African-German Association brings new approach to Germany

By Favour Nnabugwu

 

African-German Association (AGA) has emerged in Germany to bring new approach to building a strong community.

It brings people of African descent together and wants to build the capacity of organisations to support and promote community engagement and participation.

“We noticed that a major weakness of African associations is their membership focus which hampers their effectiveness,” Michael Williams Iyare, President of AGA, said in an exclusive interview with The African Courier.

“Quite frankly speaking, most of our organisations base their membership on specific nationalities, linguistic zones, ethnic groups or other subnational identities,” he explained.

“We seek to change that by creating an umbrella where all Africans – irrespective of where you come from in the continent – can feel at home. Hence, our mission is to unite people of African descent.”

AGA, which is based in Berlin, brings together other groups and influential members of different communities who now act as multipliers.

The association has identified lack of information as a major challenge facing Africans, especially the newcomers, and seek to address the challenge by disseminating information on different issues that migrants are confronted with in Germany.

“Despite the many organisations in the African community, our people are still lacking information which makes life unnecessarily difficult,” Iyare, who is an entrepreneur, said. “So, we have chosen to provide orientation to our people,” he explained.

Another primary purpose of the association is the promotion of community engagement and participation in civic matters, which it believes is an effective way to promote integration.

AGA holds monthly information sessions on different legal, health, social and cultural issues to support the integration of Africans and promote their welfare in the country.

The association also raises money for charity such as it’s currently doing for Red Cross to support the humanitarian organisation in rendering assistance to African refugees from Ukraine.
Moreover, AGA is actively involved in development in Africa. “Let’s face it, the diaspora has an important role to play in the development of the continent,” he said.

This is why the association seeks collaboration with local organisations as well as communal politicians in Africa to implement development projects.

Among its ongoing activities in Africa is the provision of drainage for a rural road in the town of Igbanke, Edo State, Nigeria. “Roads are a major challenge for rural dwellers in Africa which hampers economic activities. This is why we are involved in the project in Igbanke, where my parents hail from. We are adding a drainage system to the 3.5 km road,” he revealed.

Working with a local organisation, AGA is also currently roofing a primary school in Maputo in Mozambique.

“What we have found out is that the diaspora could make greater impact if it works with communal politicians to impart development at the local level,” Iyare said. “These people know the communities very well and they know what we could do to improve the living conditions of the people.”

AGA was inaugurated in 2021 and already has 38 corporate members. The association, which builds capacities of member organisations to ensure effective and efficient service delivery to the community, is targeting 100 members before the end of 2023.

FCT hands over 12,000 hectares to Aviation Ministry

By Favour Nnabugwu

 

The Minister of Federal Capital Territory, Mr. Muhammed Musa Bello has handed over the Certificate of Occupancy for 12,000 hectares of land in Abuja to Aviation Ministry.

The 12,000 hectares of land is for the actualisation of the aviation roadmap projects of President Muhammadu Buhari led administration was handed over to the Minister of Aviation, Senator Hadi Sirika.

According to the Director-Planning Research and Statistics of the Federal Ministry of Aviation who represented the Minister, Engr. Mohammed Kabiru Shehu, said one of the key projects to be executed on the land is the second Runway project for the Nnamdi Azikiwe International Airport, Abuja.

The MD/CE expressed appreciation to the Buhari led Administration and the Hon. Minister of Aviation for promises kept.

The second Runway project was awarded to the China Civil Engineering Construction Corporation Nigeria Limited (CCECC) and the site was handed over to the company on the aforementioned date.

Other projects that would be executed as part of the aviation roadmap include: Maintenance Repair and Overhaul (MRO) Centre; Aviation Leasing Company (ALC); Agro-Allied Cargo Terminals; Aerotropolis or Airport City; National Carrier; Africa Aerospace and Aviation University (AAAU); second Runway of the Nnamdi Azikiwe International Airport, Abuja, amongst others.

Some of the benefits that would accrue to Nigeria at the completion of the projects are: employment opportunities for Nigerians; enhanced transfer of technology; increase in foreign exchange earnings/increase in GDP contribution; backward integration of aircraft maintenance and repair facilities for both domestic and international carriers; improvement in Ease of Doing Business in Nigeria; reduction in capital flight; increase in Bilateral Air Services Agreements with other countries, amongst others.

Present at the hand over ceremony were the MD/CE-Capt. Rabiu Hamisu Yadudu represented by the Director of Human Resources-Honorius Anozie; Acting Director of Aerodrome Development of the Aviation Ministry Engr.C.Awogbami; Team Lead of the Federal Capital Development Authority, Executive Secretary-Engr. Shehu Hadi Ahmad; Regional General Manager (North Central)/Airport Manager,Nnamdi Azikiwe International Airport, Abuja – Kabiru Mohammed; other officials of the Ministry of Aviation, FAAN and FCDA amongst other dignitaries.

