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DMO offers N422m 2-Year FGN Savings Bonds at 9.6%
The Debt Management Office (DMO) of Nigeria has announced a subscription offer for the FGN Savings Bond for August 2023.
This Savings Bond is to provide Investors with an opportunity to earn competitive interest rates while supporting the country’s economic development.
The subscription offer includes two options:
- 2-Year FGN Savings Bond with a maturity date of August 1,6th, 2025, with an annual interest rate of 9.634%.
- 3-Year FGN Savings Bond due on August 16th, 2026, offering an annual interest rate of 10.634%.
These rates offer a negative real return as they are well below the national inflation rate of 24.08% for July 2023.
Other details:
- The subscription period for the FGN Savings Bond opened on August 7th, 2023, and will close on August 7th, 2023.
- The total amount allotted for the 2-year bond is N421.76 million while that of the 3-year bond is N1.06 billion.
- Once subscribed, bondholders will receive coupon payments at regular intervals. The coupon payment dates are scheduled for November 16, February 16, May 16, and August 16.
The Federal Government of Nigeria Savings Bond program is designed to attract domestic savings while simultaneously financing critical infrastructure projects and government initiatives.
- By investing in these bonds, individuals and organizations can contribute to the country’s development efforts and earn favorable returns on their investments.
- Interested investors are advised to contact their financial advisors or visit the Debt Management Office’s official website for further details and application procedures.
[OPINION] The Nigerian billionaires and Tinubu’s Tax Reform - Temitope Ajayi
It has been a refreshing experience, in the last one week, to read very strong endorsements of President Tinubu’s tax reform by at least five major national newspapers via their editorials.
I align with the view of Professor Niyi Akinnaso who wrote, yesterday, in his Nation Newspaper column, that the media should assist the government in achieving its development goals in the overall interest of the people instead of unrelenting negative reporting.
Our country has a chronic revenue problem which left previous governments no option than to borrow. Available records show that we have over N75 trillion in foreign and local debts.
We have an economy that is reported to be the largest in Africa at almost $500 billion in GDP size, with an estimated 200 million plus population. In comparison with South Africa, with about 50 million population and second largest economy in Africa, we are nowhere near in terms of tax revenue. While South Africa has tax to GDP ratio of 27.3%, our country is crawling at 10.86%!
For proper context, the richest man in Africa is a Nigerian and the second richest man is a South African, Johann Rupert. The Personal Income Tax Rupert paid, as individual, to the South African government in 2022 was more than the entire tax collected by the 36 states of Nigeria in 2021.
There are three Nigerians among the 15 richest Africans whose business interests cut across various sectors – from retail to banking, oil & gas, mining, telecoms, real estate, manufacturing, food and beverage e.t.c. The combined wealth of the three Nigerians on the Africa’s rich list is put at $27.4billion whereas Rupert’s wealth is put at $10.7billion.
Here is the interesting twist: The rich and wealthy Nigerians live in states within Nigeria and do most of their businesses in Nigeria, yet, what one wealthy South African paid as his Personal Income Tax in one year was more than the entire revenues of 36 states in Nigeria.
In Naira terms, South Africa collected N27.76 trillion in Personal Income Tax in 2022, while Nigeria with population 4 times bigger than South Africa collected N1.6trillion in total IGR of states.
Our tax system is dysfunctional especially at the state level. This is why our states and Federal Government can not fund big infrastructural projects and social services. It is the reason the Taiwo Oyedele led Tax and Fiscal Reform Committee put together by President Tinubu has come at the right time.
The committee aims to close annual N20 trillion tax gap Nigeria is denied within the next few years, by bringing more eligible taxpaying Nigerians into the tax bracket. This does not mean that the Federal Government is planning on raising taxes. Far from it! It only means time has caught up with wealthy Nigerians would have hitherto evade paying their taxes.
The committee already has its job cut out for it. President is determined to reset the finances of the country to generate the required money to fund real development and improve the quality of life of Nigerians.
[OPINION] A memo to south-east governors, leaders on security and regional development - Law Mefor
Perhaps for the first time since the country’s return to democracy in 1999, the meeting of the south-east governors’ forum recorded full attendance of the 5 governors of the zone. In the past, governors would typically send their deputies and infrequently attended the zonal meetings in person probably because they believed the forum to be of little importance. The forum’s meetings were consequently infrequent.
The current crop of governors appears to view the forum as essential to effectively addressing security, regional development, and integration. This is a positive development that needs to be sustained moving forward.
Two years ago, everyone in Nigeria was envious of the south-east because it was the safest region. Ironically, the area is now the headquarters of the Unknown Gunmen (UGM), sit-at-home enforcers, agitators of all stripes, covert cults, and deep-state operations.
Security and development are directly related, thus they must be considered jointly. Terrorism and kidnapping have become lucrative industries for criminal elements, costing the south-east region trillions of naira and numerous needless deaths. The outcome has been disastrous: the south-east economy is collapsing. Asaba, Lagos, Ogun, and Abuja are welcoming an increase in enterprises and industries of fleeing Igbos. Ndigbo are now helping other regions’ economies while the South-East region’s economy is strangulated by its own hands and paralysed.
Lack of political leadership has played a major role in all of these, and the south-east governors, who serve as the chief security officers of the states and get security votes, ought to be the chief advocates for this cause.
A template for the Ebube Agu regional security was created when Dave Umahi was the South-East Governors’ Forum’s chairman, and it was modelled after the Amotekun security organisation of south-west Nigeria. At a session in Owerri in April 2021, the Ebube Agu security outfit blueprint was approved by the South-East stakeholders (south-east governors, Ohanaeze Ndigbo, and key political leaders both elected and appointed, past and present). The chairman of the implementation committee was General Abel Obi Umahi (Ret.).
General Umahi realised after months of delay that the south-east governors were not ready to operate Ebube Agu as a regional security organisation. He gave this as his reason for resigning. Rather than establish the regional outfit, Governors Dave Umahi, and Hope Uzodinma set up their own—which even went by the name Ebube Agu—with which they pursued their actual and imagined political rivals and opponents. The noble vision of a regional security outfit was thus politicised and abandoned.
To address the south-east security crisis, the south-east governors, from what I understand, have formed yet another security committee. The Ebube Agu blueprint should be dusted up and adopted by this committee if it is not just another one set up for the show and to give the impression that something is being done. Nobody needs to reinvent the wheel. Ebube Agu can work if Amotekun is fairly working in the Southwest.
