice having passed through the eyes of the needle, that has conferred on him the locus standi (legal right) to participate in the election and /or challenge his exclusion. His exclusion by INEC is therefore a wrong that must be cured. Accordingly, the decision of the Kogi State Governorship Election Petition Tribunal nullifying the said election is upheld and the election of Alhaji Abubakar Idris is hereby nullified. INEC is ordered to conduct fresh election for the Governorship seat of Kogi State."

Sequel to the nullification of his election by the tribunal, Idris approached the appellate court

praying it to upturn the decision and by January 14, 2008, the court rounded off arguments of all parties to the said appeal.

But his effort to upturn the tribunal's decision failed yesterday in a unanimous verdict that has been described by Audu's lawyer, Alex Izinyon as "robust and sound reasoning."

Izinyon remarked: "It was a robust sound and intellectually stimulating verdict. It has settled the grey areas of locus standi of excluded candidate in an election."

Explaining the implication of the judgment further, Izinyon said: "The office is vacant. Now that the judgment is delivered, any body occupying the Office of Kogi governor now is doing so illegally. But because the constitution does not recognise vacuum in governance, the Speaker will be sworn in in the interim,'' he said.

Idris's lawyer, Yusuf Alli (SAN), said by implication his client had ceased to be the governor.

According to Alli, "the judgment has extended the frontier of our jurisprudence and has brought certainty in the issues of election and exclusion.''

Counsel to INEC, Chief Kanu Godwin Agabi (SAN) described the judgment as remarkable.

"The judgment is sound and we are grateful: We will go back to be a better body than we have come,'' he said on behalf of INEC.

The tribunal had ordered INEC to conduct a fresh poll on the basis that the ANPP and its candidate, Audu, were "unlawfully excluded" from the race.

At the last hearing, Idris's counsel, Mr. Yusuf Alli (SAN), had argued that the decision of INEC to remove the respondent's name (Audu) from the candidates' list was in compliance with the judgment of the appellate court, wherein it held that the electoral body had the powers to disqualify a candidate from an election.

Alli submitted that the judgment of the Supreme Court, declaring that the electoral body had no such powers to disqualify any candidate in the celebrated case of the Action Congress (AC) and Alhaji Atiku Abubakar against INEC was delivered only after the governorship elections in states had been concluded.

"My lords, I urge you to hold that the exclusion of the petitioner/respondent (Audu) by INEC was in compliance with its judgment conferring powers on the electoral body to disqualify a candidate from election. I submit that to hold a contrary view by upholding the verdict of State Governorship Election Tribunal order for a fresh election, would amount to punishing a duly elected governor for acts not committed by him," Alli argued.

According to him, Audu could not competently rely on a Supreme Court decision that was not in existence at the time he was excluded from the poll to seek to void an election, which had turned in the appellant as the valid winner.

But Audu's lawyer, Iziyon (SAN), urged the court to place little or no value to Alli's submission as it was merely an attempt to justify an illegality perpetrated by INEC on behalf and to the benefit of his client (Idris).

"It is trite that when a dispute is brought before a court of law, parties are not to take any step or

action that would foist a fait accompli (state of helplessness) on the court by tampering with the subject matter of the dispute," Iziyon argued.

"There was a pending appeal at the Supreme Court from the decision of the Appeal Court that INEC had powers to disqualify any candidate. All parties were aware of the said appeal and yet they decided to take steps to unlawfully exclude a candidate who was challenging his disqualification by INEC in flagrant breach of due process and the rule of law", he added.

The swearing-in ceremony held at the Government House, Lokoja, at exactly 6.00 p.m., was performed by the state Chief Judge, Justice Umaru Eri.

Justice Eri said the decision to swear in the Speaker was to ensure that no vacuum is left in the governance of the state.

He noted that the present administration under President Umaru Yar'Adua strongly believes in the rule of law, pointing out that the action was to ensure that we have authority in the state.

Speaking shortly after he was sworn-in, Olafemi said he accepted the responsibility with heavy heart, describing himself as a child of destiny and circumstance.

