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Ambode Proposes Special Fund to Bridge N4.47tn Infrastructure Gap

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  • Ambode Proposes Special Fund to Bridge N4.47tn Infrastructure Gap

Confronted with an acute dearth of funds to finance the state’s capital expenditure, Lagos State Governor, Mr. Akinwunmi Ambode, Tuesday proposed the establishment of a special fund which would be deployed to address the state’s infrastructure deficit.

Ambode also justified the decision of the state government to increase land use charge between 200 and 500 per cent, which he said, was born of the need to drive capitalism in the state with a sense of social inclusion and generate more funds to bridge infrastructure gap.

He canvassed these positions at an interactive session he held with organised private sector (OPS) and captains of industry at the Eko Hotels & Suites, Victoria Island yesterday, noting that the meeting “is more about the future of Nigeria than the future of Lagos.”

The session, which was tagged Lagos Means Business, was attended by President of Dangote Group, Alhaji Aliko Dangote, Founder of FCMB Plc, Otunba Subomi Balogun, Chairman of Heirs Holdings, Mr. Tony Elumelu, Founder of Premier Lotto Limited, Sir Kessington Adebutu, Chairman of Zenith Bank Plc Mr. Jim Ovia and Chairman of Honeywell Group Oba Otudeko, among others.

At the session, Ambode disclosed that the state would require a whopping sum of $50 billion (equivalent to N14.47 trillion) in the next five years to bridge infrastructure gap with the exclusion of education, health and housing sectors.

He noted that about $20 billion would be required for the construction of road construction alone and $16.5 billion for providing 24-hour stable power supply under the Lagos State Power Reforms Law, 2018.

He further disclosed that the state would require $9.3 billion for transportation; $5 billion for information & communication technology; $3 billion for water development and $2.7 billion for waste management and other environmental challenges over the period of five years.

At these instances, Ambode proposed that an infrastructure fund be established “to address the state’s huge infrastructure deficit. There is need for infrastructure fund. This fund will be managed by private sector. It will be similar to the Lagos State Security Trust Fund.”

Specifically, the governor defended the decision of the state government to increase land use charge, which according to him, became necessary because his administration planned to do more than what it had been doing in the last three years with the budget of N1.046 trillion.

Under the 2018 budget, the governor said the state proposed to generate N720 billion internally, noting that the fund would either come from taxes or we turn to multilateral financial agencies to borrow.

He said: “If we must do not tax, we must go to multilateral financial agencies. If we do not tax now, we will be forced to borrow from multilateral financial agencies. At the end of the day, we are still going to use tax payers’ monies to fund the actual loans and the interests.”

He provided insight into the Land Use Charge Law, noting that the law “was enacted in 2002. The law makes provision for review every five years. But it has not been reviewed for 15 years. I do not think we have done anything bad to review the law at this time because the value of property in all part is more than double.

He, however, said the state government “is ready to dialogue with the Organised Private Sector on the land use charge. We are a state of 24 million people. Only eight million are taxable. The number of people that actually submitted tax returns in 2017 is two million. From this number, only 700,000 people paid their taxes.”

Apparently, Ambode noted that the current tax returns were not enough to cater for the capital projects ongoing across the state, adding that major cities across the world with thriving economies are sustained by the taxes paid by residents.

Also at the meeting, Dangote said he was initially displeased with the decision of the state government to increase land use charge, noting that he had to confront the governor about it at a public function last Saturday.

He, however, said a business associate later explained details about the land use charge to him, which according to him, was not high in the real sense.

He urged the business community to help the Lagos State government and voluntarily pay their taxes, adding that Lagos is friendly.

In his remark, Ovia said corporate bodies “now feel safe to invest in the state due to the investment in security.”

He therefore, commended the state government for sustaining the Lagos State Security Trust Fund (LSSTF).

According to him, Ambode has spoken today like a Chairman/CEO of a company to his shareholders. We are definitely one of your shareholders and we would renew your mandate in 2019 there’s no doubt.

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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Netanyahu Stands Firm as US Halts Bomb Shipment Over Rafah Invasion Warning

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Netanyahu

Amidst escalating tensions between Israel and the United States, Israeli Prime Minister Benjamin Netanyahu has adopted a defiant stance following the US decision to halt a shipment of bombs and warned against Israel’s potential invasion of the southern Gaza city of Rafah.

In a bold statement, Netanyahu declared, “If we have to stand alone, we will stand alone,” emphasizing Israel’s resolve to pursue its objectives despite opposition.

The Prime Minister’s comments, delivered via social media and a subsequent interview with American talk show host Dr. Phil, underscore Israel’s determination to address security threats posed by the Gaza Strip, particularly by Hamas militants operating in Rafah.

Netanyahu reiterated the necessity of military action in Rafah to eliminate the remaining Hamas battalions, condemned Hamas’s history of violence and reiterated Israel’s commitment to achieving victory and ensuring the safety of its citizens.

The US administration, led by President Joe Biden, expressed concerns over the potential humanitarian impact of an Israeli invasion of Rafah, prompting the decision to withhold additional offensive weapons shipments to Israel.

Biden’s statement echoed broader international apprehensions about the escalation of violence and civilian casualties in the conflict-stricken region.