It is apparent who is to blame for the unrest in the south-east. They are the Simon Ekpa group, who believe in armed struggle and sit-at-home enforcement, using Nnamdi Kanu’s detention as an excuse; criminal elements, who use the sit-at-home and Biafra agitation as a smokescreen to kidnap, kill, maim, and destroy; cult groups, who are all over the state as a growing fad; and state actors, who run what you might call deep state activities while disguising.
These five categories must be dealt with, using both kinetic and non-kinetic methods. Today’s south-east insecurity is comparable to a tsetse fly perched on the scrotum; dispatching it demands discretion. For instance, some specific schooling is needed to deal with the ongoing Yahoo ritual murders; it will be necessary in addition to guns and bloodletting.
Special synergy is also necessary for the development of the south-east and its regional integration. Fortunately, President Bola Tinubu just approved a bill that has removed energy from the exclusive list. The new law gives states, local government units (LGs), and even individuals the authority to generate electricity at any level, transmit, and distribute it in any way they see fit. Electricity was on the exclusive list under the previous law, which made this illegal.
The governors of the south-east states must collaborate to provide electricity to the entire region. They need to go for concessions for Oji Power station and the huge coal deposits in Enugu among others. Electricity is a big issue deterring investment from the region in addition to instability and insecurity. Indeed, if the South-East can overcome the problem of power, possibly up to 50% of the zone’s development needs would have been met. Electricity and security are important enablers of economic development.
Just before leaving office, Buhari signed legislation that moved the railway from the exclusive list to the concurrent list. Ring Superhighway and ring railway connecting the five south-east states should be ambitiously pursued as part of the south-east development master plan and master image. These will bring affordable and high mobility to the south-east economy. Both can be constructed using the BOT funding strategy.
The Eastern Region Masterplan created between the great Zik (Nigeria’s first president) and MI Okpara (Premier of the Eastern Region) needs to also be dusted up and adjusted at a macro level that will enable economies of scale to develop the South-East and economically and inclusively integrate the region.
Additionally, any development plan for the south-east that ignores the region’s direct connection to the sea will fall short of the desired levels of growth and development if the South-East would become to Nigeria what Silicon Valley is to the United States. Businessmen from the South East, both inside and outside the zone, import almost 50% of the country’s goods. The presence of one or two ports in the South-East will undoubtedly encourage Igbo importers to use the Eastern ports.
Through the Orashi River, a tributary of the Atlantic Ocean where an attempt was made to establish a port and abandoned in 1959, the Oseakwa inland port in Ihiala Anambra South, and Azumini Blue River, south-east offer two direct connections to the sea. It’s time to reopen that port. The Azumini Blue River in the state of Abia provides second access. The south-east can be served by canalising and dredging both rivers, which are around 20 nautical miles from the Atlantic Ocean. Both rivers are far closer to the ocean than the artificial Suez Canal, which is up to 200 nautical miles away, and Lagos ports.
Nonetheless, ports are on the exclusive list, which makes it the huge elephant in the room. However, it is entirely feasible to get the federal government to make concessions for the development of the two ports provided the necessary politics is played. Finding development partners to establish the two ports on a BOT basis is possible due to their inherent viability.
The world should also be accessible from the south-east via the air. Fortunately, Willie Obiano built a cargo international airport as a part of his legacy projects before stepping down as Anambra state governor. There is a need to secure the necessary license for international cargo flights to land there and for the location to become a key export and import hub. Speedy completion and activation of the Anambra Cargo International Airport is now a matter of great importance and a cornerstone for the regional development initiative.
Ta bu gboo; Osita di nma o diba gboo (It is not too late if we start today), as Ndigbo would say.
[OPINION] Kay Laro: The diplomat as humanist - Owei Lakemfa
I WAS to attend the International Labour Organisation, ILO, Conference for two weeks in 2011 and was late in making accommodation arrangements in Geneva. I turned to Ambassador Ayo Olukanni, then Nigerian Deputy Ambassador in Vienna, Austria if he had somebody that can check out the hotels and make a booking. Olukanni had been like my elder brother who watched over me when I was a teenage undergraduate in Ife. He responded that will be Kay. “Kay will do it.” A few days later, he called that Kay had done the booking. I asked him what is Kay’s other name? Laro.
Then a few days before my journey, I called to say I had not received the details of the booking so I could go straight to the hotel when I arrived. Olukanni said he would get back. He did shortly afterwards providing the diplomat’s phone number and said: “Kay says he would receive you at the Geneva Airport.” I protested that I did not want a high ranking Nigerian diplomat going to wait for me at the airport, all I wanted were details of the booking. Olukanni replied that I should send my flight details, adding: “Once Kay says he would be at the airport, you can be sure he would be there.” I arrived Geneva airport and Kay picked me out. As we drove into town, I noticed we were going a bit farther and told him I wanted to be nearer the ILO headquarters. He assured me I would have no problems getting to the ILO offices.
It turned out that Kay had not booked an hotel. Rather, he took me to his home in Geneva and said a friend of Ambassador Olukanni cannot come to Geneva and stay in an hotel when he has accommodation. He had at least three bedrooms. He had supper ready and I soon found out that his full names were Kayode Laro and he was from Ilorin where we shared a number of friends, especially the legions that had attended Ife. The next morning, after ensuring I took breakfast, he drove me to the ILO headquarters before going to his office at the Nigeria Embassy where he was putting his human rights, disarmament, environmental and development passions to the service of our country. I resisted his coming to pick me home.
For the slightly over two weeks, I stayed for the ILO Conference, this became our pattern. When I bought food items from the mall, he protested. I had to persuade him that that I would feel like a parasite. Already, he was saving me $110 daily on accommodation, I was paying no transport to the ILO and was being overfed. I added jokingly that I did not mind being overfed, especially when he had a mini-gym in one of the rooms complete with a thread-mill where I could burn some of the fat. Kay treated me like a king in Geneva just by being introduced by Ambassador Olukanni with whom he had served in Nairobi, Kenya.
