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N20b Export Grant Inadequate, says MAN

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  • N20b Export Grant Inadequate, says MAN

The Manufacturers Association of Nigeria (MAN) has decried the N20 billion provision in the 2017 budget for the payment of backlog of Export Expansion Grant (EEG).

Its President, Dr. Udemba Jacobs, said it was grossly inadequate and should be increased in view of the huge outstanding payment that runs up to N230 billion.

Supporting its reintroduction after years of inaction, he said the scheme, when in operation contributed to the economy as evidenced by the 197 per cent increase in Nigeria’s non-oil export from $1billion in 2006 to $2.97billion in 2013, including visible industrial expansion, and market penetration of made-in-Nigeria goods.

Jacobs said the association is of the view that the 10-year stipulated for the recovery of the Promissory Note was too long a time and should be reduced.

He said the scheme also created jobs for about 11 million persons in the non-oil sector but, regretted that things changed within one year of the suspension of the scheme, resulting in the decline of Nigeria’s non-oil export by eight per cent from $2.97billion in 2013 to $2.71billion a year later.

While commending the Federal Government for lifting the suspension placed the scheme after nearly three years with slight modifications, he lamented that non-oil exports have not been able to make the desired significant impact due to the several challenges facing non-oil exporters.

On the challenges, he said manufacturers are facing enormous cost in doing business in addition to having a high level competition in the international market,from countries that tend to support exporters with incentives.

Others are loss of preferential market access to the European Union (EU) and the nature and components of export productsThe MAN chief lamented that Nigeria has the highest financial and energy costs when compared with her competitors such as India, Pakistan, China, Indonesia, Europe, Kenya, and others.

He said the Negotiable Duty Credit Certificate (NDCC) shall henceforth be settled by issuing Negotiable Export Credit Certificate (NECC) to the beneficiaries, valid for two years and is only transferable once.

He added that beneficiaries would be able to use the certificates to settle all Federal Government taxes such as company income tax, Value Added Tax (VAT) and With Holding Tax (WHT).

He also said in the modified guideline, the EEG payment rate was reduced to 15 per cent maximum from 30 per cent before the suspension of the scheme.

According to him, eligible new EEG applications in the year would be paid with NECC while the applications before 2017 and outstanding NDCC would be paid via a 10 year maturity Promissory Note.

He said: “The EEG Scheme is a veritable vehicle that has proven to be a strategic stimulant for non-oil export oriented activities that are required to trigger significant growth in non-oil export through meaningful diversification. The lifting of suspension on EEG by the government is timely, a step in the right direction towards restoring significant growth in non-oil sector. It is, however, expedient that the government considers and effectively implements the following critical measures to guarantee sustainable growth in the sector.”

CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and Investing.com, with over a decade experience in the global financial markets.

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Transcorp Hotels Expand into Marketplace, Launches Aura to Connect People, Hoteliers, Others

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Transcorp Hotels Plc, on Thursday, announced it has launched a new digital platform, Aura, through which people can book accommodation, restaurants and experiences.

Aura, Transcorp’s first in the alternative accommodation segment, is part of the company’s asset-light model, leveraging technology to deliver true hospitality, exciting experiences, and drive shareholder value.

It’s a new dawn in the hospitality industry! I am thrilled to introduce you to Aura by Transcorp, the digital platform we are using to connect people to quality accommodation, great food, and awesome experiences,” Managing Director and Chief Executive Officer of Transcorp Hotels Plc. Dupe Olusola said.

For more than 30 years, Transcorp Hotels Plc has been at the forefront of creating a superior guest experience at our locations. Today, our commitment to innovation has offered us an opportunity to extend this beyond the hotel premises,” Olusola added.

The launch of Aura by Transcorp is one of the most significant developments in the company’s history as it seeks to transform the travel and tourism industry in Africa by focusing on three important components of travel, whether for leisure or business — where you stay, what you eat and how you spend your time. With its people-driven hospitality model, Aura is set to revolutionise travel and help remind Africans of our deep history of hospitality.

Speaking on the launch of Aura, Obong Idiong, Chief Executive Officer at Africa Prudential Plc, Aura’s technology partners, expressed his excitement. “Finding the right accommodation when you travel can be incredibly complex. Options available for the right prices are often limited, and travellers sometimes end up with accommodation that taints the travel experience. Transcorp Hotels Plc has been able to fix that with Aura and we are proud to be associated with them.”

To ensure topnotch user experience, we built a solution to drive digital transformation through the adoption of shared living spaces for the Aura business. With an advanced search algorithm powered by artificial intelligence, Aura determines the relevance of locations taking into consideration, the customers’ preferences and requirements to meet them at the point of their needs,” Idiong added.

Priscilla Adeboye, a travel enthusiast and early adopter of Aura, said the global pandemic has pushed international travel down her list. “But I still want to be able to take some time off work or spend a weekend away from home with the family. I have found incredible homes on Aura that meet my need for space and privacy.

 

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Siemens Energy Nigeria Appoints Seun Suleiman as Managing Director

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Seun Suleiman is the New Managing Director of Siemens Energy Nigeria

Mr. Seun Suleiman is the new managing director of Siemens Energy Nigeria, the company announced on Wednesday.

According to the statement released by the energy company, Suleiman will be responsible for the entire management of operations and decisions on business policies and corporate strategy.

Commenting on his appointment, Suleiman said, “It is an absolute honor to lead the business for Siemens Energy Nigeria and I look forward to delivering on the brand’s promise of excellence.

Suleiman joined Siemens Energy in 2014, bringing over 15 years’ experience and deep expertise in the private sector across Europe and West Africa.

The statement said, “He is an accomplished business strategist and success-driven leader with strong business acumen. Suleiman has also been a core member of the executive management team at Siemens Energy serving in roles as Sales Director West Africa – Service Distributed Generation Oil & Gas and Vice President Service & Digital.

“Prior to this, he also held various functional and managerial positions with ABB Ltd UK, ABBNG Nigeria, Schneider Electric Nigeria and Dresser-Rand Nigeria Ltd.

It added that Suleiman was experienced in establishing operational excellence with specific competence in the power, oil and gas sectors.

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FG Reopens Osubi Airport Warri for Daylight Operations

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FG Reopens Osubi Airport Warri for Daylight Operations

The Federal Government on Monday said the Osubi Airport in Warri has been reopened for daylight operations.

The Minister of Aviation, Hadi Siriki, disclosed this in a tweet.

The airport was closed in February 2020 over mismanagement and debt allegation involving aviation service providers and airport management.

However, Oberuakpefe Afe, a lawmaker representing Okpe/Sapeie/vaie federal constituency, recently moved a motion for the Federal Government through the ministry of aviation and relevant authorities to reopen the airport for flight operations.

On Monday, Hadi Siriki said “I have just approved the reopening of Osubi Airport Warri, for daylight operations in VFR conditions, subject to all procedures, practices and protocols, including COVID-19, strictly being observed. There will not be need for local approvals henceforth.

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