He said the situation, although unavoidable, was necessary to keep the state together and called on the people of the state to unite for the socio-economic transformation of the state.

Olafemi implored them not to do anything that would disrupt peace in the state.

He promised to do the best he can within the transitional period to unite the people of the state.

The acting governor also promised to ensure free and fair election, noting that as long as human beings interact, there are bound to be misunderstanding every now and then.

He maintained that "we must not kill or burn each other's houses in the name of politics, adding that the best thing to do at this critical period is to strive towards achieving peace.

Olafemi stressed that the state had already dissipated time in resolving numerous disputes, noting that posterity would not forgive us if we fail to forge ahead in the interest of the state.

President Yar'Adua had earlier directed the police and other law enforcement agencies to ensure that law and order are maintained in Kogi State.

Special Adviser to the President on Communications, Mr. Olusegun Adeniyi, told journalists at the Presidential Villa, Abuja, that the President advised "all those adversely affected by the judgment to accept it in good faith as a necessary aspect of the evolution of true democracy in our country."

Adeniyi's words read: "Following today's final judgment by the Court of Appeal which upheld the election tribunal's nullification of the result of the April 14 governorship election in Kogi State, President Umaru Musa Yar'Adua has in accordance with sub-Section 2 of Section 191 of the 1999 Constitution of the Federal Republic of Nigeria, directed all relevant authorities to facilitate the immediate swearing-in of the Speaker of the Kogi State House of Assembly as acting governor of the state.

"As indicated by Section 191, sub-section 2, the Speaker will hold office until a governor is

properly elected within 90 days as ordered by the Court of Appeal.

"President Yar'Adua has also directed the police and other law enforcement agencies to ensure that law and order are maintained in Kogi State in the aftermath of today's ruling by the Court of Appeal.

"He advises all those adversely affected by the judgment to accept it in good faith as a necessary aspect of the evolution of true democracy in our country."

Adeniyi told journalists that the President's reaction became necessary following consistent inquiries on the way forward as the Court of Appeal did not give any direct order on succession and election time-table.

http://www.punchng.com/Articl.aspx?theartic=Art2008020622535992

  Controversy trails N3bn Lagos-Ibadan Expressway expansionBy Ademola Oni, AbeokutaPublished: Thursday, 7 Feb 2008

The Federal Ministry of Transportation may have stirred up a controversy over its direction to its Lagos Office to supervise the N3bn Lagos-Ibadan Expressway expansion project.

The ministry had awarded the contract for expanding the ever-busy road to eight lanes to Reynold Construction Company, from the Lagos end to the Shagamu interchange in Ogun State.

Our correspondent learnt that the Controller of Works in Lagos, Mr. Ekunsunmi, in conjunction with a senior director at the Abuja headquarters, might have allegedly influenced the supervision of the road by officials of the Lagos office of the ministry, contrary to laid-down procedures.

Ogun State controls about 43 kilometres of the road, while four and a half kilometers of the road are controlled by the Lagos office.

Work on the first phase of the road expansion, which the RCC has commenced, is to terminate at the Shagamu interchange.

The poor condition of the 120-kilometre road had attracted calls for the Federal Government’s intervention by prominent Nigerians, including the Speaker of the House of Representatives, Mr. Dimeji Bankole, and Governor Gbenga Daniel of Ogun State.

The Lagos supervision of the road should, ordinarily, end at Berger, Ojodu, the border area between the two sister-states, but it was gathered that officials of the Lagos office of the Ministry of Transportation had been saddled with the duty of supervising the entire road.

A contractor who claimed to be close to the ministry in Ogun State, told our correspondent in Abeokuta on Wednesday that the strategy employed by the ministry on the project was “strange.”

An engineer, he said, craving anonymity, “This procedure is contrary to laid down rules and order. Previous roads in the state were supervised by the officials of the Federal Transportation Ministry in the Ogun State field headquarters.