Nigeria was on the United Nations Security Council and needed experienced people to support the Mission. Kay was moved there specifically to serve on the Council. He had attended Nigeria’s top military training institution, the National Defence College Course 17 from 2008-9, and so had the necessary skills and diplomatic tact needed to enable Nigeria navigate in the most sensitive and contentious Council in the world. Despite his demonstrable competence, skills and high intellect serving with distinction in places like Zimbabwe and being Consul General in Atlanta, Kay, mainly due to quota issues, was never appointed ambassador until his retirement in December 2018. One day while playing table tennis at Jabi Park in Abuja, a familiar figure walked past. It was the quiet, shy and good natured Kay! I joined him on his walk and we had long conversations. He had retired and lived in Kado Estate, some five-minute drive from the park. He requested we went to his house.
It became some pattern on Saturdays; we would meet at the park, take a walk and discuss current affairs. He read my Friday columns on international affairs and we would discuss these. He would give fresh perspectives. A major issue we discussed was when Nigeria had no ambassadors in virtually all countries, including a substantive Permanent Representative in the United Nations after Ambassador Joy Ugwu left. Then finally in July 2020, new ambassadors were named and Kay was on the list. I was quite elated, not just because I knew he was quite competent, dedicated and meticulous, but I also felt justice was being done to a very fine diplomat who was not appointed an ambassador while in service, but was found fit to be one in retirement! Then months later, we met at the park. I expressed surprise. I had thought he had left without forwarding his new address. He smiled wearily and said no posting had been made. Finally, on May 15, 2021, that is ten months after his appointment, he assumed duties as Nigeria’s Ambassador to France with concurrent accreditation to Monaco. I congratulated him and promised to visit him in Paris.
Whenever I read about his work in France, I remembered my promise to visit. Then this year, President Bola Tinubu was elected and he visited France. Kay as ambassador received him. He also organised the Nigerian community to meet the new President. I was proud of Kay. Then, the July 26, 2023 coup took place in Niger Republic and the Economic Community of West African States, ECOWAS, immediately imposed sanctions and gave the junta a seven-day ultimatum to reverse the coup or face possible military action. It became common knowledge that France wants military intervention in Niger Republic and I wondered what advice the thoughtful Kay as Ambassador to France would be giving the Nigerian Government with President Tinubu as ECOWAS Chairman.
Then out of the blues, I received the shocking news that my dear friend, compassionate diplomat and humanist, Ambassador Kayode Laro, 64, had left humanity from Paris on Friday August 11, 2023. Five days later, his earthly remains were flown to the Ilorin Airport and interned at 9.50am in his family house at Okesuna, Ilorin. My grief ran deeper that I never fulfilled my promise to visit him in Paris to which I had given an open invitation. As I write, at the back of my mind, I see the familiar figure of Kay walking towards me, a fleeting smile playing on his lips with his extended hand, and saying: “Owei ba wo ni?”(Owei, how are you?). Death has robed Nigeria of a great soul at a time we seek direction and need our best brains at work.
[OPINION] Ministers: Nomination and Appointment - Bunmi Ayoade
The Constitution of the Federal Republic of Nigeria, 1999 (as amended) stipulates that the President should appoint ministers to head ministries and report directly to him within sixty days of his inauguration. Ministers are first grade advisers who are also advised by their own advisers. In a way, therefore, ministers are advised in the process of advising the President, but their advisers are indemnified by convention. There is therefore a policy filtration process because the advice that ultimately lands at the President’s desk is ideally the product of the interaction between a minister and his advisers. This process speaks to the quality of the hiring process. Where the minister and his advisers are hired for reasons other than competence and experience, the quality of advice is adversely affected.
Governance is the business of businesses demanding the highest expertise that the polity can provide. This is why the United States enacted the 1967 Anti-nepotism Law forbidding federal officials from employing family members to certain governmental positions and the cabinet. Apart from the fact that appointment determines system performance, it also unduly and illegitimately extends the privilege and cover of the vote to the unelected. It, therefore, amounts to a political misdemeanor to willfully appoint people that are known and/or adjudged to be incompetent to such governmental positions. This is more so the case because governance is about the citizen who is arguably the most valuable and delicate factor in the governance chain. In fact, the citizen is the raison d’etre of government which, in turn, is an ingenious apparatus created by citizens for the ultimate peace and progress of citizens.
Democracy, which all nations claim at different levels of praxis and sincerity, is a genre and form of government. Its practice has become so elastic that the polar extremities cannot relate. The cabinet or Council of Ministers in a democracy is an extension of the democratic representative principle having been appointed by a popularly elected executive and confirmed by an elected legislature in a presidential system. The cabinet is therefore a meta-representative institution of the democratic electorate or, at worst, a by-product of the representation. It is connected to the people as a political derivative of the democratic process. In essence, therefore, it must be responsive to the people just as its principal is or must be responsive to the people. We shall return to the issue of the responsiveness of the cabinet to the people later on.
The justification for responsiveness is further embedded in the appointive process as enshrined, in this case, in the 1999 Constitution (as amended). The Constitution prescribes compliance with a representational template known as the federal character principle to the effect that the appointment of ministers, among other public officers, must have national representative spread just as, in principle, the votes of a successful President. The political parties are also required to demonstrate such representativeness to be registrable. The federal character clause of the 1999 Constitution is the refined product of the non-exclusion principle debate at the Constituent Assembly. It is to ensure inclusivity, politico-spatial equity, fairness, and representativeness.
However, as much as it attempted to be inclusive and equitable it falls short of its attainment. It sees inclusiveness and equity in only spatial terms which incidentally and only partially satisfies ethnic reality. It however fails to cover the gamut of socio-demographic parameters like gender, ideology, religion and the social generations. For example, it neither specifically nor explicitly attends to gender dichotomy not even its proportionality. This leaves women to continue to clamour or, more correctly, to beg for 35% representation. Mrs Beatrice Eyong, the UN Country Representative to Nigeria even wanted it at 50% just like Rwanda and Ethiopia where women and men are more nearly equal in their legislatures and cabinets. A similar lacuna exists in confessional and ideological representation. There is no mention of the representation of Christians, Muslims or traditional religions even impliedly. It can be argued that it would have been self-contradictory for a constitution that pronounces Nigeria a secular state to give recognition to religions at the same time. The silence is however both ominous and counter-factual because religion is extremely prominent and visible in daily national political discourse. Only a few months ago, same faith ticket generated heavy political brawling and attention.