Access Bank acquires $37m stake in Kenya’s Sidian Bank

By Favour Nnabugwu

 

 

Access Bank Holding Plc has concluded plans to acquire Kenya’s Sidian Bank Ltd., for N15 billion ($37 million).

The bank disclosed this in a notice signed by Mr Sunday Ekwochi, Company Secretary of the bank, and made available on the Nigerian Exchange Ltd., on Wednesday in Lagos.

The bank said its subsidiary, Access Bank, had signed an agreement with Centum Investment Company Plc (‘Centum’) for the acquisition of the entire 83.4 per cent equity stake held by the company in Sidian Bank Ltd.

Centum Investment Plc, a leading East Africa investment firm listed on the Nairobi Securities Exchange and Uganda Securities Exchange.

It noted that the purchase consideration is approximately up to N15 billion ($37 million), representing a price to book multiple of 1.1x based on the audited March 31, 2022 shareholders equity of Sidian.
According to the bank, Sidian will be merged with Access Bank’s subsidiary in Kenya, Access Bank Kenya to create a stronger banking institution better positioned to serve the Kenya market.

The Chief Executive of Access Bank, Mr Roosevelt Ogbonna, said that the transaction builds on the bank’s earlier acquisition of the former Transnational Bank Plc (now Access Bank Kenya).

Ogbonna said that transaction also underscores the bank’s resolve to strengthen our presence in Kenya, a key African market that fits into its strategic focus for geographic earnings growth and diversification.

“The acquisition and intended subsequent merger will create a strong and competitive balance sheet for Access Bank Kenya, positioning us to be well-placed to promote regional trade finance and other cross border banking services in the East African Community (EAC) and broader COMESA region.

“The proposed combination with Access Bank Kenya would undoubtedly propel Access Bank into a strong contender in the Kenyan market with enhanced capacity to play a more impactful role in the growth of its economy while delivering increased profitability for our shareholders,” he added.

Also, the group CEO of Access Holdings Plc, the parent company of Access Bank, Mr Herbert Wigwe, stated that the deal “represents the relentless focus and execution of our strategic objectives within our banking subsidiary even as we grow the other businesses within Access Corporation’s core segments.

“The acquisition of Sidian is a significant step-up in scale and potential for Access Bank in Kenya which represents the largest market and trade corridor in East Africa.

“The significant increase in scale and customer base presents us with enormous opportunities to support growth in the various ecosystems were are building in our trade and payment business.

“The economies of scale that derive therefrom will continue to drive and enhance contributions to all stakeholders.”

Also, in the notice to the NGX on the proposed purchase, it was stated that the valuation was based on the audited results of the Kenyan lender for the first three months of the year.

The deal is still subject to regulatory approvals in Nigeria and Kenya

FG picks CCECC to construct N92bn second Abuja runway

FEDERAL Government has handed the China Civil Engineering Construction Corporation Ltd, (CCECC), the construction site of Nnamdi Azikiwe International Airport, Abuja second runway for N92 billion.

This was contained in a tweet by the Federal Ministry of Aviation.

Just Monday the Federal Capital Territory( FCT) made available a total of 12,000 hectares of land reserved in the land bank allocated for aviation facilities purposes of which the runway is part of.

The Abuja runway project is expected to be completed within the next 12 months.

The runway according to the Minister of Aviation, Senator Hadi Sirika became necessary in view of the fact that it was as critical as the economy of the country

PenCom recovers N422m pension remittance from defaulted employers

By Favour Nnabugwu

 

The National Pension Commission (PenCom) has recovered N422.34 million from defaulting employers who failed to remit pension contributions by their employees to respective pension fund administrators (PFAs).

This is contained in the 2022 first-quarter report released by the commission on Tuesday. The figure is 30.6 percent lower than the commission’s recovery to the tune of N608.55 million in the first quarter of the preceding year.

PenCom said the amount comprises N124.89 million principal contribution and N295.45 million penalty.

It added that the sum was recovered from 23 defaulting employers during the quarter under review.

Meanwhile, it said six defaulting employers have been presented for appropriate legal action.

“Following the issuance of demand notices to defaulting employers whose pension liabilities were established by the recovery agents (RAs) appointed by the commission, the sum of N422.34 million representing principal contribution (N124.89 million) and penalty (N295.45 million) was recovered from 23 defaulting employers during the quarter under review,” the statement reads.

