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Reps Summon Adeosun Over Alleged Oil, Gas Infractions

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  • Reps Summon Adeosun Over Alleged Oil, Gas Infractions

The House of Representatives Committee on Public Procurement has summoned the Minister of Finance, Mrs. Kemi Adeosun over the alleged violation of the law in the engagement of consultants for pre-shipment inspection and monitoring of crude oil and gas exports from the country.

Adeosun and the permanent secretary in her ministry are to appear before the committee led by Mr. Wole Oke by 10:00 a.m. today in the two-day investigative hearing on the issue at the National Assembly in Abuja.

Activities in the oil and gas sector are reportedly bogged down by a lack of transparency. The probe, if efficiently carried out, may be another measure at checking corruption in the industry.

Members of the committee who condemned the absence of the minister were further incensed after the Director of Legal Services in the ministry, Mr. Christopher Gabriel said he was not prepared to make submission on behalf of the ministry.

Oke, who grilled the Director General of the Bureau of Public Procurement (BPP), Mr. Mamman Ahmad over the non-adherence to the directive of President Muhammadu Buhari on due process, wondered why the bureau failed to carry out due diligence in the evaluation. He particularly accused the BPE of abdicating its responsibilities to verify claims of bidders who were allegedly ranked prequalified fraudulently in a bid to mislead the ministry.

The BPP boss, who disclosed that the prequalification process had been completed and the report sent to the finance ministry, insisted that outfits picked industry practitioners based on security reports and available information.

Oke wondered why the Ministry of Finance decided to delve into the affairs of the petroleum ministry, and queried the BPP boss for not adhering to the rule of open competitive bidding as specified by the PPA Act.

A member of the committee, Mr. Ossai Nicholas Ossai drew the attention of the BPP boss to how three of the firms, including Trobell International Limited owned by an individual that evaded the payment of taxes, were picked and tasked with both the inspection and monitoring of oil exports from the country.

An attempt by the Managing Director of Trobell, Mr. Thomas Sedi, who was at the investigative hearing, to distance his outfit from such infractions failed as Oke confronted him with evidence that his outfit evaded tax since it under-declared a ridiculous amount of a turnover of N795,000.00 which was a clear aberration.

Oke, who lamented that the BPP sidelined duly qualified firms in the polity, said the committee would refer the issue involving Trobell to the Economic and Financial Crimes Commission (EFCC), the police, Independent Corrupt Practices Commission (ICPC), and the Department of State Services (DSS) to unearth the level of breaches involving the pre-qualified firms.

The Auditor- General of the Federation (AGF), Mr. Anthony Mkpe Ayime who testified before the lawmakers said he was not in the know of the entire prequalification exercise.

Meanwhile, the Senate President, Bukola Saraki has reviewed the styles adopted in waging the war against corruption by the President Buhari-led administration submitting that they had failed. He advocated deterrence rather than punishment in order to permanently win the war.

Saraki made the comments in his speech at the public presentation of Senator Dino Melaye’s book titled: Antidotes For Corruption – The Nigerian Story held in Abuja yesterday. He declared that the Federal Government had not achieved much in its war against corruption because the anti-graft agencies were under pressure to demonstrate that they were working well.

“Most often, therefore, because our anti-corruption agencies are under pressure to justify their existence and show that they are working, they often tend to prefer the show over the substance. However, while the show might provide momentary excitement or even public applause, it does not substitute for painstaking investigation that can guarantee convictions,” Saraki said.

Charging the government and its officials to show more openness and accountability in their dealings, the Senate President stated: “The people are demanding more openness, more accountability and more convictions. Those of us in government are also responding, joining the conversation and accepting that the basis of our legitimacy as government is our manifest accountability to the people. We acknowledge that if we want Nigerians to trust their government again, then government at all levels must demonstrate that we are not in office for the pursuit of private gains, but to make our people happier by helping them to meet their legitimate aspirations and achieve a higher quality of life.”

On why deterrence is a better approach to fighting corruption, Saraki said: “I am convinced that we must return to that very basic medical axiom that prevention is better than cure. Perhaps, the reason our fight against corruption has met with rather limited success is that we appeared to have favoured punishment over deterrence.