To a large extent, federal character failed in what it attempted. It is neither fully inclusive nor completely equitable. In one breath, federal character wrongly equates arithmetic equality with content/substance equality. The 1999 Constitution stipulates that one minister must be appointed from each state of the federation. This condition unwittingly creates an unwieldy cabinet although it satisfies the federal practice of the equal representation of unequal states in the second chamber. The equality of unequal constituent states is aimed as a counterweight to the unequal representation according to population in the lower chamber. The ministers therefore represent unequal/varying number of citizens across the country. This differentiation is critical because it results in the paradoxical attempt to achieve unity by emphasising differences. The survival of Nigeria therefore hangs precariously on this contradiction. The effect of the prioritisation of sub-national units is the prominence of sub-national loyalties. It is no surprise therefore that some ministers inadvertently or deliberately see themselves as state ministers at the federal level. Harold Lasswell’s definition of politics as who gets what, when and how is therefore interpreted in consumption terms as the ‘take home’ from the national cake.
The second instance of inequity resulting from the tying of the appointment of ministers to states is that the internal configuration of states, more or less, determines who gets nominated as minister in the states. This is because the state governors or the party leadership in the states, as the case may be, have a strong say in who gets the nod. In this case, the minorities in the states stand very little chance of nomination. Very pointedly, it can be said that minority Christians or minority Muslims would find it difficult to pass through the eye of the needle. The representative principle at the macro-level is therefore further undone at the micro-level. This is also compounded by the fact that the ministries themselves are neither equal in terms of power, political strategies or ‘juicy’, in the unfortunate commercial parlance and expectation of the Nigerian political class.
For many years, the Ministry of Internal Affairs appeared to be a regional preserve just as recently, the Ministry of Federal Capital Territory. It will be naïve to equate the Ministry of Petroleum Resources with the Ministry of Information no matter the extra-budgetary favour the President may dispense. In the absence of the quantitative and qualitative re-calibration of ministries, George Orwell’s insight is appropriate here because, by definition, all ministries are equal, but not in terms of socio-political substance and clout. Consequentially, ministers are not equal since the ministries are, to all intents and purposes, unequal. Critical as unity is, the federal character principle is unfortunately an ineffectual prescription of inclusivity and equity. We must get it straight also that unity is a positive derivative or consequence of good governance.
It is therefore a forlorn hope to expect that national unity can be wished into existence or ‘national loyalty’ commanded as S.14 (3) of the 1999 Constitution suggests. It is behaviourally unrealistic and unrealisable. Citizens only voluntarily and freely release high doses of unity and loyalty when government delivers social services to make them feel good. Poor governance, unity and loyalty are incompatible and anti-polar. Unity should therefore not have been an item of the Motto on Nigeria {(S.15 (1)}, but a mission or goal to be intentionally and assiduously pursued.
The qualifications for the appointment of ministers vary from country to country. In Cabinet, Ministers, and Gender, Claire Annesley, Caren Beckwith and Susan Francechet offer the best classification of the qualifications. They classified the qualifications into three as follows: 1. affiliation criteria, 2. experiential criteria, and 3. representational criteria. The affiliation criteria deal with the nominee’s membership of personal networks of friendship, trust and loyalty. This includes associations, parties, and ideological leanings and the like. Experiential criteria are to the effect that ministrables (as Gerald Kaufman calls prospective Ministers) must demonstrate commensurate political experience and/or policy expertise, and possibly in their training. These are strongly prescribed conditions that may be broad, non-specific and flexible to accommodate several functional areas. The exception is that a barrister (or preferably a Queen’s Counsel in Britain) is required for the position of the Attorney General and Minister for Justice (i. e. Lord Chancellor in Britain). A Nigerian analyst, Edidiong Akpabio enumerates the experiential qualifications as competence, capacity and track records. In the same vein, Waziri Adio lists the same criteria as ‘caliber, antecedents and character’. However, the Nigerian Constitution is silent on the experiential criteria and is not mandatory to be included in the President’s submission for Senate screening. The third and final category of qualifications is the representational criteria, which is defined as membership in appropriate political, territorial or socio-demographic group that adds value to the legitimacy of the cabinet. This includes ethnic, racial or regional representation as in Canada, the US, Australia, Germany and the U K. There is also the possibility of gender representation as in Rwanda and Ethiopia on which the Nigerian Constitution is mute.
In addition to compliance with federal character, to be ministerable, a candidate must be electable to the House of Representatives {(S. 147 (5)}. This requirement raises some questions. One of the hallmarks of a presidential government is the separation of powers and the doctrine of checks and balance. It is true that, in practice, there is more of fusion and collaboration rather than separation of powers, but in the election of the legislature and the executive, it is preferable that there is no conflation of requirements as different job contents and specification should normally logically require different qualifications. The very minimal convergence of functions does not justify the prescription of job qualifications. Two of the qualifications relate specifically to membership of the legislature rather than ministerial appointment. It contrasts with India where the prospective minister must be a Member of Parliament.
However, there are other qualifications at the level of bio-data like age, education and citizenship. A prospective minister must be a Nigerian citizen who must be thirty years of age {(S. 65 (1) (b)}. He must also be educated up to at least school certificate level or its equivalent {(S. 65 (2) (a)}. One would have expected a minister to have a higher educational level because of the heavy and complex executive responsibility. This contrasts very sharply with the Australian counterpart where forty-two of the forty-four ministers are graduates of mostly University of Sydney, Adelaide University, and Monash University. It is said: “When it comes to being a minister in the Australian Parliament, degrees matter”. In fact, most of them hold double degrees in Arts and Law. Legal professionals constitute 10.6% of the Australian Parliament. It is even more surprising that the Nigerian Constitution does not prescribe any specific experience level for a would-be minister.
Ideally a presidential constitution is more relaxed about party membership because it places technical competence above party membership so that it can take advantage of the total socio-intellectual endowment of the polity. The unsegregated partisan sitting arrangement of presidential legislatures is an attempt to deemphasise party over efficacy. It is unnecessary, therefore, to prescribe that the ministerial candidate should be a member of a political party and be sponsored by that party {(S. 65 (2) (b)} although this is what happens in reality. The system is not completely free to take advantage of the available non-partisan neutral professional and technical competence in the country. Equally superfluous is the requirement that the ministerial candidate must not have presented a forged certificate to the Independent National Electoral Commission because the separation of powers prescribed by the 1999 Constitution makes it redundant for the candidate to contest an election. Even if he were a member of the legislature at the time of his nomination, he would be deemed to have resigned his membership. In fact after the amendment of the Electoral Act to include the punishment of election offences, this clause has been overtaken because any such forgery will be prosecuted and upon conviction automatically disqualifies any such candidate. Finally, for brevity, the electoral offence could have been subsumed under general misdemeanor that disqualifies a ministerial candidate.