“The cumulative pension contributions from inception to the end of the first quarter of 2022 amounted to N7.77 trillion, which is an increase from N7.58 trillion as at the end of Q4 2021,” it added.

PenCom noted that the aggregate pension contributions of the public sector increased from N3.92 trillion in the last quarter of 2021 to N4.02 trillion at the end of Q1 2022.

Similarly, the aggregate pension contributions of the private sector increased from N3.66 trillion in Q4 2021 to N3.76 trillion at the end of Q1 2022

From January to March 2021, PenCom said it received a total of 11,200 applications from private sector organisations for the issuance of pension clearance certificates (PCCs).

“Out of this number, PCCs were issued to 10,541 organizations, while 659 applications were in the approval process as at March 31, 2022,” PenCom added.

“The records showed that the 10,541 organizations had remitted a total of N59.39 billion into the retirement savings accounts (RSAs) of their employees, totaling 45,170.”

The total value of pension fund assets as at March 31, 2022 was N13.88 trillion.

“The amount comprised of N9.81 trillion in RSA’ Active’ Funds (RSA Funds I, II, III and V); N1.10 trillion in RSA Retiree Fund (Fund IV); N1.54 trillion in CPFAs; N1.42 trillion in Approved Existing Schemes. Fund VI Active and Retiree Fund amounted to ₦23.16 billion,” it said.

The commission noted that employers are mandated to remit workers’ monthly pension contributions to their retirement savings account (RSA) for the exclusive purpose of providing retirement income

 

Naicom, NCDMB called on stakeholders to adhere, comply with oil & gas content development

The National Insurance Commission (NAICOM) and Nigerian Content Development and Monitoring Board (NCDMB) unveiled the Guidelines on Submission of Insurance Programme By Operators, Project Promoters, Alliance Partners and Indigenous Companies In the Oil and Gas Industry.
Speaking during the launch in Yenagoa, Bayelsa State, the Commissioner For Insurance, CFI, has implored all stakeholders in the oil and gas content to adhere and complied to the rules and laws guiding it in order to development the insurance industry
Recalled that  the Guidelines for Oil & Gas Insurance Business was issued in 2010 which amongst others, stipulates the roles and responsibilities of insurance institutions in ensuring compliance with local content law.
“I therefore implore all operators, project promoters, alliance partners and Nigerian indigenous companies engaged in any form of business, operations or contract in the Nigerian oil and gas industry to note that the sighted relevant laws have demanded our adherence and continued compliance”, he beaconed.
 The purpose for which the federal government pulled the stringer together, Thomas stated that it  was done with the primary consideration of ensuring that available In-Country Insurance Capacity is fully filled before any foreign consideration.
“The overall aim of the guideline is the development of indigenous content through increased indigenous participation. The NOGICD Act 2010 was therefore applauded by the entire insurance industry as it greatly complemented the National Insurance Commission roles and responsibilities in performing its regulatory and supervisory oversight function.”.
Elated about the collaboration, the CFI said the joint Guidelines which is today issued with the objectives of enforcing and strengthening compliance with the provisions of the referenced sections of the NOGICD Act and relevant provisions of the Insurance Act with respect to companies carrying on insurance business in the Nigerian oil and gas industry is to also enable the Board monitor utilization of in-country insurance capacity.
Representing the industry at the event were Commissioner for Insurance, Sunday Thomas, the Deputy Commissioner for Insurance, Technical, Alh. Sabiu Bello Abubakar, NAICOM Director, Policy and Regulations, Mr. Leonard Akah, the Chairman, Nigeria Insurers Association, Mr. Ganiyu Musa and Mr. Tunde Oguntade, who repesented the President of Nigerian Council of Registered Insurance Brokers.
Also, txecutive Secretary of NCDMB, Engr. Simbi Wabote, stated that the Insurance Guidelines addresses loopholes that have been identified by the Board in implementing the provisions of the NOGICD Act, particularly sections 49 and 50.
The combined provisions of sections 49 and 50 require all operators engaged in any form of activity or project in the Oil and Gas industry to “insure all insurable risks related to its oil and gas business… with an insurance company, through an insurance broker registered in Nigeria.”
The Nigeria Oil & Gas Industry Content Development, NOGICD Act provides that where an operator seeks to place an insurable risk offshore, a written approval of NAICOM must first be sought and obtained and that NAICOM, prior to the issuance of the approval, must first determine that “…local capacity has been fully exhausted.”
Wabote stated that “The essence of the above provisions of the NOGICD Act was to ensure the full utilisation of available in-country capacity in the insurance sector before seeking offshore insurance services. This is expected to support retention of capital in-country and build capacity of Nigerian insurance companies in the oil and gas industry.”
“It is believed that the implementation of this Insurance Guidelines will further strengthen the Board’s local content drive and ensure that a greater portion of the spend in the insurance industry as it relates to oil and gas activities in Nigeria is retained in-country,” he added
He reiterated that the Insurance Guidelines, drawn up by the two government agencies, will lead to more value addition and usage of Nigerian insurance firms and insurance brokers registered in Nigeria.
Wabote also pointed out that the launch of the Insurance Guidelines marks the first step in the implementation of the Guidelines, adding that the representatives of both government agencies have finished drafting the framework implementation plan.
He maintained that the Insurance Guidelines is another step by the Board of NCDMB to attaining 70 percent Nigerian Content by 2027 under the Board’s 10-Year Strategic Roadmap.
Wabote added that the Board of NCDMB is delighted to collaborate further with NAICOM to ensure the successful implementation of the Insurance Guidelines and every other activity that will lead to the attainment of the objectives of the NOGICD Act, 2010.
“We will further dissipate information about the new Insurance Guidelines during the Nigerian Content Seminar session at the 2022 Nigerian Oil and Gas Event scheduled for next month, 4th to 7th July 2022 in Abuja,” he assured.
CHI generates N10.5bn GPI in 2021

