Abuja, 18 December 2023 – Achieving sustainable growth and building resilience requires structural transformation while successful industrial policies require both sectoral focus and getting the basics right.
This is the finding of the Economic Report on Africa 2023 (ERA 2023), titled, “Building Africa’s Resilience to Global Economic Shocks” which launched on December 18, 2023, in Abuja, Nigeria.
The report said it was essential for countries to identify optimal combinations of policy actions to nurture an industrial programme.
Presenting the report, Adam Elhiraika, ECA Director, Macroeconomics and Governance Division said the current global economic architecture affords opportunities for African countries to leapfrog and accelerate industrialization through careful experimentation of what has worked elsewhere and adapting it to local conditions.
Mr. Elhiraika, who also presented the 2023 Africa Sustainable Development Report, further explained that firm survival and growth in Africa were closely linked with exporting, working with international capital and international firms, adopting international managerial norms and standards.
According to ERA 2023, three economic fundamental gaps require attention to get the basics right: skill gaps; infrastructure gaps and overall institutional quality gaps.
On promoting regional value chains, the report states that countries can collaborate in creating, for example, regional agricultural commodity markets that will help to connect surplus economies with net importers for wheat, sugar and rice. This will reduce dependence on Russia and Ukraine.
“Financial integration could also protect the continent from the vicious cycle of debt distress and liquidity crunches through regional bond markets that would enhance savings mobilization, risk pooling and funding for regional and national infrastructure, ” the report explained.
Matthias Schmale, the UN Resident and Humanitarian Coordinator in Nigeria, represented by Nonso Obikili, an Economist in the Resident Coordinator’s Office, noted that the convergence of many crises, such as the shocks generated by the consequences of the COVID-19 epidemic, the ripple effects of the Russian invasion of Ukraine, and climate change had resulted in Africa experiencing a setback in achieving the Sustainable Development Goals (SDGs) targets.
He cited an example of the impact of shocks on poverty, in 2021, when almost 30 million Africans experienced severe poverty, and 22 million lost employments.
“The top ten countries with the highest number of poor people account for 64.7% of the continent’s poor population. The first four countries—Nigeria (100 million), the DR Congo (67 million), Tanzania (36 million) and Ethiopia (33 million)—account for 42% of the poor population,” Mr. Schmale said.
The ERA 2023 calls for new approaches for African countries to address challenges of global economic shocks. The report calls for improving risk management and building resilience strategies through well-designed national development plans and good governance, as well as structural transformation through equitable green growth and smart industrial strategies.
Tope Fasua, Special Adviser to the Nigerian President on Economic Matters, highlighted that Nigeria had experienced economic recessions which have included commodity price crashes of early 1970s after the oil boom in 1973, a recession of the 1980s due to fall in commodity prices and another recession in the mid-2000s due to crude oil crash.
“We live a life of volatility in terms of our finances, and most of Africa is still tethered to these kinds of risks,” Fasua said.
The launch was attended by representatives of the United States Embassy, European Union, USAID, Federal Ministry of Budget and Economic Planning;, the Federal Ministry of Finance, Central Bank and UN Agencies.
Issued by:
Communications Section
Economic Commission for Africa
PO Box 3001
Addis Ababa
Ethiopia
Tel: +251 11 551 5826
E-mail: eca-info@un.org
Gbajabiamila seat is seriously shaking, plans to disgrace him out of his position thickens, says Primate Elijah Ayodele
The leader of INRI Evangelical Spiritual Church, Primate Elijah Ayodele, has revealed that there will be an attempt to force the removal of Femi Gbajabiamila as President Bola Tinubu’s Chief of Staff.
Primate Ayodele said there are plans to implicate Gbajabiamila, stressing that “his seat is seriously shaking.”
In a statement by his Media Aide, Oluwatosin Osho, Primate Ayodele also disclosed that some of Tinubu’s aides will be indicted of corrupt practices.
He warned Gbajabiamila to be careful of people around him in the new year to avoid a crisis that will disgrace him out of his position.
Ayodele said: ‘’In 2024, Femi Gbajabiamila will be implicated and there will be attempts to remove him as the President’s Chief of Staff.
“His seat is seriously shaking and he needs to be careful of people around him if not, they will create crisis that will disgrace him out of office.’’
While speaking on the indictment of some aides of the president, Primate Ayodele disclosed that he foresees the arrest of some of them in the coming year.
He said: ‘’Some of President Tinubu’s aides will be arrested in 2024. They will be indicted of corrupt practices, they must be careful.’’
Primate Ayodele revealed that there will be confusion in the senate as senators will openly oppose Godswill Akpabio’s decision.
‘’I see confusion in the Senate. Some senators will openly oppose Godswill Akpabio’s decision in the house. There will be rowdy sessions in the senate. Some senators will also be exposed of wrongdoings in the year,” he added.
Rotimi Akeredolu is dead
The Governor of Ondo State, Rotimi Akeredolu, is dead.
Mr Akeredolu died at about 2 a.m. on Wednesday at a German hospital where he was receiving treatment, a senior government official in Ondo State said.