A ministerial candidate is also supposed to be clinically ethically clean. The candidate shall be disqualified to hold a ministerial position if he voluntarily acquired the citizenship of a country other than Nigeria as he thus forfeits his Nigerian citizenship not being by birth {(S. 66 (1) (a)}. He must not be adjudged or declared a lunatic or of unsound mind {(S. 66 (1) (b)}. This is a very important condition, but no professional verification process is specified being not easily verifiable like the requirement that the candidate must not be under a sentence of death or imprisonment or fine for misdemeanor which is by a court of competent jurisdiction {(S. 66 (1) (c)}. The candidate must not have been sentenced for an offence involving dishonesty or contravention of the Code of Conduct {(S. 66. (1) (d)} nor must he be an undischarged bankrupt {(S. 66. (1) (e)} or a member of a secret society {(S. 66 (1) (g)} or been indicted for embezzlement or fraud by a competent body {(S. 66 (1) (h)}. The candidate must have vacated his position in the federal or state public Service at least thirty days before nomination {(S.66 (1) (f)}.
The appointment of ministers in the Westminster model begins and ends with the Prime Minister. It is therefore less regulated except that the ministerial candidate must be a member of parliament. The Prime Minister therefore has the opportunity to assess him or her on the basis of legislative floor performance or appointment as a shadow minister if the candidate was one. That is why Gerald Kaufman, a former British minister and author of How to be a Minister, submitted that one of the qualifications is to “be noticed” as somebody to make “a mark”. Rowdiness in the parliament, frequent recognition by the Speaker, frequent deliberate acts of popularity, may all gain headlines and even lead to popularity in one’s constituency, but no guarantee of ministerial office. Genuine loyalty rather than sycophancy is valued and rewarded. All the ideological positions in the party are attended to for balance and to pacify the reasonably troublesome members. Competence in a requisite governance subject is respectable and reassuring. It earns bounteous dividends in ensuring electoral confidence that it is in safe hands.
In concluding this section on the qualifications of Ministers, it is important to mention that the nomination by the President is not final. The President is required to submit the list of ministers to Senate for screening. This therefore gives the Senate the final approval. Senate is, therefore, also culpable for the eventual poor performance be held responsible for any substandard performance of any minister. The legislature also has the constitutional responsibility of oversight of the ministries. However, experience shows that there are systemic and personal constraints that militate against objective screening of ministers by the Senate.
First, it depends on the understanding of its role as a gatekeeper and quality controller in the governance chain. There were occasions when the Senate simply approved some ministerial candidates after just a bow. This is not the intention and stipulation of the 1999 Constitution without exception. There is however a lacuna in the screening process because the portfolios of the ministers are not attached to the list. It is a curious human resource hiring procedure to screen candidates for jobs without job specification. Any hiring process is tied to the requirements of the job, which the candidate’s qualifications must match. To hire a minister in a vacuum is to remove the criteria for the assessment of performance. This is further complicated by the fact that no job-related qualification is specified for the candidate. These are near fatal omissions. A journey without a pre-determined destination is a failed journey ab initio. The second part of this article will look at the organisation and performance of a cabinet.
Ayoade, an Emeritus Professor of Political Science, writes from the University of Ibadan, Nigeria
[OPINION] Ministerial Portfolios: Restructuring the Federal Executive Council - Oluwole Onemola
One of my favourite books, Frans Johansson's 'The Medici Effect’, published by Harvard Business School Press, makes a strong case for stepping into the intersections of fields and disciplines to create extraordinary new ideas.
After seeing the portfolios of Nigeria’s new ministers, I began to question if a Federal Executive Council (FEC) with 45 ministers could function effectively, particularly in terms of coordination. Then, it dawned on me that perhaps I was thinking about it in the wrong way — in terms of the number of ministers, not in terms of their potential impact.
Re-situating my perspective, I came to the conclusion that the biggest challenge of the new FEC would likely come in the form of the interaction among all the ministries and ministers.
How can this be fixed?
Drawing inspiration from the Medici Effect, I began to conceptualize the possibility of intersections and the formation of clusters that could be created within the FEC to achieve greater efficiency, better service delivery, and ultimately, enhanced accountability. From this, I came up with the following two-step plan.
STEP 1: Establish five Sub-Councils under the FEC, each with distinct responsibilities:
A. A National Security Council, with its composition aligned with the Third Schedule (Part K) of the Constitution. Its members should comprise the following Ministers:
- Minister of Defence
- Minister of State for Defence
- Minister of Police Affairs
- Minister of State for Police Affairs
- Minister of Interior
- Minister of Special Duties and Inter-Governmental Affairs
-Minister of Justice & Attorney General of the Federation
-Minister of Foreign Affairs
While reviewing the Third Schedule of the Constitution, it was interesting to note that both the Ministers of Foreign Affairs and Justice, despite the enormous responsibilities of their roles in the context of national security, are not listed as statutory members of the National Security Council. The National Assembly should look into this.
B. An Economic Growth and Planning Council, overseen by the Minister of Finance and Coordinating Minister of the Economy. This Council should include the following Ministers:
- Minister of Industry, Trade and Investment
- Minister of Budget and Economic Planning
- Minister of Agriculture and Food Security
-Minister of Gas Resources
-Minister of Water Resources
- Minister of State for Petroleum Resources
-Minister of Labour and Employment
The role of this Council will be to shape a resilient economy, in order to ensure the optimal allocation of scarce resources and foster efficient coordination among all other sectors. This Council will closely collaborate with the National Economic Council, led by the Vice-President, to facilitate comprehensive cooperation and coordination across the 36 states and the federation.