By Favour Nnabugwu
Consolidated Hallmark Insurance Plc’s financial year ended December 31, 2021 announced a gross premium income of N10K.5billion representing a 7.4 percent increase from the N9.8billion recorded in 2020
CHI at its 27th Annual General Meeting, AGM in Lagos yesterday, posted a profit before tax grew by 26 per cent, from N772.5m as of the end of 2020 financial period to N971.6m at the end of 2021.
“The profit before tax grew by 26 per cent, from N772.5m in 2020 to N971.6m in 2021,  while profit after tax grew by 17 per cent, from N677.9m in 2020 to N790.6m in 2021.
“Similarly, the Group’s total assets rose from N14.3bn in 2020 to N15.7bn in 2021, approximately 10 per cent growth.”
Speaking at the AGM, the Group Managing Director of CHI, Mr Eddie Efekoha, who thanked all sections of the company for the collective efforts, said without them, the CHI would not be what it is today.
While reviewing the year under review, Efekoha stated, “The 2021 Financial Year was filled with a lot of hopes for us all, not just in the Insurance Industry and  by  extension  the  Financial  Services  Sector, but  the  entire  economy”.
He continued, “It  was  a  year  which marked the near full reopening of the operations space  for  businesses  to  thrive,  following  the easing of the global lockdowns and restrictions that characterised the previous year 2020”..
“For us in Consolidated Hallmark  Insurance  Plc, our story is not different from that of the nation as the year whose operations we are reviewing during this 27th Annual General Meeting marks another positive outing for us in the various key financial indices
“Overview of our optimism for 2021 was  bolstered  by  the projection  of  a  2.6 percent and  2.4 percent GDP growth  for Nigeria  by  International Financial  Institutions like the IMF and World Bank  respectively, up from the 1.94 percent contraction in 2020”.
 The MD stated that that the company was able to achieve the feat due to measures it applied to cut cost. “I am glad to inform you that some prudent cost control  measures  we  put  in  place  helped  us  to attain an all-time high Profit Before Taxation of N971.7m in 2021”
Though modest and about N29m short of a desirable N1bn mark, it represents a 26 percent  improvement  on  the  N772.6m  recorded  in 2020. Profit After  Taxation  also  grew  positively from N678.0 million in 2020 to N790.6 million in 2021, representing a growth of 17 percent Peculiar Environment
Muftau Oyegunle retires from Prestige Assurance as Non-Executive Director

Favour Nnabugwu

 

President of the Chartered Institute of Nigeria, CIIN, Muftau Oyegunle has retired from Prestige Assurance as a non-executive director of the insurance company.

This was contained in a disclosure filed to the Nigerian Exchange Limited signed by Chidinma Ibe-Loius, the company secretary.

The statement read in part, “Assurance wishes to inform the Nigerian Exchange Limited, its shareholders and investing public that sir Muftau Oyegunle, a non-executive of the company has retired from the board. He was appointed to the board on 4th June 2023.

“He also served as member of the establishment of government committee as well as risk and audit committee until his retirement. The board and management of the company will surely miss his excellent contribution, the strategic insight, string and passionate leadership exhibited by sir Oyegunle and wish him an elaborate success in his current and future endeavours”

He served as Director of Prestige Assurance Plc and also as Non-Executive Director at Prestige Assurance Plc. He also serves as a Fellow of the Chartered Insurance Institute, London. Apart from his formal training, he has attended several courses and seminars including the Advanced Course in General Insurance organized by the Swiss Insurance Training Institute.

