Friday, August 12, 2016
Video - Controversy looms as Nigerian army mulls recruiting civilians
A plan to integrate members of a Civilian Joint Task Force into the Nigerian army has drawn sharp criticism from rights groups. Around 250 young people, primarily from the country's north-eastern Borno state, are being considered for recruitment in the battle against Boko Haram. However, critics say the move violates the Constitution.
Video - Militants reportedly blow up another oil pipeline in Nigeria
More woes for Nigeria's oil industry. Militants have reportedly blown up another crude pipeline in the Niger Delta. And protesters are still blocking the entrance to a Chevron oil depot in the southern region. The Niger Delta Avengers have claimed responsibility for the bulk of the attacks on pipelines. But on Wednesday a new group emerged -- the Delta Greenland Justice Mandate. Nigerian President Muhammadu Buhari has come under increased pressure from militants in recent months. They're calling for the country's oil wealth to be shared more equally, to benefit communities in the Niger Delta.
South Africa overthrows Nigeria as Africa's biggest economy
South Africa has regained the title of Africa's largest economy, two years after Nigeria rebased its GDP to claim the spot, according to IMF data.
A recalculation using current exchange rates put South Africa on top because the rand has strengthened against the dollar.
Nigeria's currency has fallen sharply since a peg to the dollar was dropped.
But BBC Africa Business Report editor Matthew Davies says both economies could be on the brink of recession.
Nigeria rebased its economy in 2014 to include previously uncounted industries like telecoms, information technology, music, online sales, airlines, and film production.
Most countries do rebasing, updating the measure of the size of the economy, at least every three years or so, but Nigeria had not updated the components in its GDP base year since 1990.
On the basis of these numbers, there's not a lot between the two. South Africa's economy is worth around $301bn (Ј232bn) and Nigeria comes in at $296bn.
The exercise in calculating the numbers using last year's IMF figures and this year's currency exchange numbers, technically puts South Africa back on top.
But look behind the league table and the light-hearted jostling about who has the largest economy in Africa and things, economically speaking, are a little bleaker.
Both economies contracted in the first quarter. Another contraction and they'll both be in recession.
Nigeria is almost entirely dependent on its oil exports. And as the price of oil slumps so does the flow of petrodollars coming into the country's coffers. South Africa's economy is more diverse.
Indeed, after Nigeria knocked it off the top spot two years ago, we started describing it as "Africa's most industrialised economy", rather than Africa second-largest economy.
But economic growth is unlikely to make it above 1% in South Africa this year and many, including the country's Reserve Bank, are forecasting it at zero.
Unemployment remains stubbornly high and a credit rating review is looming at the end of the year.
If the whole "largest economy in Africa" competition was a horse race, the two leading contenders would be virtually neck and neck.
But they wouldn't be galloping, they'd be trotting at best. And looking increasingly tired and in need of sustenance.
A recalculation using current exchange rates put South Africa on top because the rand has strengthened against the dollar.
Nigeria's currency has fallen sharply since a peg to the dollar was dropped.
But BBC Africa Business Report editor Matthew Davies says both economies could be on the brink of recession.
Nigeria rebased its economy in 2014 to include previously uncounted industries like telecoms, information technology, music, online sales, airlines, and film production.
Most countries do rebasing, updating the measure of the size of the economy, at least every three years or so, but Nigeria had not updated the components in its GDP base year since 1990.
On the basis of these numbers, there's not a lot between the two. South Africa's economy is worth around $301bn (Ј232bn) and Nigeria comes in at $296bn.
The exercise in calculating the numbers using last year's IMF figures and this year's currency exchange numbers, technically puts South Africa back on top.
But look behind the league table and the light-hearted jostling about who has the largest economy in Africa and things, economically speaking, are a little bleaker.
Both economies contracted in the first quarter. Another contraction and they'll both be in recession.
Nigeria is almost entirely dependent on its oil exports. And as the price of oil slumps so does the flow of petrodollars coming into the country's coffers. South Africa's economy is more diverse.