“It has never happened like that before; at least we can mention the Lagos-Sango-Abeokuta Road, the Winners Chapel-Idi-Iroko Road and Isara-Ago-Iwoye-Ijebu-Igbo Road.”

http://www.punchng.com/Articl.aspx?theartic=Art2008020623223812

  Obasanjo spent $16bn not $10bn on energy sectorBy Chiawo Nwankwo and John Ameh, AbujaPublished: Thursday, 7 Feb 2008

Fresh fact has emerged that the administration of former President Olusegun Obasanjo spent $16bn on Nigeria’s epileptic power sector and not $10bn earlier reported by the media.

The Speaker of the House of Representatives, Mr. Oladimeji Bankole, disclosed this in a statement on Wednesday by his Special Adviser on Communications, Mr. Kayode Odunaro.

The statement came just as the Chairman of the House Committee on Power, Mr. Ndudi Elumelu, hinted that Obasanjo may be summoned by the panel to explain how his administration spent the huge sum on a sector without visible result.

Bankole, who spoke when the Corps Marshall of the Federal Road Safety Corps, Mr. Osita Chidoka, visited hin in Abuja on Tuesday, said that the additional $6bn represented extra-budgetary spendings not approved by the National Assembly.

He described the $16bn spending as a colossal waste, and blamed it on “poor budget planning and a lack of proper oversight by relevant bodies.”

The Speaker, who lamented that the country was facing what he called ‘systembreakdown,’ advised the FRSC to articulate a work plan stating inputs and output, to guide the House in its legislative support to the commission.

Bankole said, “Only if we plan like this and monitor output periodically would we be able to prevent a situation where $16bn was spent on power reforms with negative results.”

Chidoka visited the Speaker to seek more financial assistance to the FRSC in the 2008 budget.

Earlier, Chidoka had told the Speaker that about 5,000 lives were lost to road accidents annually in the country.

Also in Abuja on Wednesday, Elumelu said that some top Nigerians, including governors Olusegun Agagu(Ondo); Dr. Liyel Imoke(Cross River); Danjuma Goje(Gombe) and Gabriel Suswam(Benue) had been invited to appear before the committee.

Agagu and Imoke were at different times ministers of power and steel before becoming governors.

A public hearing on how the $16bn was used will commence on February 21, in Abuja.

Elumelu, who spoke ahead of the commencement of the hearing, said the constitutional immunity which the governors enjoyed would not prevent them from appearing before the committee.

According to him, the law does not stop a criminal investigation to be carried out against a governor.

“Going by the decision of the Supreme Court, which is the highest court in the land, this committee will invite serving governors if we deem it necessary in the discharge of our responsibilities,” he added.

The committee, he said, has also invited memoranda from Mallam Adamu Ciroma, Dr. Ngozi Okonjo-Iweala, and Mrs Nenadi Usman, who served as ministers of finance between 1999 and 2007.

All former governors of the Central Bank of Nigeria during the Obasanjo government are also to send memoranda to the committee.

Former secretaries to the Government of the Federation; auditors-general; accountants-general; attorneys-general; state governors; former inspectors-general of police, are also on the list.

The Army, the Air Force, the Navy and past chairmen of the Senate and House committees on power are also on the list of those to send memoranda to the committee.

The panel invited among others, civil society groups; the Manufacturers Association of Nigeria; electrical contractors, chambers of commerce, banks, the Nigerian Bar Association, and aides to former ministers to submit memoranda.

Elumelu noted that Obasanjo was not the target of the investigation which was ordered by the House on January 31.

He explained that the work of the committee was to investigate and tell Nigerians “the truth” about what happened in the power sector.

“This is an investigative assignment, not a judicial exercise; but we can assure Nigerians that nobody, no matter how lowly-placed or how highly-placed, will be spared if we find out that his contribution will assist us in knowing the truth,” the committee chairman added.

He said that it would be improper to begin an investigation of this magnitude by inviting Obasanjo since there were many officers who worked under him and directly supervised the execution of projects in the power sector.

