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Haiti triumphs after all

Haiti triumphs after all

If the February 8
Barbican performance of the Creole Choir of Cuba were to be described
in one word, it would be called ‘Triumph’. A triumph that derives from
weathered collective challenges like slavery, displacement, bad
governance and natural disasters; and on this occasion, the barrier of
language.

The Creole Choir of
Cuba is a harmonious union of sages with voices raised in their native
tongue to tell the world their communal history. The Choir is more than
10 individuals wielding musical notes and percussion instruments; it is
a projection of bravery, endurance, talent and warmth.

Beyond language

The stage was laid
out simply, with no busy background accoutrements to distract the
audience; the choir of six women and four men dressed in simple, loose
fitting traditional attire was the cynosure of eyes. And from the very
first song, ‘Mangaje’, which with powerful solo and back-up acapella
recounts the disillusionment of African slaves in the new world, the
audience is transported to a temporal space where not words but emotion
is the Lingua-Franca.

The predominantly
white audience was given more than a glimpse of the soul of these
Haitian descendants of Cuba, who rendered one melody after the other
with remarkable flourish and verve; undeterred that a majority of their
listeners did not understand the language.

Perhaps because of
this, their faces, bodies, and movements reached where their vocal
expressions could not. They swayed, crouched, danced, mimed, pumped the
air in defiance or waved in victory. We heard in dirges, chants,
invocations, and laments as one story after another of pain, loss,
injustice and suffering was told with alternating emotions.

Mundane themes such
as the loneliness of a cattle drover travelling at dusk are woven with
those of war and political denunciation to create a spectrum of
thoughts and cultural insights. And with many of the songs performed
solo, the audience was given a taste of the choir’s versatility –
individually and collectively.

A frenzy of drumbeats

While the first
half produced a reflective atmosphere for past disappointments and
difficulties, the second was more upbeat. A frenzy of drumbeats,
dramatic dances and applause accompanied songs like ‘Ou Pa Nan Chaj’ –
as playful jeers where thrown the way of the diminutive male singer who
played a man ridiculed because of his inability to successfully woo any
female.

The show got more
animated when audience members were invited onstage to dance with the
undulating women to the excited hoots from the audience. The invitees,
who seemed to be familiar with the Haitian melodies, did not disappoint.

As if the Creole
and French speaking singers had not pleased the crowd enough, they
inspired even more appreciative applause when they broke into a
rendition of Nat King Cole’s ‘Unforgettable’.

The performance was
marked with an amazing sound clarity further complemented by indigenous
percussion instruments such as drums, choucounes and Haitian merengues,
which formed the sinew of the tunes.

Ten middle-aged
singers with remarkable memories in folklore can certainly do a lot in
communicating the brotherhood of the black race, with sounds and dances
reminiscent of the West African cultures to which their ancestors once
belonged.

Universality

Michelle Johnson,
a member of the audience, commended the choir and spoke on the
universality of black culture and music. “This performance shows the
strength and durability of black culture. The costumes, sounds and
movements are very similar to what I see in Jamaica or any other
African performance. Black arts [are] really self-rejuvenating.” “How
simple can you get – 10 voices and a few random bits of percussion and
the packed crowd was spellbound from the first notes,” remarked
journalist, Andy Snipper. Much as that is true. The Creole Choir of
Cuba, established in 1994, is no haphazard assortment. It is made up of
descendants of Camaguey (an old Cuban colonial town), who studied music
and nurtured the folk songs passed down orally to them since the early
19th century then gradually fusing it with modern Haitian sounds.

The smiles of appreciation at the end of the closing performance, ‘A
Tribute to the Sun’, told of the transcendental quality of music. This
Cuban choir eventually had the audience leaning out of their seats to
grab handshakes as they abandoned the stage and still singing, sashayed
into the crowd in a show of warmth rarely experienced in UK shows.