“We must review our approaches in favour of building systems that make it a lot more difficult to carry out corrupt acts or to find a safe haven for corruption proceeds within our borders.

“In doing this, we must continue to strengthen accountability, significantly limit discretion in public spending, and promote greater openness,” he said.

On why the current style adopted to fight corruption is wrong, Saraki said: “The problem with that approach however, is that the justice system in any democracy is primarily inclined to protect the fundamental rights of citizens. Therefore, it continues to presume every accused as innocent until proven guilty. Most often, it is difficult to establish guilt beyond all reasonable doubts as required by our laws. It requires months, if not years of painstaking investigations. It requires highly experienced and technically sound investigation and forensic officers. It requires anti-corruption agents and agencies that are truly independent and manifestly insulated from political interference and manipulation. We must admit that we are still far from meeting these standards.”

The Senate President, however, declared that tremendous progress had been made in the fight against corruption under Buhari in the last two years. “One area I believe we have made remarkable progress is that corruption has been forced back to the top of our national political agenda.

“Every day you read the newspapers, you listen to the radio, you go on the Internet, you watch the television, the people are talking about it. The people are demanding more openness, more accountability and more convictions.”

The ceremony chaired by the former Speaker of the House of Representatives, Umar Ghali Na’Abba, also had in attendance Deputy Senate President, Ike Ekweremadu; former governor of Kogi State, Captain Idris Wada; former First Lady, Dame Patience Jonathan; former Secretary to the Government of the Federation, Senator Anyim Pius Anyim; Minister of Federal Capital Territory, Mr. Mohammed Bello and Minister of Labour, Dr. Chris Ngige, among others.

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

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Dry Cleaners Set to Tap into $165 Billion Global Cleaning Industry

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The Fabric Professionals and Dry Cleaners Association of Nigeria (FPDA) is gearing up to host the “Clean Show Africa 2024” conference.

This conference aims to expose over 25,000 dry cleaners to the vast opportunities present in the global cleaning and hygiene industry, valued at a staggering $165 billion.

Scheduled to take place on May 28–29, 2024, in Lagos, the event is themed “Positioning Africa’s fabric and hygiene industry for excellence.”

It comes at a crucial time when Nigeria’s dry cleaning industry is experiencing steady growth, with projections indicating a 6.4% annual increase over the next decade.

According to Enibikun Adebayo, Chairman of FPDA, Nigeria’s dry cleaning industry was valued at $8.4 million in 2019.

However, this figure is expected to rise significantly, presenting a ripe opportunity for stakeholders to tap into.

Adebayo emphasized the importance of collaboration within the industry to fully leverage its potential.

“A year ago, we launched FPDA of Nigeria. We are also using the platform to educate our members to be better professionals,” stated Adebayo, highlighting the association’s commitment to enhancing professionalism and standards within the sector.

The conference will shine a spotlight on women in the dry cleaning business, recognizing their pivotal role in driving the industry forward. Reports have shown that dry cleaning businesses are often better managed by women, and the event aims to provide them with the necessary support and resources to thrive.

Ruth Okunnuga, Managing Director of Wasche Paint Nigeria, expressed the need to revolutionize Nigeria’s dry cleaning and laundry industry, emphasizing the lack of proper structure and investment.

She stressed the importance of data collection for effective planning and growth within the sector.

Joseph Oru, Managing Director of Zenith Exhibition, highlighted the conference’s objective of engaging the Federal Government to establish training institutions for dry cleaners. Such institutions would play a crucial role in equipping professionals with the skills and knowledge needed to meet global standards.

As Nigeria’s dry cleaning industry prepares to tap into the vast opportunities offered by the global cleaning market, the Clean Show Africa 2024 conference stands as a pivotal platform for collaboration, innovation, and growth within the sector.

With a focus on excellence and professionalism, stakeholders aim to position Nigeria as a key player in the dynamic and lucrative cleaning and hygiene industry.