Elumelu said that if the testimonies given by those invited justified inviting the former President, the committee was covered under Sections 88 and 89 of the 1999 Constitution to do so.

------------------------------------National Economic Trends

http://www.guardiannewsngr.com/moneywatch/article02//indexn2_html?pdate=060208&ptitle=Skills,%20gaps%20in%20financial%20services%20sector

Skills, gaps in financial services sectorBy Tunde Dabiri

THE banking consolidation marked the birth of a new era in banking services in Nigeria and

formed a cardinal point in the financial services reforms being embarked upon by the government of Nigeria.

The process led to the transformation of 80 weak and struggling banks to 25 consolidated banks. The country has also witnessed reforms in the pension administration system, insurance sector and capital market. Beyond any doubt, more reforms and recapitalisations are still on the way.

In a bid to transform the newly consolidated banks to more virile, capitalised, stable and internationally competitive mega entities, the onus is on stakeholders to address the various deficiencies and shortcomings that led to the non-performance, weakened and liquidated status of the pre-consolidation era. The increasing spate of global competition in the banking and financial sector calls for adequate human resource realignment, technology integration, stakeholders concern and monitoring and supervision

There is therefore the need to address the issues of skill gap in Nigeria's financial services sector and propose solutions and various mitigation processes. For the consolidated banks and other players in the financial services sector to render higher value and for the economy to benefit from the pre-conceived opportunities of consolidation, adequate and required skills have to available.

The need for adequate skills in the handling of financial services operations cannot be over-emphasised. The virtue of a professional banker is the possession of systematic knowledge and proficiency in a given field. This systematic knowledge constitutes the soft and hard skills that professionals trade for their placement and positioning. Skill shortages exist when employers have difficulty filling job vacancies or specialised skill needs at current levels of remuneration and conditions of employment.

Global competition and new technology have changed the type of skills demanded by businesses and its impact on skill formation. Training is no doubt the key tool in solving skill shortage problems. It is difficult for businesses to train workers quickly enough to meet new skill requirements at the expected proficiency level. Other interventions can be used to address these shortcomings include:

    * Skill training programmes continually developed and adapted to meet rapidly changing skill requirements

    * Upgrade and renewal of existing workers' skills

    * Recognised pre-qualifications for new entrants to job markets

    * Mentoring and coaching

    * Job rotation initiatives to drive on-the-job training

    * The provision of required skills by the financial institutions, regulatory bodies, professional bodies and educational institutions.

      These skills are diverse. However, they can be narrowed down to a few which are critical and have been observed to be in short supply within the Nigerian financial services sector:

    * Credit risk management

    * Product sales and marketing capacity

    * Information and communication technology skills

    * Structured finance, and

    * Real estate project evaluation skills.

      Credit Risk Management (CRM) is the process of identifying, analysing and managing risk in an investment to aid profitable investment decisions. According to the Chief Risk Officer of Royal Bank of Canada, "risk itself is not bad. What is bad is risk that is mismanaged, misunderstood, mis-priced, or unintended."

      Prior to the consolidation of Nigerian banks, most banks did not give adequate attention to CRM due to lack of competence and inadequate controls by the board and regulatory agencies. On the other hand, some executives intentionally undertook unmitigated risk investments in order to perpetuate fraud.

      These unwise decisions led to so many bad credits that eventually crystalised a systemic distress of many banks. For example, the non-performing credits of Nigerian banks increased from N316 billion in 2004 to N356 billion in 2005. The asset quality of the banking sector actually deteriorated in 2005. Provision for bad and doubtful debts increased from N94.2 billion in 2001 to N138.8 billion in 2002, N227 billion in 2003, N256 billion in 2004 and N282 billion in September 2005. Availability of competent and proficient skills will no doubt mitigate some or all of these problems.

      The Nigerian financial supermarket comprises few ranges of product portfolios, which are often replicated by all other institutions with different brand names. The industry currently lacks the required number of marketers and sales technocrats that can adapt to the continually changing and highly stimulating area of sales. The financial services industry requires marketers that can identify quality clients and discern the inherent needs of their targets, with a bid to working with the back office (research analysts, investment bankers and others) to satisfy the clientele need.