C. An Infrastructure and Development Sub-Council, chaired by a Minister appointed by the President. This Council's ministers should include:
- Minister of Power
- Minister of Works
- Minister of Transportation
- Minister of Housing and Urban Development
- Minister of State for Housing and Urban Development
- Minister of Steel Development
- Minister of State for Steel Development
-Minister of Environment and Ecological Management
- Minister of Federal Capital Territory
The main collaborative duties of the ministries under this Council should involve devising strategic plans, formulating policies, and coordinating initiatives that are aimed at enhancing or developing vital infrastructure sectors nationwide. This team should also work with all the other ministerial teams to identify infrastructure gaps and propose projects to improve the lives and well-being of all Nigerians.
D. The Social Development Council, to be chaired by the Coordinating Minister of Health and Social Welfare. This Council should include the following ministers:
- Minister of State for Health and Social Welfare
- Minister of Women Affairs
- Minister of Youth
- Minister of Humanitarian Affairs and Poverty Alleviation
- Minister of Education
- Minister of State for Water Resources and Sanitation
-Minister of State Environment and Ecological Management
The primary tasks of this Council would involve leveraging insights and resources from the various ministries under the Council to design and execute a comprehensive and coordinated social welfare program for the nation. Collaborative efforts would focus on addressing matters of gender equality, youth engagement, poverty alleviation, quality education, and access to clean water and sanitation.
E. The Emerging Opportunities Council, preferably chaired by a Minister designated by the President, although I lean towards having the Minister of Communications, Innovation, and Digital Economy assume this critical role due to his ministry’s intersectionality with all the other ministries in this proposed Sub-Council.
Council members should include:
- Minister of Communications, Innovation and Digital Economy
- Minister of Sports Development
- Minister of Marine and Blue Economy
- Minister of Tourism
- Minister of Innovation Science and Technology
- Minister of Art, Culture, and the Creative Economy
- Minister of Information and National Orientation
- Minister of Aviation and Aerospace Development
- Minister of State for Education
This Council will bear the primary responsibility for strategic planning and policy formulation to promote innovation, technology usage, entrepreneurship, and sustainable development across diverse sectors.
Its focus should be on positioning Nigeria as a competitive global player within the purview of its constituent ministries. Moreover, this Council should be tasked with identifying and harnessing new avenues for growth and prosperity.
STEP 2: With these five Councils established, the FEC could potentially reduce the frequency of meetings to twice a month, or as deemed necessary by the President.
Nevertheless, a standing order should be issued requiring the five Councils to convene at least twice a month to review proposals from the ministries under their jurisdiction before presenting them to the full FEC.
By adopting this approach, ideas can cross-pollinate more readily, leading to increased intersectionality among proposed implementations — just like the Medici Effect.
Despite the cumbersome nature of its current composition, it is possible to make the FEC work. However, as I always say, governance isn't rocket science. Neither is it guesswork. It's intentional, dynamic, and malleable to attain desirable outcomes.
With these considerations in mind, all we can do now is to watch and hope for efficient and effective service delivery for the sake of all Nigerians.
With that being said, I rest my case.
—Oluwole Onemola is a public policy and strategic communications expert.
Lawyer bags six months imprisonment over libelous publication against Dangote
A magistrate court in Abuja has convicted and jailed a lawyer for six months over defamatory publication against the Dangote Cement Plc.
The convict, Augustine Addeh, of the law firm, Mokidi and Co., had caused the publication of an advert in the Nation Newspapers of Friday November 6, 2015, where he falsely alleged that the Dangote Cement caused the invasion of Okpella Community with armed gangsters on October 30, 2015.
The convict, in the publication, also sought to debar the company’s enlistment on the London Stock Exchange, and other stock markets around the world.
The sponsor of the defamatory publication purported that the company caused terrorists to block the Okpella-Benin road which resulted in sporadic shooting, while also causing the death of an innocent person.
Following a petition signed by the Dangote Cement’s Representative, Ahmed Hashem, to the Inspector General of Police(IGP), the originator of the damaging advert was arrested and arraigned in the magistrate court sitting in Abuja.
The convict was thereafter tried for offences of criminal conspiracy, defamation and intimidation punishable under the penal code.
Delivering judgment in Dutse Alhaji, Abuja, on the suit on Thursday August 10, 2023, the Magistrate, Muhammaed Omeiza Tahir, held that the prosecution proved its case against the sponsor of the libelous publication.
A copy of the judgment revealed that, the Magistrate, Muhammaed Omeiza Tahir, held that investigation shows that the publication was false, malicious and damaging to the Dangote Cement Plc.
The Magistrate ruled that the elements of defamation have been established by the prosecution.
He therefore sentenced the convict to six months imprisonment.
He added that the convict will also publish a public apology in some national newspapers within two weeks of the ruling, failure of which he will be jailed for three months without an option of fine.
Meanwhile, a statement from the Dangote Group signed by the Group Chief Branding and Corporate Communication Officer, Mr. Anthony Chiejina, said the company has a robust relationship with its host communities in Nigeria, and will continue to nurture and cherish the bond.
Subsidy removal: Tinubu still has many rivers to cross – Doyin Okupe
A chieftain of the Labour Party, LP, Doyin Okupe said President Bola Tinubu still has many rivers to cross following the removal of the fuel subsidy.
Okupe stated this in a statement via official X (formerly Twitter) handle on Thursday.
The statement reads, “President Bola Tinubu actually hit the ground sprinting; showing much determination, zeal commitment and courage. He has taken 2 extraordinarily bold steps by abolishing fuel subsidy and equalizing foreign exchange.
“This without doubt is causing very severe pain and hardship on the populace. However, in order to ground these policies properly, and reduce the pain on the populace, the President will still need to take more bolder steps.
“In about two decades from now, oil reserves may become meaningless. The present allocation of less than 2 million barrels per day for Nigeria with a population of over 200 million people and it’s prevailing strangulating economic conditions, given volumes of export to our main foreign exchange earner (90%) is inimical to our growth as a nation and to the wellbeing of the citizens.
“Outside OPEC, Nigeria can reduce it’s selling price of crude but also increase it’s exports to 3 million barells and above per day.”
It further reads, “This will increase accruable revenue from forex by up to 200% or more, which will allow the CBN have more supply of forex to the banks. In the face of surplus liquidity in forex supply, Naira will gain tremendous value over the Dollar.
“The present situation whereby the oil majors earn 60% of our accruable revenue from sales of oil leaving Nigeria with only 40% is no longer economically and financially prudent or reasonable.