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Jonathan’s campaign wardrobe

Jonathan’s campaign wardrobe

As President
Gooodluck Jonathan officially launches his state campaign tour, all
eyes will be on his style of dressing. This is because it has been the
tradition of the president to always identify with his hosts through
their traditional attires during his state visits.

Apart from such
instances where the President has been seen dressed in other Nigerian
attires, his traditional Niger Delta attire has been seen by many as
his trademark.

While the
president’s peculiar dress code has drawn both criticism and
admiration, the man behind his wardrobe describes him as a marketer of
his culture through his customary use of the native Ijaw attire.

Looking at the
dress code of past Nigerian leaders, it could be seen that Mr Jonathan
is not the first to dress consistently in the traditional attire of his
ethnic group. Former President, Olusegun Obasanjo was always in
‘agbada’ and the traditional Yoruba cap. Shehu Shagari and the late
Umar Musa Yar’Adua were always in ‘babbanriga’ and cap, a common dress
in northern Nigeria. Fashion analysts say that this trend may be
indicative of the quest for acceptance and a statement of their
identity as Nigerians and solidarity with their own personal ethnic
groups.

Prince Oyefusi, Chief Executive of NobelAfrik believes that the leaders are trying to identify with their ethnic groups.

The president’s
official clothier, Ebi Spiff, adds said: “That is his official uniform;
portraying his culture anyone on that level should not wear things like
the British attire.” Mr Spiff, in a telephone conversation with NEXT,
said, dark colours appeal to the president and explained he selects
what the country’s number one citizen wears. “To choose his clothes, I
have to consider his mood and the occasion. He likes dark colours and
they bring out his shade.” Explaining the difference between the types
of Niger Delta attires used by the President, Mr Spiff said there are
two kinds.

“The one with the
three buttons is called Woko (jumper) while the other is called Etibo
(which is casual), but the one the president wears more often is the
Woko,” he said.

As the country awaits the different looks of the president during
his nationwide tour, he will certainly give up his trademark for most
of the days of the tour. Who knows, we may even see him in a three
piece suit.

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Opposition party endorses Jonathan

Opposition party endorses Jonathan

All speculations
about who the All Progressives Grand Alliance (APGA) will endorse for
this year’s presidential election were laid to rest last Thursday at
the national convention of the party in Awka, the Anambra State capital.

The party members at the convention endorsed President Goodluck Jonathan unanimously.

Speaking on the
choice, APGA’s national chairman, Victor Umeh, said Mr Jonathan has
proved to be a good friend of the Igbos by doing many things for the
south east zone, thereby leaving APGA no choice than to endorse him
after extensive discussions with members of the party.

Mr. Umeh said the
south east geopolitical zone has not had it so good under any
president,‘‘The president is our friend, he has a listening ear and he
relates well with us. Under his administration, the Niger Bridge got
attention, the Enugu airport has been upgraded, and our brothers can do
business again due to the lifting of ban on importation of certain
items,” Mr Umeh said.

He said the party
had to adopt somebody after no one picked its presidential form, ‘‘
We’ve been involved in discussions with members and we came to a clear
appreciation that there’s only one person, APGA could support and that
is the incumbent president,” he said.

He however said the
party’s support is only for Mr Jonathan and called on members of the
party to vote en masse for the rest of APGA’s candidates in other
elective positions. ‘‘We’re contesting all the other elections and we
want our supporters to return all our other candidates. We have not
merged with anybody.” The motion for the adoption of Jonathan was moved
by the Anambra State deputy governor, Emeka Sibeudu, and seconded by
the national chairman, south west Tayo Sowumi.

Before now the
south east governors under the aegis of the South East Governors’ Forum
chaired by Peter Obi of Anambra State had declared their support for
the president giving similar reasons for supporting him.

INEC was there too

The convention
which was attended by representatives of INEC including the state
resident electoral commissioner, Chukwuemeka Onukogu, also ratified the
decisions taken at the party’s NEC meeting which returned the current
national executive of the party to serve for another four year term.