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Nigeria-Taiwan Commerce Falls to $500m in 2023

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The Chief of Mission to the Taiwanese Government in Nigeria, Andy Liu, has said that the trade relations between Nigeria and Taiwan drop to $500 million in 2023 from $1 billion in 2021.

Liu made these comments during the 2024 Taiwan Business Forum held in Lagos.

According to Liu, Nigeria’s status as a net exporter of agricultural products, particularly sesame seeds has historically fueled the trade between the two nations.

However, the peak in trade experienced in 2021, buoyed by increased demand for Nigerian agricultural goods, notably declined in subsequent years.

“The highest peak of trade reached about $1 billion in 2021. It was the peak of COVID-19, with Nigerians enjoying surplus trading with Taiwan. We imported more of Nigeria’s agricultural products, such as sesame, aside from oil-related products. In 2021, we had a huge demand for agricultural products for our food processing industries,” Liu stated.

However, the trade dynamics shifted in the following years, leading to a significant decline in trade volume.

Liu attributed this decline to a normalization of demand following the peak in 2021, resulting in a reduction in trade value to $500 million by 2023.

Despite this decrease, Liu remained optimistic about the future trajectory of trade relations between the two countries.

“We might see some level of increase in the near future,” Liu enthused, highlighting Nigeria’s continued significance as a destination for Taiwanese businesses.

In addition to discussing trade volume, Liu addressed the issue of counterfeiting and piracy, which has affected Taiwanese products globally.

He said the Taiwanese government is working to combat this challenge by showcasing the quality of Taiwanese products and providing after-sale services.

“We have been having our delegates visit the world to prove that we are victims of piracy, but we are going to use the platform to show that we have good and quality products to let the world know who the true providers of these quality goods are,” Liu affirmed.

The President of Globe Industries Corporation, David Hwang, echoed concerns about counterfeit products, attributing the decline in profit margins to the influx of counterfeit goods from China.

Hwang emphasized the need for partnerships to address this issue and foster mutually beneficial trade relations.

Responding to the developments, the Director-General of the Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA), Sola Obadimu, commended the Taiwanese focus on African businesses and the quality of their products.

He pledged NACCIMA’s continued collaboration with Taiwanese companies to drive business growth for both nations.

As Nigeria and Taiwan navigate the challenges posed by fluctuating trade volumes and counterfeit goods, stakeholders remain committed to fostering resilient and mutually beneficial economic ties.

The 2024 Taiwan Business Forum served as a platform for dialogue and collaboration, laying the groundwork for future cooperation between the two nations.

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Nigeria Advances Plans for Regional Maritime Development Bank

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Nigeria is making significant strides in bolstering its maritime sector with the advancement of plans for the establishment of a Regional Maritime Development Bank (RMDB).

This initiative, spearheaded by the Federal Government, is poised to inject vitality into the region’s maritime industry and stimulate economic growth across West and Central Africa.

The Director of the Maritime Safety and Security Department in the Ministry of Marine and Blue Economy, Babatunde Bombata, revealed the latest developments during a stakeholders meeting in Lagos organized by the ministry.

He said the RMDB would play a pivotal role in fostering robust maritime infrastructure, facilitating vessel acquisition, and promoting human capacity development, among other strategic objectives.

With an envisaged capital base of $1 billion, RMDB is set to become a pivotal financial institution in the region.

Nigeria, which will host the bank’s headquarters, is slated to have the highest share of 12 percent among the member states of the Maritime Organization of West and Central Africa (MOWCA).

This underscores Nigeria’s commitment to driving maritime excellence and fostering regional cooperation.

The bank’s establishment reflects a collaborative effort between the public and private sectors, with MOWCA states holding a 51 percent shareholding and institutional investors owning the remaining 49 percent.

This hybrid model ensures a balanced governance structure that prioritizes the interests of all stakeholders while fostering transparency and accountability.

In addition to providing vital funding for port infrastructure, vessel acquisition, and human capacity development, the RMDB will serve as a catalyst for indigenous shipowners, enabling them to access financing at favorable terms.

By empowering local stakeholders, the bank aims to stimulate economic activity, create employment opportunities, and enhance the competitiveness of the region’s maritime sector on the global stage.

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