NAIJAFEED

Wednesday, February 1, 2012

Non-Oil Sectors to Boost Economic Growth in Nigeria

Nigerian economy is expected to grow by 7 per cent in 2012 and 2013, thanks to solid performance in industries outside of its bedrock oil sector, a research by Reuters has revealed.

The forecasts, based on a poll of 11 analysts, painted a strikingly positive outlook for the nation's economy, which has started 2012 on a decidedly shaky footing.

The decision by the Federal Government to remove subsidy from the pump price of fuel sparked protest and a nationwide strike embarked upon by organised labour to force government to reverse its decision, a situation that resulted to a huge loss to the economy.

"President Goodluck Jonathan was forced to row back on the removal of costly fuel subsidies after a wave of strikes and protests, Boko Haram has dramatically stepped up a three-year insurgency.

The group, whose name means "Western education is sinful" in northern Nigeria's Hausa language, has killed nearly 1,000 people since 2009, including at least 178 last week in a series of gun and bomb attacks in Kano, Nigeria's second biggest city," reported Reuters

"The political battle to end the petrol price subsidy in January is in many ways a microcosm of the wider political battle within the political elite over the reform process," Citibank said in a note.

"Its eventual outcome will be a clear indication of the potential speed with which the current government can implement structural reforms in 2012." GDP growth in Africa's most populous nation dipped to 7.4 per cent in the third quarter of 2011, a year earlier, from 7.7 per cent in the second quarter. The government's forecast for 7.0 per cent in 2011 is in line with Reuters' consensus. Despite the political instability, analysts said the allure of such a huge consumer market will continue to attract investment.

"We expect to see strong growth in Nigeria, bolstered by robust expansion in the non-oil sectors, particularly retail, telecoms and construction," said Gregan Anderson of London-based risk consultancy, Business Monitor International.

The poll suggested inflation would average 10.7 per cent in 2012 before easing to 10.4 per cent next year. The main factors driving prices would be food and fuel, as well as the weak naira currency.

Consumer inflation edged down slightly in December to 10.3 per cent, although food inflation quickened to 11 per cent from 9.6 per cent the previous month. The central bank raised rates last year by 600 basis points to 12 per cent to support a struggling naira and keep inflation in single digits.

The naira is expected to ease slightly to 162.2 against the dollar by the end of the first quarter, firm to 161.8 three months later, and end finally firming to its current level of 160 at the end of the year.

This Day

Video - Navigating Nigeria's petroleum industry

Monday, January 30, 2012

Major Hamza Al-Mustapha sentenced to death by hanging

Embattled former Chief Security Officer, CSO, to late Head of State, General Sani Abacha, Major Hamza Al-Mustapha and a protocol officer in the MKO Abiola campaign organisation, Alhaji Lateef Shofolahan, today, at the Lagos High Court sitting in Igbosere, were sentenced to death by hanging for the conspiracy to murder and murder charge preferred against them.

Justice Mojisala Dada of Lagos High Court sitting in Igbosere delivered the judgment Monday afternoon.

“Evidence proves Al-Mustapha, Sofolahan killed Kudiratu Abiola”

Judge Mojisola Dada of the Lagos high court ruled that Army Major Hamza Al-Mustapha, chief security aide to Abacha, was guilty of conspiracy and murder of Kudiratu Abiola, wife of late presidential candidate Moshood Abiola.

“Evidence was manifestedly heavy that they killed Kudiratu Abiola. In view of this, they are guilty of conspiracy and murder,” Dada said in her ruling which lasted several hours.

“The prosecution has proved its case beyond all reasonable doubt. In view of this, they should be hanged.”

The annulment of the 1993 elections helped paved the way for Abacha’s rise to power.

Al-Mustapha was the powerful chief security officer to Abacha, who ruled Nigeria with iron hand from November 1993 to July 1998 when he died.

Abiola was a wealthy businessman and presidential candidate jailed in 1994 after he challenged the military’s decision to annul the vote. He died in jail a month after Abacha’s death in circumstances yet to be clarified.