“Saudi Arabia, using its own Aramco drills its own oil and earns 100% of the revenue from sales. We may not be able to achieve this instantly, but we should renegotiate with the oil majors for the ratio to shift in the favour of Nigeria to 60:40 minimum even if we must add considerable investment in the processing for oil.
“The NNPC can no longer serve fully, neither can it meet the full expectations of it’s obligations to the Nigerian people. I am inclined to recommend that the President & his team should take a look & study the Atiku Abubakar model as it concerns the NNPC as a commercial entity.
“Most of the local refineries can still be made to be functional for the next 50 years. Part of the massive revenue inflow from the equalization of the forex regime should be used to refurbish once and for all our refineries, employing the best acceptable international bidding procedures to choose reputable international contractors to be engaged in the refurbishment programme.
“This should be done outside the purview of the NNPC and by a special presidential team that will abide by the best principles of honesty and transparency. Government must instantly liberalize licensing for investors who are interested in building petroleum refineries in Nigeria; especially modular refineries.
“The present crop of Nigerians engaged in crude petroleum refining who are scattered all over the place should no longer be hounded by task forces but rather harnessed officially into the downstream sector and licensed under supervision to produce and sell petroleum products.
“Government must deploy all powers and resources available to it to put a final end to crude oil theft and limit to the barest minimum, pipeline vandalization throughout the country.
“In spite of our leadership of ECOWAS in this period, the Nigerian government should encourage the deployment of diplomatic crises management approach and seek ways by using its influence with the organization to end the crises in Niger as quickly as possible as a precursor to urgent steps that need to be taken towards the activation of the plan to build the trans-sahara gas pipeline from Nigeria to Algeria and Europe, through Niger and Algeria.
“If this can be accomplished in the next 3 years, with Nigeria being the 9th highest deposit of gas in the world, sales of gas to Europe will bring in revenue in excess of $30b per annum.
“In order to ameliorate the present hardship in the country and give succor especially to the poor, government will have to revisit the 100% abolition of fuel subsidy pending the time when some of the items enumerated above can be accomplished.
“In the mean time, part of the excess inflow from forex equalization can be deployed to fund a supplementary budget to the National Assembly to cover for whatever percentage of the subsidy regime that government considers will suffice to grant the desired relief of the current hardship.
“The equalization of the foreign exchange regime instantly brings in massive revenue into the federation account from NNPC. Last month, for the first time ever, a sum if 1.5tr was available for sharing among the 3 tiers of government.
“The implication of this is that each tier of government will have the requisite financial cushioning to increase minimum wage to at least N60,000 per month. The rest of the excess funds can be channeled towards the repair and refurbishing of refineries as stated above and further strategic infrastructural and human development projects especially at states and local government levels.
He stated, “Furthermore, the more export trades our small and medium scale enterprises and business concerns within the country undertake will boost and improve the percentage of inflow of Dollars from non-oil exports. The weakening of the naira also has a major economic advantage of making our goods and services cheap abroad.
“Government must seize the situation to encourage the export if anything and everything by individuals and enterprises.
“Such encouragement may include payment of special grants per tonnage of goods exported.
In the same vein, a major international drive and campaign must be undertaken by the CBN to encourage Nigerians in diaspora to use the official platform for remitting money home from abroad. This may be in form of waving commissions and fees chargeable on transfers.
With an inflow of nearly $25b per annum from the diaspora community, Dollar supply to the CBN will increase to a large extent.
“Power generation and distribution is a major player in our economy; creating employment and improving the living standard of people generally. With this in view, I will strongly recommend that government shifts the level of power generation without official licensing from 1 MW to 5 MW. The cost of generating power from various sources is about $1-1.2m per MW on the average.
“With this singular policy, up to 1,000 local investors can enter into the power generation market in less than 1 year thereby boosting our power generating potential by more than 5,000 MW in 1 year. If this policy is followed with more liberalization of the power act of 2022, the need for generating sets by millions of Nigerians will drastically reduce by more than 80%.
This will also further cause a decline in the demand by the populace especially the lower class for petrol to power small generators either for business or leisure.
“In conclusion, I personally believe that President Bola Tinubu is a thinker and an achiever.
I have therefore enumerated the points above just to stimulate thoughts and actions and draw attention to areas which I consider if exploited, will add value to the plans of the current administration, increase revenue inflow to the country, reduce hardship and combat poverty.”
Customs seizes donkey male genitals worth N1.23bn at Lagos Airport
The Murtala Muhammed Airport command of the Nigeria Customs Service (NCS), Ikeja on Thursday said its officers intercepted male donkey genitals and dried shark fins worth N1.23 billion at the Lagos Airport.
Speaking to journalists on Thursday in Lagos, the Customs Area Controllers, MMA, Compt. Muhammed Yusuf said the seized items were on the verge of being exported out of the country to China and Hong Kong respectively.
The command said it also generated N47.24 billion between January and July 2023 representing 83.24% compared to N40.35 billion generated in half year 2022.
According to Muhammed Yusuf, the male donkey genitals were harvested from Abakaliki, Ebonyi state, by a Chinese, saying that donkeys as endangered species must be protected from going into extinction.
He said, “The Command made remarkable successes through coordinated anti-smuggling activities in synergy with other critical stakeholders which led to the seizure of six packages of suspected Dried Shark Fins with FOB Value of N221.8million and also 25 packages of suspected Dried Donkey Genitals with FOB value of N1.01billion making a total of N1.23billion.”
“We have over 1000 fishes whose fins have been harvested here and if this is allowed to go, high numbers of donkeys will be endangered and we will have asked them to desist from this act. Animals in the sea have roles they play and endangering them will mean a lot to the ecosystem for us in NCS we make sure we do our jobs and things like this under export prohibition are not allowed to go.
“The culprits have been apprehended and investigation is ongoing to know where this thing came from I know that in Nigerian waters, we don’t have enough sharks that are up to this. This is supposed to be exported out of the country and nabbed at the point of documentation. 1700 pieces of sharks are endangered and they are going to Hong Kong, this is the first time we are seizing this in the command.
“Donkeys are under endangered species and they came from Abakaliki and we begin to wonder why they came from there. We have a lot of donkeys in Abakaliki and now that they are endangered species, these things continuously go out. You can imagine the roles they play in the ecosystem. As it is, the Chinese man has been arrested and investigation is ongoing.”