      The new recapitalised status of Nigerian banks has engendered the need for the introduction of innovative products that will attract various segments of the population. There is the need to design and deepen the products suit as opposed to the current replication and plagiarising of products going on in the market.

      Nigeria's un-banked population is still high as about 90 per cent of the populace transact businesses in cash. The 90 per cent are the people that the marketers need to seek out and stimulate their interest in the banking sector. To drive the above stated initiatives, Nigeria's financial institutions require proactive sales and marketing teams with the following guidelines:

    * Develop a marketing strategy, execute marketing and sales programmes to increase banking penetration (deposits, loans, mortgages and credit cards) with new wealth management clients.

    * Innovate product development

    * Benchmark and evaluate the effectiveness of marketing programs and return on investment, and

    * Leverage all client communication channels, both offline and online, to support marketing and sales.

      The global financial services industry has emerged to become a village, square with constantly changing medium of communication and closing transactions. In Nigeria, electronic banking and payments services methods are still at the teething stage. For the country to be globally competitive and tap from the inherent opportunities that exist in Internet banking and other related services, there is the need for all financial services organisations to develop a robust Information and Communication Technology (lCT) platform.

      Currently, the deployment of ICT in the local organizations is plagued with "no Internet access," "server is down," "financial institution not available," and "services currently not available," among other responses from the systems. Sending money to family members and business allies in the hinterland through branch network Internet banking is another nightmare. A few characteristics of efficient deployment of ICT in the financial services industry will:

    * Enable banks to reach a wider clientele within short periods of time

    * Decongest banking halls, resulting in bankers seeing to the needs of customers more quickly and effectively

    * Lead to good and efficient management

    * Give competitive edge over other non-ICI banks

    * Ensure time effectiveness - saving both customer and bank enough time

    * Enhance opportunity to bank at any time of the day, and

    * Minimize human error.

      Services that could be delivered with the aid of functional ICT include:

    * Internet banking - where customers make transactions outside the banking hall with the help of a computer with Internet access. SMS banking - making banking transaction with the support of a cell phone

    * Telephone banking

    * Receiving statement of account via e-mail, and

    * Slip-free transactions - customers making deposits and withdrawals without filling any forms.

      In order to offer the stated opportunities, skill upgrade of ICT staff in financial services industry is inevitable.

      Most Nigerian banks are well exposed to retail and consumer banking products and other generic banking products. This is because of the short-term life span of these products and the fact that the banks have funds that could only be invested on a short-term/medium-term basis.

      However, structured finance and its other appendages (investment banking, infrastructural

finance, among others) is an evolving field that requires multi-disciplinary approach and in-depth understanding of financial modeling. Presently, few banks, and in rare cases smaller firms, have competence in this field that is easily dominated by offshore financial services company or their subsidiaries in Nigeria.

      Structured finance and investment banking products are typically big transactions that have a long gestation, delivery and returns period but could have a tremendous impact on the society and are profitable. There is the need to train and expose financial services staff to the intricacies of this tailor-made finance tool which transverses the collateral debacle and opens win-win opportunity vistas for the lender and borrower.

      Real estates have the potential of continuous appreciation and yielding of good returns to holders. It is typically large-scale transaction with a long delivery period and seldom goes wrong. There is a gradual awakening towards the opportunity in this sector, especially with the on-going land use reform acts being undertaken by the current government. Players in the financial services market need to beam their searchlight to tap the juicy opportunities that exist in the sector.

------------------------------------Business, Energy or Environmental regulations or discussions

 http://www.guardiannewsngr.com/business/article02//indexn2_html?pdate=070208&ptitle=Vietnam%20investors%20seek%20partnership%20with%20Nigeria%20on%20cluster%20industrial%20scheme

Vietnam investors seek partnership with Nigeria on cluster industrial scheme>From Emeka Anuforo, Abuja

NIGERIA's industrial cluster scheme, recently scripted by the Federal Government, may have struck a positive note on Asian investors, as manufacturers from Vietnam are seeking partnership with Nigerians, to set up industrial plants in the country, under the new initiative.