The judge said Sofolahan “acted as Judas Iscariot. He was friend to the Abiola family in the open and enemy in secret. He sacrificed his master (Abiola) because of his personal greed. He was a viper.”

Al-Mustapha’s defence lawyer Olalekan Ojo said he would appeal the court judgement.

Vanguard

Africa's richest man Aliko Dangote looking to end cement imporation

The importation of cement may soon come to an end in Nigeria as the expected six-million tons per annum Dangote Cement from Ibese plant commences operations.

Nigeria's cement demand in 2011 was put at 17.6 million metric tons per annum. Its total local production was 14.5 metric tons while 3.1 million metric tons was imported to bridge the gap.

Available records indicate that as Nigeria's cement demands increased by the year, its local production also improved. In 2009, the demand was 14.4 million metric tons per annum while local production stood at 8.5 million metric tons with the importation of 5.9 million metric tons.

In 2010, the demand was 16 million metric tons per annum with local production at 11.28 million metric tons per annum. In that same year, 4.72 million metric tons was imported.

A statement from Dangote Group said that the commissioning of the Ibese Plant near Ilaro in Ogun State next month which is reputed to be the largest in Africa, will make Nigeria not only a producer of the commodity, but also a net exporter in months to come.

"We are marking the closing ceremony of cement import in Nigeria with the coming on stream of our Ibese cement plant which will be producing a combined six million tons per annum from its initial two lines while additional two lines will be added immediately to increase its production to 12 million tons per annum", the management of Dangote Cement said at the weekend.

President of the Dangote Group, Alhaji Aliko Dangote had said that his organization was taking up the challenge to lead the way in the effort of making the nation self-reliant in cement production as the nation was losing a huge sum in foreign exchange on import.

He said: "Our long-term ambition is to develop 46 million metric tons of production and terminal capacity in Africa by 2015. We want to become a truly pan-African champion in the sector, capable of competing globally with the largest cement companies in the world."

Group Head, Corporate Communication of the Dangote Group, Anthony Chiejina said considering Nigeria's cement need of 17 to 19 million tons per year, Dangote Group alone will be producing far more than the country's demand, with the coming on stream of Ibese plant.

"That will set the pace for exportation of our products which will lead to increased products, more revenue for the company and better returns for the shareholders," he said.

Related stories: Aliko Dangote is Africa's Richest Man

Aliko Dangote makes Forbes rich men's list

Boko Haram - No dialogue until government adopts Sharia law

The leadership of the dreaded Boko Haram, has rejected the olive branch that the Federal Government extended to it, vowing to continue its attacks, until the country adopts the Sharia legal system.

President Goodluck Jonathan had urged members of the group to come forward with its grouse to government so it would be to work out an agreement that would foster peace in the country especially in the wake of ceaseless attacks by the group on key government and private institutions, particularly in the northern part of the country.

The President in an interview session with a cable news media, Reuters at the Presidential Villa on Thursday said, "If they clearly identify themselves now and say this is the reason why we are resisting, this is the reason why we are confronting government or this is the reason why we destroyed some innocent people and their properties, why not."

His (President Jonathan's) position came as a result of the inability of the security agents, especially military personnel that have been deployed to the various flashpoints in the north to bring the activities of the group to a halt.

Reacting to the gesture, spokesman of the group, Abu Qaqa told a British Newspaper, the Guardian in an interview monitored in Lagos that Boko Haram will continue its attacks until the government succumbs to its demand.

Expressing the resolve of the group, Qaqa told the newspaper that "We will consider negotiation only when we have brought the government to its knees. Once we see that things are being done according to the dictates of Allah, and our members are released (from prison), we will only put aside our arms - but we will not lay them down. You don't put down your arms in Islam, you only put them aside."

Leadership

United Nations says Boko Haram must not divide Nigeria

Video - Boko Haram leader declares war on Christians

Friday, January 27, 2012

Video - President Goodluck Jonathan wants dialogue with Boko Haram

Nigerian President Goodluck Jonathan challenges the violent Islamist Boko Haram sect to identify themselves and state clearly their demands as a basis for talks.

Death toll in Boko Haram Kano attack rises to 215

Video - 120 killed in bomb blasts in Kano, Nigeria