However, Netanyahu remained resolute in Israel’s approach, asserting the country’s right to defend itself against security threats. He emphasized Israel’s efforts to minimize civilian casualties and facilitate the evacuation of civilians from Rafah before any military action.

Despite the US’s decision to pause the bomb shipment, Netanyahu affirmed Israel’s commitment to its longstanding alliance with the US. He acknowledged past disagreements between the two nations but expressed optimism about resolving current tensions through dialogue and cooperation.

In response, White House officials reiterated the US’s support for Israel’s security while urging restraint and emphasizing the need to avoid actions that could exacerbate the humanitarian crisis in Gaza.

The administration clarified that the decision to halt the bomb shipment was aimed at preventing potential civilian casualties in Rafah.

The confrontation between Israel and the US underscores the complexity of navigating regional conflicts and balancing strategic interests. As tensions persist, both nations face the challenge of reconciling their respective security imperatives with broader humanitarian concerns, seeking to avert further escalation while addressing the root causes of the conflict in the Middle East.

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EFCC Declares Former Kogi Governor, Yahaya Bello, Wanted Over N80.2 Billion Money Laundering Allegations

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Yahaya Bello

The Economic and Financial Crimes Commission (EFCC) has escalated its pursuit of justice by declaring former Kogi State Governor, Yahaya Bello, wanted over alleged money laundering amounting to N80.2 billion.

In a first-of-its-kind action, the EFCC announced Bello’s wanted status in connection with the alleged embezzlement of funds during his tenure as governor.

The commission, armed with a 19-count criminal charge, accused Bello and his cohorts of conspiring to launder the hefty sum, which was purportedly diverted from state coffers for personal gain.

The declaration of Bello as a wanted fugitive came after a series of failed attempts by the EFCC to effect his arrest.

Despite an ex-parte order from Justice Emeka Nwite of the Federal High Court, Abuja, mandating the EFCC to apprehend and produce Bello in court for arraignment, the former governor managed to evade capture with the reported assistance of his successor, Governor Usman Ododo.

This latest development shows the challenges faced by law enforcement agencies in holding powerful individuals accountable for their actions.

However, it also demonstrates the unwavering commitment of the EFCC to uphold the rule of law and ensure that justice is served, irrespective of the status or influence of the accused.

In response to the EFCC’s declaration, the Attorney General of the Federation and Minister of Justice, Lateef Fagbemi, issued a stern warning to Bello, stating that fleeing from the law would not resolve the allegations against him.

Fagbemi urged Bello to honor the EFCC’s invitation and cooperate with the investigation process, saying it is important to uphold the rule of law and respect the authority of law enforcement agencies.

The EFCC’s pursuit of Bello underscores the agency’s mandate to combat corruption and financial crimes, sending a strong message that individuals implicated in corrupt practices will be held accountable for their actions.

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Concerns Mount Over Security as National Identity Card Issuance Shifts to Banks

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NIMC enrolment

Amidst the National Identity Management Commission’s (NIMC) recent announcement that the issuance of the proposed new national identity card will be facilitated through applicants’ respective banks, concerns are escalating regarding the security implications of involving financial institutions in the distribution process.

The federal government, in collaboration with the Central Bank of Nigeria (CBN) and the Nigeria Inter-bank Settlement System (NIBSS), introduced a new identity card with payment functionality, aimed at streamlining access to social and financial services.

However, the decision to utilize banks as distribution channels has sparked apprehension among industry stakeholders.

Mr. Kayode Adegoke, Head of Corporate Communications at NIMC, clarified that applicants would request the card by providing their National Identification Number (NIN) through various channels, including online portals, NIMC offices, or their respective banks.

Adegoke emphasized that the new National ID Card would serve as a single, multipurpose card, encompassing payment functionality, government services, and travel documentation.

Despite NIMC’s assurances, concerns have been raised regarding the necessity and security implications of introducing a new identity card system when an operational one already exists.

Chief Deolu Ogunbanjo, President of the National Association of Telecoms Subscribers, questioned the rationale behind the new General Multipurpose Card (GMPC), citing NIMC’s existing mandate to issue such cards under Act No. 23 of 2007.

Ogunbanjo highlighted the successful implementation of MobileID by NIMC, which has provided identity verification for over 15 million individuals.

He expressed apprehension about integrating the new ID card with existing MobileID systems and raised concerns about data privacy and unauthorized duplication of ID cards.

Moreover, stakeholders are seeking clarification on the responsibilities for card blocking, replacement, and delivery in case of loss or theft, given the involvement of multiple parties, including banks, in the issuance process.

The shift towards utilizing banks for identity card issuance raises fundamental questions about data security, privacy, and the integrity of the identification process.

With financial institutions playing a pivotal role in distributing sensitive government documents, there are valid concerns about potential vulnerabilities and risks associated with this approach.

As the debate surrounding the security implications of the new national identity card continues to intensify, stakeholders are calling for greater transparency, accountability, and collaboration between government agencies and financial institutions to address these concerns effectively.

The paramount importance of safeguarding citizens’ personal information and ensuring the integrity of the identity verification process cannot be overstated, especially in an era of increasing digital interconnectedness and heightened cybersecurity threats.

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