Specifically, the investors are interested in food processing and confectionaries, starch making, textiles/garments, pharmaceuticals, plastic products, s seasoning, and shoe manufacturing.

The cluster concept of government is expected to require the establishment of free trade zones, industrial parks, industrial clusters, enterprise zones, and incubators at different levels of the economy and in all parts of the country.

President of the Nigeria-Vietnam Chamber of Commerce and Industry, Prince Oye Akinsemoyin, who sealed a pact with the Nigerian Investment Promotion Commission, Joint Nigeria/Vietnam Investment Promotion in Abuja on Tuesday, revealed that Vietnam is world acclaimed as specialist in this area.

He observed that Nigeria stands to gain tremendously by partnering with Vietnam in these areas to actualize the industrialisation strategy of the Federal Government.

According to him, "The chamber is planning to set up a N100 million trust fund soon. The yields from the pool should supply advancement to members, who are in small scale entrepreneurship under generous terms."

According to him, "a subscriber-based electronic information service on various business

contacts in Vietnam, benefits of doing business with them and other relevant information, Vietnam is being provided on sectoral basis. This will be on the website of the chamber soon.

"In the maritime sector, a member of the Nigerian-Vietnam Chamber of Commerce and Industry is already working with a major shipbuilding and repair yard in Vietnam with a view to having them invest in the Nigerian maritime sector. In this direction, the Vietnam Ambassador paid a recent courtesy call visit to the Director General, NIMASA."

He stressed that a ferry service company in Lagos was already in the pipeline in partnership with Vietnam investors.

He added, "Vietnam investors are also interested in partnering with Nigerians in the oil and gas sector. Vietnam is a source for tankers, tugboats, barges and gas carriers. In addition, Vietnam is willing to partner in the provision of expertise for the maritime sector namely: marine environmental pollution, safety, human/facilities and capacity building."

http://africa.reuters.com/country/NG/news/usnL06172991.html

Nigeria to curb imports of "toxic" old computersWed 6 Feb 2008, 18:45 GMT[-] Text [+]

ABUJA, Feb 6 (Reuters) - Nigeria plans to slap duties on old computers imported for spare parts because much of the excess material is later dumped and causes toxic waste, Information Minister John Odey said on Wednesday.

Nigeria has a growing market for computers, especially affordable ones, and there is a strong local culture of patching things up to keep them working for many years.

Currently, importers can ship in old computers duty free. They are then gutted for spare parts and the unwanted bits are thrown away.

"(Old computers) will be banned completely later, but it has to be a gradual process to avoid our country turning into a dumping ground for scrap," Odey told reporters after a cabinet meeting that approved the idea of tariffs.

"This action became necessary because they are found to have toxic waste that causes cancer and other hazards to health," he said.

The disposal of unwanted electronic appliances has become increasingly regulated in developed countries but in Nigeria and other poor countries waste management is haphazard.

Burning piles of refuse are a common sight by the side of the road in Nigerian cities while huge dumps proliferate in densely populated areas. (Reporting by Felix Onuah; Writing by Estelle Shirbon; Editing by Jon Boyle)  ------------------------------------Activity in the Oil and Gas sector (including regulatory)

http://www.guardiannewsngr.com/energy/article02//indexn2_html?pdate=060208&ptitle=Techno%20Oil%20to%20commission%20N%201.2%20billion%20tank

%20farm

Techno Oil to commission N 1.2 billion tank farmBy Sulaimon Salau

TECHNO Oil Limited, an indigenous oil and gas company, is set to commission a Liquefied Natural Gas (LPG) tank farm in Apapa area of Lagos State. The project is to gulp $10, million (N1.2 billion).

The facility, with installed capacity of 5,000 metric tones (mt), is at an advanced stage of construction and would be commissioned next month.