He died of leukemia and prostate cancer, two ailments that had made him incapacitated for several months.
SPECIAL INVESTIGATOR INVITES TUNDE LEMO, CORNELIUS VINK, RAHUL SAVARA OVER TTB , UNION BANK OF NIGERIA
The Special Investigator appointed by President Bola Tinubu to probe the Central Bank of Nigeria (CBN) has summoned the Chairman of Titan Trust Bank (TTB), Tunde Lemo, and two other shareholders of the bank over the controversial acquisition of Union Bank of Nigeria.
This comes after Lemo, a former deputy governor of the CBN, faulted the investigator’s findings on the issue.
Recall that Tinubu had on June 9, 2023, suspended former Governor of the CBN, Mr Godwin Emefiele, and thereafter named the Chief Executive Officer of the Financial Reporting Council of Nigeria, Jim Obazee, as the special investigator of the CBN.
In a report submitted to the president at the end of the probe, Obazee said Emefiele used “ill-gotten wealth” to establish TTB and subsequently acquired Union Bank and Keystone Bank through his proxies.
Also, the special investigator recommended that the banks be forfeited to the federal government.
However, reacting, Lemo insisted that his bank followed due process and met all regulatory requirements in its acquisition of one of the oldest banks and iconic brands in Nigeria.
He said the establishment of Titan Trust Bank and subsequent acquisition of Union Bank were transparent and duly verified by the relevant regulatory bodies.
In an interview, the former deputy governor of the CBN said: “The core shareholders and the banks will respond appropriately. Due process was followed in the establishment of Titan Trust Bank and every process that led to the acquisition of Union Bank was verified by the CBN, SEC and other regulators. The core shareholders will respond to the specific allegations against them.”
Lemo warned that the publication of unverified information on banks could have adverse effects on the banking industry.
“I sincerely recommend caution in the publication of unverified information about these financial institutions as they are both deposit-taking institutions. The good news is that the banks are healthy and stable,” he added.
The Corporate Communications Department of TTB, in a more detailed statement also on Sunday, said the establishment of the bank and its acquisition of the larger Union Bank complied with Nigerian laws.
Responding to Lemo’s defence in a December 24 letter, the Special Investigator asked Lemo and the two major shareholders in the bank to appear before his team on Thursday.
The letter, titled: RE: CBN INVESTIGATION ACTIVITIES INVITATION FOR A FOLLOW-UP MEETING WITH THE SPECIAL INVESTIGATOR, said Obazee has not heard from the two shareholders or received the requested documents from them.
The letter was signed by the Head of Operations, Office of the Special Investigator, Eloho Okpoziakpo, a deputy commissioner of police (DCP).
The letter, which was addressed to Lemo, reads: “Please refer to your discussion with the Special Investigator earlier today regarding the offensive defence that your good self issued in Punch newspapers, on behalf of TTB which you chair, as well as the email you sent to the Special Investigator today wherein you tried to provide clarification on your reaction to the report on TTB. The defence seems contrary to the statements, made under caution, by the persons connected with these transactions, including your good self, before the Special Investigator at the Department of State Service (DSS) in August 2023.
“In the said newspapers, you referred to both Cornelius Vink and Rahul Savara as “prominent global entrepreneurs and having thriving businesses in Nigeria…”. In your email as well as your earlier discussion with the Special Investigator, you suggested that both of them be invited to provide clarification on their share ownership and given seven days to make such clarification; failure which they will forfeit their shares to the Federal Government of Nigeria.
“We are surprised at your request with regard to these two shareholders. They were given this opportunity via a letter to them dated 28th August 2023 (copy attached as Appendix 1). Instead of honouring the invitation and providing the requested documents, we received a letter from the Company Secretary of Union Bank Somuyiwa Sonubi, dated 1st September 2023, informing the Special Investigator that Mr Cornelius Vink was out of the country on medical grounds and that both “Messrs Vink and Savara will be available for the meeting as soon as they are in Nigeria which will be soon” (copy attached as Appendix 2). Up until this offensive defence that you put in the public domain, the Special Investigator has neither heard from them nor received the requested documents.
“Accordingly, you are hereby invited to come along with Messrs Cornelius Vink and Mr Rahul Savara to meet with the Team of Special Investigators by 2 p.m. on 28th December 2023 at the Department of Force Intelligence DFI), Opposite Nigeria Police Force Headquarters, Shehu Shagari Way, Area 11, Garki, Abuja; without fail or excuse.
“Kindly note that if Messrs Cornelius Vink and Rahul Savara refused to attend this meeting and provide/defend the requested documents/information, it will be construed that they have decided to forfeit their purported shareholdings in TTB and Union Bank of Nigeria; irrespective of which vehicle that they are using to own the purported shares.
“Should you also refuse to attend the meeting to provide an additional statement to your earlier statement made in August 2023, it will be construed that you misled the Nigerian public with your reaction in the Punch Newspapers today which has gained wide publicity in both electronic and print media.
“This invitation is to further ensure that it is beyond reasonable doubt that the Federal Government of Nigeria has given you a fair hearing.
“Accept the assurances of the utmost regards of the Special Investigator.”