The event then
moved from the convention venue of Women’s Development Centre to
Ekwueme Square where the party’s candidates were presented to the crowd
of supporters and given the party’s flags. Governorship candidates from
many states of the federation were in attendance. Former information
and communications minister, Dora Akunyili led the senatorial
candidates who were presented with the party’s flags.

Echezona Etiaba,
son of former deputy governor of Anambra State, Virgy Etiaba, who also
attended the convention, stated what the south east will gain by the
adoption of Mr Jonathan by APGA, ‘‘It can never get worse with the
south east by this adoption and it will only get better,’ he said.

Also, the chairman
of Coalition of Lagos State Opposition Political Parties, an umbrella
body of 26 parties, John Uche, said the coalition was formed to provide
a platform for unseating incumbent Lagos State governor, Babatunde
Fashola, whose regime he described as wicked. ‘‘We have the people, we
have the means and we have the structure to remove Mr Fashola. His
so-called achievements are mere photo tricks,’” Mr. Uche said.

The National
publicity secretary of the party, Bernard Akoma ruled out any chances
of reconciliation with Chekwas Okorie, a factional leader of the party,
saying that the issue has been taken care of by the court. Mr. Akoma
said although the matter is still pending at the Supreme Court, he had
no doubt that it will not favour Mr Okorie just as the two previous
judgments had not favoured him.

“APGA will forge ahead without him and as you can see we have been growing from strength to strength,’’ he said.

The occasion was also attended by the party’s national secretary
Sanni Shinkafi; Bianca Ojukwu, special adviser to the president on
Diaspora matters; Tim Menakaya, former health minister; and the host
governor Peter Obi.

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The forgery army is condoning

The forgery army is condoning

The forgery of court document is a
criminal offence which carries a seven-year jail term. But the Nigerian
Army does not seem to consider the offence such a big deal. When told
how Paul Egbo, a Major in the army’s medical corps, allegedly forged
divorce papers to enable him leave his wife and take up with another
woman, a female army officer, an official letter from the Chief of Army
staff said the offence is of no concern to the army.

In May 2006, Mr Egbo, a native of Delta
State, while serving in Maiduguri, Borno State, decided he wanted out
of his 12-year marriage to Uche Egbo. He called Mrs. Egbo, a house wife
and mother of their three children living in their home at the Ojo
military cantonment in Lagos State, and told her that the marriage is
over because God had told him to marry another woman.

He then changed his salary account from
which Mrs. Egbo and the children take money for their monthly upkeep.
Mrs. Egbo remembers that for the next eighteen months, up till
September 23, 2007, her husband and father of their children only came
home once; and that was to pack his belongings.

“He came from Maiduguri to pack his
things. I told him that if he takes everything how does he want us to
cope, that why has he abandoned his family, that he should make
arrangement for his children’s upkeep,” Mrs Egbo said, “Instead he
accused me of being a criminal and got me arrested. I was taken to the
guardroom and would have remained there if not for an officer who
intervened. But he took everything and left us with nothing.”

Mrs. Egbo’s ordeal was not over. On May
20, 2008, Military Police personnel came to her home and handed her a
Lagos State High Court order dated December 31, 2007, which declared
her marriage to Mr. Egbo dissolved. On the orders of her husband, they
had come to evict her with immediate effect from the house.

“It was only because the cantonment
commandant, Lieutenant Colonel Apere, intervened that I was spared. He
instructed Paul to come and sort things out himself because the army
gave the house to him and not me,” said Mrs. Egbo, who hails from
Anambra State.

Being the only child of an elderly
pensioner mother, Mrs. Egbo was totally dependent on her husband. Now
abandoned, she became a wreck. Unable to bear the psychological trauma
any longer, she moved out of the barracks in September 2008 and began
squatting with some acquaintances.

To put food on the table, she started
doing menial jobs. She could not pay her children’s school fees, and
they had to miss one year of school. She and her three children
practically lived off handouts from sympathizers.