This is coming as the company unveiled its commencement of exporting its motor oil products to the South American country, Brazil.

Managing Director of Techno Oil, Mrs. Nkechi Obi disclosed this at a media luncheon in Lagos recently. She said the feat was part of the company's commitment to expand its operations in the country to meet local demand and proved its word class quality to the other parts of the globe.

Obi explained that the tank farm would be supplied by its 2,500mt capacity vessels and enhanced by a bottling plant among other facilities. She stressed that the fund would be sourced from one of the leading banks in Nigeria, which has already indicated interest in the investment.

Techno Oil commenced operations 10 years ago, marketing a wide range of products which includes the Petroleum Motor Spirit (PMS), Automated Gas Oil (AGO), DPK and LPFO,

Among other products are LPG, greases, lubricants and chemicals manufactured for domestic and industrial uses.

Speaking on the exportation of products to Brazil, the Deputy Managing Director, Mr. Tony Onyeama said, "We are indeed humbled that our motor oils, our modest contribution to the nation have caught the attention of discerning users both inside and outside the country."

Describing the product as a wholly and proudly made in Nigeria, Onyeama said the management of the company was "pleasantry surprised" that orders for the products could come from countries as far as Brazil. He therefore described the development as hearth-warming for manufacturers, industrialists and small and medium scale enterprises in Nigeria.

Onyeama disclosed that the company had for long been exporting products to some African countries including Cameroon, Togo, Niger Republic and Cote d' Ivoire, noting that the selling of the products to foreign countries is a turning point in the history of the company.

According to him, the success of the motor oils, Techno Oil Ultra XP, Super XL, Avance and HD 40 started with their overwhelming acceptance by users. Facilitating these products include its petroleum depot with combined capacity of 20,000mt, a state-of-the-art laboratory for quality assurance and a 70,000 mt lubricant blending plant among others.

The Techno boss, however, restates the company's commitment to improving the quality of service delivery to its esteemed customers in and outside Nigeria.

http://africa.reuters.com/country/NG/news/usnL06438920.html

Nigeria's Warri oil refinery to restart ThursdayWed 6 Feb 2008, 18:07 GMT[-] Text [+]

(Adds background)

LAGOS, Feb 6 (Reuters) - Nigeria's Warri oil refinery will restart production on Thursday, the head of the state oil firm NNPC said, two years after the plant was shut when its main feeder pipeline was blown up by militants.

The 125,000 barrels per day refinery will begin production at 60 percent capacity and increase to 90 percent next week, Abubakar Yar'Adua, Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), said on Wednesday during a tour of the refinery, according to state radio.

State radio also quoted Yar'Adua as saying $50 million had been spent on fixing the refinery, while a 110,000 barrels per day plant in the northern city of Kaduna -- also shut down two years ago -- will come back on stream in August.

Yar'Adua has made predictions about restarting Nigeria's dysfunctional refineries in the past that did not come true.

An NNPC official had told Reuters last month that the two plants were due to restart before the end of January, cutting Nigeria's $4 billion annual fuel import bill dramatically and crude exports by about 200,000 barrels per day.

The pipeline feeding the Warri and Kaduna refineries was sabotaged by militants during a string of attacks on oil facilities in the lawless Niger Delta in February 2006.

The state oil company was unable to effect repairs until late last year because local communities denied workers access to the damage, located deep in the southern swamps of the oil producing delta region.

Company officials and analysts say the delay was also prolonged by corrupt government officials who benefit from commissions on fuel imports, which reached about 5 million tonnes, worth $4 billion, last year because of the refinery stoppage.

A third refinery complex in the southeastern oil hub of Port Harcourt, with a capacity of 210,000 barrels per day, is fed by a different pipeline and is currently operating at 65 percent, the NNPC official said in January. (Reporting by Tume Ahemba, editing by Anthony Barker)

http://africa.reuters.com/country/NG/news/usnL07316539.html

Shell says 130,000 bpd halted due to Nigeria leaksThu 7 Feb 2008, 7:42 GMT[-] Text [+]

ABUJA, Feb 7 (Reuters) - The Nigerian arm of Royal Dutch Shell <RDSa.L> said 130,000 barrels per day (bpd) of crude output was halted because of leaks on the Nembe Creek pipeline in the Niger Delta, a spokeswoman said on Thursday.