Muftau served as General Manager of Commercial at Leadway Assurance Company Limited and also lead as General Manager of Operations at Leadway Assurance Company, Limited. He served as General Manager of U/W for North at Leadway Assurance Company Limited. He has extensive experience. He is a graduate of the University of Ibadan with a bachelor’s degree in Sociology.

NAICOM, NCDMB unveil Guidelines on Submission of Insurance Programme by Operators

The National Insurance Commission (NAICOM) and the Nigerian Content Development and Monitoring Board (NCDMB) today 8th June, 2022 officially launched and unveiled Guidelines on Submission of Insurance Programme by Operators, Project Promoters, Alliance Partners and Indigenous Companies in the Nigerian Oil & Gas Industry. The ceremony took place at the Headquarters of the NCDMB in Yenagoa, Bayelsa State.

Present at the ceremony from the insurance sector were the CFI, the Deputy Commissioner for Insurance, Technical Alh. Sabiu Bello Abubakar, NAICOM Director Policy and Regulations Mr. Leonard Akah, the Chairman, Nigeria Insurers Association Mr. Ganiyu Musa and Mr. Tunde Oguntade who repsented the President of NCRIB.

 

 

 

 

ECOWAS Brown Card settles N334m compensation to third party victims, treat 3,442 across border claims

By Favour Nnabugwu

 

As the the ECOWAS Brown Card Insurance Scheme marks its 40 years of existence,  the brown card has paid 500,000,000 FCFA (NGN 334 million) compensation to Third party victims of road accident across member countries

Furthermore, to accentuate the successes of the Scheme, a total of 3,442 cross-border claim cases were successfully handled and settled in the year 2022 alone.

Mr Ganiyu Musa who double as the Chairman, Nigeria National Bureau as well as the Chairman of the Council of Bureaux revealed to that the First Zonal Meeting of the Scheme.

According to him, ” In May 2022, in Conakry; an amount of over 500,000,000 FCFA (NGN 334 million) was recorded as compensation to Third party victims of road accident”.

Apart from some of the achievements of the brown card, Musa reiterated the fact that Nigeria has the largest market in the ECOWAS Space with 22 member Companies presently.

The implementation of Automatic Ecowas Brown Card will bring on board all Motor Insurance Underwriting Companies. This Implies, that your local Insurance cover will be issued along with a Brown Card cover to ensure the ECOWAS Risk we are exposed to. This situation would be addressed further with the ongoing automation of the issuance of the Ecowas Brown Cards.

Other laudable pursuits for the Scheme before the end of Nigeria’s Tenure as Chairman, Mr. Ganiyu Musa, drives to set up a structured Database for Information retrieval that will fast-track Claims Payment, harmonize the Constitution of the entire Scheme and its Compensation regime, as well as set-up a Cross-border Regulatory Body.

Although the Automatic Brown Card regime is yet to be adopted in Nigeria, according to the Secretary General, Nigerian National Bureau; Mrs Henrietta Anyanna, the scheme has and is fulfilling the purpose for its establishment and has the capacity to unlock the full potential of the motor insurance industry if the resources are judiciously managed.

Anyanna drew  attention to the reality, that Claims worth more than =N=84 million have been paid to Nigerian Third-Party victims of Accidents as at December 31st, 2021, even in the absence of an Automatic Ecowas Brown Card regime.

“Imagine what the situation will be like, after the official implementation of the Automatic Brown Card in Nigeria.”

Also, motorist covered by the scheme are well treated as if the basic Insurance policy were underwritten with a company operating in the country visited by the motorist or through which he/she is transiting.

It was designed as a common scheme for the settlement of claims arising from accidents in the course of the free movement of goods and persons within the ECOWAS sub-region.

The Brown Card Scheme facilitates prompt and fair settlement of claims to road accident victims caused by motorist outside their country of residence.

In addition, the scheme facilitates and provides financial guarantee to Ecowas Community Motorists and their vehicles within the sub region. This scheme is similar to the Green Card In Europe.

Ecowas Brown Card was adopted as a Specialized Institution of the Ecowas Commission. Automatic Ecowas Brown Card was introduced and made Compulsory for all vehicles within the ECOWAS Space. Indeed, the adoption of the Automatic Ecowas Brown card made it a variable driver of Economic growth and Integration within the Ecowas Space.

The Automatic Brown Card further enhanced: The Inflow of funds generated will serve the interest of all Stakeholders; most specially the Insurance Companies and provide adequate Resources to effect Fair and Prompt Payment of Claims – a key objective of the scheme.