A case of forgery

It was in this condition that Kayode
Ogunjobi, a lawyer, met Mrs. Egbo. Filled with compassion, he took up
her case free of charge and ran a check on the decree nisi and the
decree absolute allegedly issued by the court dissolving the marriage.
The response from the Lagos State judiciary in a letter dated July 17,
2008 revealed that Mr. Egbo’s documents were fake.

“We have checked our records and we
report that the document did not emanate from the High Court of Lagos
State as Suit No. HD/241/2007 does not exist in our records,” wrote
Mariam Emeya, then a Chief Magistrate. “Furthermore it is very obvious
that the document is fake as Mr. A. Ola Dada, the ACR (Assistant Chief
Registrar) Litigation who purportedly signed the letter in 2007 retired
in 2005.”

Mrs. Emeya, who at the time was also
the deputy chief registrar of administration in the Lagos State High
Court, further observed that a decree nisi only becomes absolute after
three months but Mr. Egbo’s decree absolute terminated his marriage
after two months.

“In the final analysis, there is no
indication of the court or judge who purportedly dissolved the said
marriage. It is therefore clear that the document is fake,” concluded
Mrs. Emeya.

The army didn’t care

In December 2008, Mr. Ogunjobi, through
Rouq & Company Solicitors and Advocates, petitioned the Office of
the Chief of Army Staff, then headed by Abdulrahaman Dambazau, a
lieutenant general; and Mike Okiro, the then Inspector-General of
Police. While the Police never responded, the Army through its Special
Investigation Bureau (SIB) in Apapa, Lagos State, between August and
September 2009, investigated Mr. Egbo’s forgery case and the abandoning
of his family responsibilities.

“We were invited by the SIB and we
went. The investigation was concluded and the report forwarded. They
said they were sending recommendations to Defence Headquarters, and
that it is an internal thing, so they will get back to us when they
need us. And that is the last we have heard from them, till now,” Mr.
Ogunjobi said.

By June 2010, the army had still not
responded and Mr. Egbo had not rendered any financial help to his
family in years. During this time, Mrs. Egbo said her husband had
married another woman, a female army captain she identified as Rachael
Gashua, serving in the army’s Military Police Corps in Maiduguri.

After her children were sent away from
school just before their promotion exams for non-payment of school
fees, Mrs. Egbo approached Project Alert, a non-governmental
organisation promoting women rights. They assisted her with N35,000;
and together with the National Human Rights Commission (NHRC)
petitioned the present Chief of Army Staff, Onyeabo Ihejirika, over Mr.
Egbo’s forgery of judicial documents and abandonment of family.

But Mr. Ihejirika’s response to the
Commission was that the army would not entertain the matter. Through
his staff, one Lieutenant Colonel A. A. Ali, via a letter received by
the NHRC on November 22, 2010, the army chief further recommended that
if Mrs. Egbo felt so aggrieved, she could lay her complaints at the law
courts.

“The issues raised are purely domestic
in nature and should be settle between the spouses. On the other hand,
if she feels strongly about the alleged ill treatment by her husband,
she may take up a legal action against him. The Nigeria Army does not
have the capacity to impose a wife on a personnel,” read the letter
signed by Mr. Ali “for Chief of Army Staff”.

Mr. Egbo could not be reached on his
mobile telephone. When contacted, his lawyer, Jonah Daniel of KC
Okolodia & Co, said the media does not have any merit in reporting
the case.

“I don’t think it is safe for your
paper to publish this story. Paul’s wife has reported to the Nigerian
army and it’s being investigated,” Mr. Daniel said. “Also the Human
Rights Commission is investigating. This matter is under investigation,
so I don’t know what you want me to say.”

But when asked if he procured the fake
divorce documents for Mr. Egbo, he replied: “I can’t answer that
question. I won’t be part of a campaign of calumny”.

The waiting game

The head of the Directorate of Army
Public Relations, Chris Olukolade, a brigadier-general, when contacted,
requested that he should be left out of the matter.