Shell had on Wednesday declared a force majeure on exports from the Bonny export terminal

because of the leaks, saying it was unable to fix them because of security concerns.

The spokeswoman said 30 percent of the halted 130,000 bpd was Shell's own production while the other 70 percent belonged to its Joint Venture partners including the Nigerian state oil firm NNPC. (Reporting by Estelle Shirbon; editing by James Jukwey)

------------------------------------Kidnappings, attacks on energy installations/infrastructure

http://www.punchng.com/Articl.aspx?theartic=Art2008020623591243

  Modular refineries: Youths protest in DeltaBy Sola Adebayo, WarriPublished: Thursday, 7 Feb 2008

Youths from the five oil producing ethnic nationalities in Delta State on Wednesday embarked on protests in Warri and Effurun over the delayed take- off of the five modular refineries initiated by the Delta State Oil

DESOPADEC, an agency established by the Delta State government to administer 50 per cent of the monthly 13 per cent derivation funds to the state, had planned to construct five modular refineries in the oil producing areas of the state.

The refineries are expected to employ 16,000 persons, among other benefits, when fully operational.

But the commission merely cleared the sites at the designated communities while the actual construction works were yet to commence.

The youths, who operated under the aegis of Delta State Youths Federation, a coalition of various youth organisations in the state, stormed major roads and streets of Warri and Effurun, as early as 7am, and demanded the immediate take- off of the projects.

They were led by the leaders of DSYF, including its Coordinator, Mr. Hendricks Opukeme, Deputy Coordinator, Ijaw, Mr. Ari S. Ari; Deputy Coordinator, Isoko, Mr. Joram Utukpe; Deputy Coordinator, Urhobo, Mr. Godwin Okporoko; and the Adviser of the group, Mr. Kennedy Orubebe.

The protesting youths vowed to resist any move to frustrate the construction of the refineries, adding that the projects were strategic to the human capital and infrastructural development initiatives of the state Governor, Dr. Emmanuel Uduaghan.

Opukeme, who later addressed a news conference in company with other leaders of the group at Effurun, the headquarters of Uvwie Local Government Area, said the youths of the oil bearing communities in the state were worried that the refineries were yet to take- off.

Opukeme described the benefits from the proposed refineries as “immensurable.”

Nigeria abductors demand ransom for politician's wife: family

http://thenews.jang.com.pk/updates.asp?id=36893

Updated at: 1440 PST, Thursday, February 07, 2008

LAGOS: Nigerian kidnappers have demanded 500 million naira (4.2 million dollars) ransom for the release of the wife of a prominent politician taken hostage in Port Harcourt, a family member said Thursday.

"The kidnappers called us on the phone to ask for payment of 500 million naira before she can be released," a close relation of Seinye, wife of ruling party member Lulu Briggs said while talking to a French news agency.

The woman, an executive director with Monipulo, an oil service firm owned by the Briggs, was abducted by yet-to-be identified gunmen in the oil city overnight Wednesday and taken to an unknown location.

A policeman was killed, and several militants and Seinye's daughter were wounded during the attack. No group has claimed responsibility for the attack, the latest in the volatile oil region.

Last week, gunmen kidnapped a 17-year-old boy from his parents' compound at Abonnema, near Port Harcourt. They have demanded a ransom for his release.

Unrest in the Niger Delta slashed oil output in Nigeria, the world's eighth-largest crude exporter, by a quarter in 2006 and 2007 to 2.1 million barrels per day.

Last year, more than 200 foreign workers were taken hostage. They were often released after a ransom was paid. The militants have in recent months been targeting family members of prominent Nigerians since the oil firms beefed up security in the region.