Speaking on the half-year report, Yusuf said, “From the period of January – July 2023, Murtala Muhammed Airport Command generated a total of N47.24 billion which represents 83.24% of the target met. When compared to the same period in 2022 of N40.35 billion, there is a progressive difference of N6.9 billion representing a 17.14% increase.”
“The suspects in connection with this illegally intended Export have been arrested and the investigation is ongoing. These items were seized mainly because of various forms of infractions on Export guidelines and failure to comply with CITES Law on endangered species as enshrined in the Nigeria Customs Service Act.”
“Let me use this opportunity to appreciate my Officers and Men for their dedication to the Service. I urge them to always adhere strictly to the rules of engagements while discharging their statutory duties.”
Subsidy Removal Is For ‘Better Tomorrow,’ Bear With Us - Tinubu tells Nigerians
President Bola Tinubu has again appealed to Nigerians to bear the current pains caused by the removal of petroleum subsidy, saying the hardship of today will give way to a better tomorrow.
The President said this on Thursday in Abuja at the public presentation of the autobiography of the elder statesman, Edwin Clark.
Represented by the Secretary to the Government of the Federation, George Akume, Tinubu urged Nigerians to be patient saying the palliatives being rolled out by the Federal Government would soon cushion the effects of the hardship being felt by Nigerians nationwide.
He said, “Solutions to problems can never be as instant as coffee. But we must certainly be there. I know the removal of fuel subsidy has created some things. And that is why palliatives are being put in place of 100 trucks. Fertilizers have been sent to the states, 100 trucks of grains have been sent and more are coming. Buses are also coming. We can endure this for a moment. What we are going through today is for a better tomorrow. Nations are great because citizens have hope. They have hope that tomorrow will be better than today.”
In what appeared a commendation for Tinubu over his recent ministerial appointments, Akume said settling for Dave Umahi as Minister for Works was an indication that the President is a rewarder of those who work diligently in service to their people.
“Umahi did very well as governor and he is today the Minister of Works. I think we can say that this is a step in the right direction,” he said.
Meanwhile former Head of State, Yakubu Gowon, and ex-President Goodluck Jonathan were some of the eminent Nigerians who spoke in glowing terms about Clark at the book event.
The book titled, “Brutally Frank’ chronicled the journey of Clark as a classroom teacher, commissioner, minister, and national activist spanning over seven decades.
Gowon who chaired the occasion in his welcome address described the author as a foremost Nigerian who has done his part in the growth and advancement of the Nigerian State
On how Clark became Minister of Information in the then military government, Gowon noted that a perfect replacement was needed for Anthony Enahoro at the time, saying, “The need to fill in the void created by Enahoro’s exit was what gave Clark the job of minister in the government which I headed. He became my confidant and the voice of the government, fearlessly defending the government and projecting its image. I found comfort in always discussing government and other issues with Clark most amicably. However, considering his strong personality, there were times that he would vehemently disagree with his colleagues commissioners, and military officers and worked hard to convince them why his own position is better than theirs and any other.
“He was helpful not only in explaining government policies and programmes but also in the effort to rebuild our unity in the country. I also found him useful in our vision of building a common identity within the West Africa sub-region. I, therefore, found his personality and persuasive skill an asset in visiting various West African countries to canvass the need for us to have a common sub-regional body which today is known as the Economic Community of West African States.”
The former Head of State described the book as “A very useful chronicle of what had transpired in Nigeria during his (Clark’s) lifetime of service. I am hopeful that the younger generations will be better informed on our experiences which have brought the country to what it is today, on which our President, Bola Ahmed Tinubu represents the centre of our common aspirations of peace, unity, and progress.”
Also speaking, Jonathan described Clark as one of those Nigerians whose record of service is worthy of emulation by the citizens, particularly the younger ones.
“Chief Clark is one of those few Nigerians whose names should be written in letters of gold. I say this not because he is my father. This book is a collection of history that will act as a useful guide to young people,” he said.
Speaking on behalf of governors elected on the platform of the Peoples Democratic Party, the Chairman of the PDP Governors’ Forum and Governor of Bauchi State, labelled Clark a mentor to everyone: “A man and leader who has nothing against anyone.”
On his part, Senate President Godswill Akpabio represented by the Minister of Works, Dave Umahi, called on leaders to emulate the elder statesmen, stating that his devotion to the cause of justice was what stands him out from the pack.
Former Edo State Governor, Oserheimen Osunbor who reviewed the 28-chapter book commended Clark for his rich memory but not without pointing out some flaws ranging from factual errors to wrong spellings.
He said, “At times, the language is intemperate such as using the word ‘stupid on page 359. This is obviously in anger but not appropriate in a book. The most serious shortcoming is the author’s copious reproduction, reference to, and reliance on the statements and opinions of other people many of which may be unreliable and unverifiable.
“An example of this is on page 559 where he quotes in extenso excerpts from Mallam El-Rufai’s book “The Accidental Public Servant. In the relevant portion, the author refers to a discussion at Aso Villa between President Olusegun Obasanjo, Senate President Ken Nnamani, and others as they mulled the idea of stopping live television broadcasts of the Senate debate of the Third Term. Chief Tony Anenih is quoted to have said that he will get Professor Osunbor to move the motion.”
Clark was quoted as follows, “The following day, we learnt that Professor Osunbor went to the clerk of the Senate and asked that a motion be raised of urgent national importance, with no topic. This allowed – any senator can move to table a motion of urgent national importance” with no further detail. The clerk put the motion in the order paper. On the appointed day, Professor Osunbor fell miraculously ill and had to be admitted to the hospital, so there was nobody to raise the motion”.
According to Osunbor, “This is pure fiction and fallacious. First, it is the prerogative of the President of the Senate to decide whether to allow a motion of urgent national importance and if satisfied, will direct the Chairman of the Senate Committee on Rules and Business to put it on the Order Paper.
“The Clerk of the Senate has nothing to do with it. At any rate, a motion on the modality of Senate debate will be a matter of privilege which can be raised by any Senator without notice at any time and once the relevant Order has been invoked, it cannot be refused and must be allowed by the Senate President, much less the Clerk of Senate.
“At no time have I fallen miraculously ill and from 1999 when I entered Senate till date, I have never been admitted to any hospital. Importing such falsehoods into a book diminishes its quality.”