Kayode Ogunsanya, a lieutenant colonel
and the spokesperson for the Army’s 81 Division, which oversees Bonny
Cantonment, where Mr. Egbo is said to be currently serving, promised to
contact him and then get back to NEXT. Two weeks have gone by and he is
yet to respond. With tears in her eyes Mrs. Egbo said all she wants is
for the father of her children to live up to his parental duties. As
she wakes up early every day to prepare the food she sells on a
roadside, she worries about raising enough money to pay her children’s
school fees, as schools resume February.

“For five years I have been struggling on my own. I have made up my
mind to move on. I am not out for revenge but if Paul wants to divorce,
he should do it the right way. He should also have compassion on his
children and cater for them and not leave them to suffer this way,” Mrs
Egbo said.

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WHO warns that alcohol kills more than AIDS, TB or violence

WHO warns that alcohol kills more than AIDS, TB or violence

Alcohol causes
nearly 4 percent of deaths worldwide, more than AIDS, tuberculosis or
violence, the World Health Organisation has warned. Rising incomes have
triggered more drinking in heavily populated countries in Africa and
Asia, including India and South Africa, and binge drinking is a problem
in many developed countries, the United Nations agency said. Yet
alcohol control policies are weak and remain a low priority for most
governments despite drinking’s heavy toll on society from road
accidents, violence, disease, child neglect and job absenteeism, it
said. Approximately 2.5 million people die each year from alcohol
related causes, the WHO said in its “Global Status Report on Alcohol
and Health.” “The harmful use of alcohol is especially fatal for
younger age groups and alcohol is the world’s leading risk factor for
death among males aged 15-59,” the report found. In Russia and the
Commonwealth of Independent States (CIS), every fifth death is due to
harmful drinking, the highest rate. Binge drinking, which often leads
to risky behaviour, is now prevalent in Brazil, Kazakhstan, Mexico,
Russia, South Africa and Ukraine, and rising elsewhere, according to
the WHO.

“Worldwide, about
11 percent of drinkers have weekly heavy episodic drinking occasions,
with men outnumbering women by four to one. Men consistently engage in
hazardous drinking at much higher levels than women in all regions,”
the report said. Health ministers from the WHO’s 193 member states
agreed last May to try to curb binge drinking and other growing forms
of excessive alcohol use through higher taxes on alcoholic drinks and
tighter marketing restrictions.

Alcohol is a causal
factor in 60 types of diseases and injuries, according to WHO’s first
report on alcohol since 2004. Its consumption has been linked to
cirrhosis of the liver, epilepsy, poisonings, road traffic accidents,
violence, and several types of cancer, including cancers of the
colorectum, breast, larynx and liver. “Six or seven years ago we didn’t
have strong evidence of a causal relationship between drinking and
breast cancer. Now we do,” Vladimir Poznyak, head of WHO’s substance
abuse unit who coordinated the report, told Reuters.

Alcohol consumption rates vary greatly, from high levels in
developed countries, to the lowest in North Africa, sub-Saharan Africa,
and southern Asia, whose large Muslim populations often abstain from
drinking. Homemade or illegally produced alcohol – falling outside
governmental controls and tax nets – accounts for nearly 30 percent of
total worldwide adult consumption.

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DANFO CHRONICLES: Pop the champagne!!!

DANFO CHRONICLES: Pop the champagne!!!

The music filled the bus and the driver tapped his chubby fingers to the rhythm.

“Pop pop pop pop pop pop pop pop something/Pop pop pop pop pop pop pop pop something/We dey pop champagne, pop champagne…”

He cradled the
steering wheel to his huge belly, his fat cheeks eternally seeming on
the verge of breaking into a smile. You could see how hard he had tried
to groom himself; the long nails chipped in parts; the dark oily hair
cut in the style called Gallas, tribute to the former Arsenal player
who made it so famous.