Indeed, after Nigeria knocked it off the top spot two years ago, we started describing it as "Africa's most industrialised economy", rather than Africa second-largest economy.
But economic growth is unlikely to make it above 1% in South Africa this year and many, including the country's Reserve Bank, are forecasting it at zero.
Unemployment remains stubbornly high and a credit rating review is looming at the end of the year.
If the whole "largest economy in Africa" competition was a horse race, the two leading contenders would be virtually neck and neck.
But they wouldn't be galloping, they'd be trotting at best. And looking increasingly tired and in need of sustenance.
2 cases of polio reported in Nigeria
Nigeria has reported the first two cases of polio after more than two years, in an area newly liberated from Islamic extremists who attacked polio vaccinators in the past, the government and the World Health Organization said Thursday.
Nigeria's removal from WHO's list of polio-endemic countries in October had meant the entire African continent was free of the crippling disease.
Two children have been paralyzed by polio in northeastern Borno state in two different local government areas that had been cut off by Boko Haram's Islamic extremist uprising, Health Minister Isaac Adewole said in a statement Thursday night.
"Our overriding priority right now is to rapidly boost immunity in the affected areas to ensure that no more children are affected by this terrible disease," he said.
He ordered the deployment of a national emergency response team. WHO said it was working with the government to urgently prevent more children from being paralyzed, with large-scale immunizations and other measures.
It was unclear how accessible the two areas are. The United Nations last month suspended aid to newly liberated but still dangerous areas of Borno after Boko Haram ambushed a humanitarian convoy, wounding three civilians including a UNICEF worker. That came even as aid groups declared half a million people are starving in those areas and children are dying daily of starvation.
Because of the Islamic uprising in the northeast, health workers have been testing sewage and stool samples of refugees from areas too dangerous to access.
Nigeria's fight against polio has been dramatic. Two decades ago, it was recording 1,000 polio cases a year, the highest in the world.
The Islamic extremists opposed the anti-polio campaign. Boko Haram gunmen killed nine women vaccinators in northern Kano state in February 2013, but the vaccinations continued.
Nigeria's removal from WHO's list of polio-endemic countries in October had meant the entire African continent was free of the crippling disease.
Two children have been paralyzed by polio in northeastern Borno state in two different local government areas that had been cut off by Boko Haram's Islamic extremist uprising, Health Minister Isaac Adewole said in a statement Thursday night.
"Our overriding priority right now is to rapidly boost immunity in the affected areas to ensure that no more children are affected by this terrible disease," he said.
He ordered the deployment of a national emergency response team. WHO said it was working with the government to urgently prevent more children from being paralyzed, with large-scale immunizations and other measures.
It was unclear how accessible the two areas are. The United Nations last month suspended aid to newly liberated but still dangerous areas of Borno after Boko Haram ambushed a humanitarian convoy, wounding three civilians including a UNICEF worker. That came even as aid groups declared half a million people are starving in those areas and children are dying daily of starvation.
Because of the Islamic uprising in the northeast, health workers have been testing sewage and stool samples of refugees from areas too dangerous to access.
Nigeria's fight against polio has been dramatic. Two decades ago, it was recording 1,000 polio cases a year, the highest in the world.
The Islamic extremists opposed the anti-polio campaign. Boko Haram gunmen killed nine women vaccinators in northern Kano state in February 2013, but the vaccinations continued.
Related stories: Canada invests $20m in eradication of polio in Nigeria
Thursday, August 11, 2016
Video - Nigeria Central Bank allows commercial lenders to write off bad loans
The Nigeria central bank will allow commercial banks to write off bad loans this year to help the industry clean up its balance sheet. Pressure has been building on the country's banks, whose loan books have been hard hit by Nigeria's shrinking economy and low crude oil prices. Non-performing loans are expected to jump to 12.5% of total loans this year, up from the central bank's target of 5% at the end of last year. Permission to write off the bad loans is a once-off offer that will only apply until the end of this year.
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