He seemed a bit too
old for relaxers and shady hairstyles, but the twinkle in his eye said
that perhaps he knew that, but so what? His check-shirt hugged his gut
so tight the buttons appeared ready to pop at the next big meal of
amala and ewedu washed down with the inevitable Gulder. Oh, yes, he
looked like a man who enjoyed his food with some brew.

But he was not a
big talker, preferring to limit his vocal efforts to singing the chorus
of the Dr. Sid/D’Banj song. When an angry driver overtook our bus,
hurling insults at him for no apparent reason, he didn’t even shout
back. He gazed placidly at the fellow through his window, and placing
an index finger to the side of his head, he turned it sharply, like a
screw. At Ogudu, he stopped to pick up an odd couple; a smallish fellow
in the garish colours of the LASTMA uniform and a much taller man. It
was soon clear that he knew them both. On spying the shorter guy, he
began to protest after they entered: “Oh no, no!”, shaking his head
like one who had committed an irredeemable blunder.

“Egbon,” he said,
addressing the tall chap and pointedly ignoring the uniformed fellow,
“I seriously thought you were alone. Seriously. I don’t usually carry
these wicked people.”

Goliath chuckled.

“Because of me,” he said, settling down, “Carry am today, I beg.”

The LASTMA official
pursed his lips, predicting dire consequences for errant drivers who
didn’t know how to show respect for authority. The driver made a face
and laughed. Suddenly, a bike man cut into our lane from the blind side
and went speeding past without a care.

“The people who drive okada are crazy,” he said quietly, “Every single one of them.”

Ladies and gentlemen, I present to you an oxymoron: a danfo driver with no stress.

Sitting beside him
up front, I again wondered what it was about fat men that makes you
feel comfortable in their company. They seemed more able to absorb
life’s pressures, to hide their neuroses under all those layers of
flesh. I remembered Caesar saying to Anthony: “Let me have men about me
that are fat; sleek-headed men and such as sleep o’ nights,” and I
thought, the Roman general would have loved this bus driver.

I got down at Ojota
feeling quite mellow, as if I had indeed popped some champagne, and I
began to see Lagosians differently. At the criminally built steps of
the overhead bridge at Ojota, an elderly lady with a tall load
stumbled, and a dashing young woman in an Afro and elegant shoes
stepped forward: “Mama, let me help you with the load,” she said. The
elderly woman refused, but the smile on her wrinkled face was priceless.

At the other end of the bridge, I ran into a schoolboy helping a blind man negotiate the bustle, and they were both laughing.

“Can they not see too?” asked the blind man every time someone
brushed past him. And their laughter would resume. I looked around me.
Everyone seemed to be in a good mood, all the Lagos madness gone. It
looked like my danfo driver’s attitude was catching. Yeah, pop the
champagne jare. Eko o ni baje.

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‘Credible elections do not depend on INEC alone’

‘Credible elections do not depend on INEC alone’

The forthcoming elections

One thing I know is
that it is not possible for us as a people to get to our destination
immediately. We have been having problem with our electoral system in
Nigeria since the first republic. The western region electoral problem
of 1965 should still be fresh in the minds of the people. The
personality of the INEC chairman is very important if we will have a
credible election come 2011. What is the antecedence of Professor
Attahiru Jega? This man is not going to be a magician and is not going
to be God. However, I’m happy that Mr Jega himself understands that his
person, his record, his personality, his integrity are on the line. I
must say that in the history of ASUU struggle in Nigeria, he performed
creditably well and when he left as the ASUU Chairman, series of
articles were written in the newspapers to commend him as a sincere,
faithful, credible, and dependable Nigerian. If the will is there, I
believe Mr Jega is going to make a success of it.

However, the INEC
chairman has been complaining about time factor, he had complained
about this times without number, he has also told Nigerians to expect a
credible election in 2011. But to have a credible election, we can’t
depend solely on the body that will organise it, the civil society; the
media, political parties, and Nigerians must put in a great will so as
to have a credible election in 2011. The sincerity of the political
class and internal democracy in the various political parties will also
go a long way at ensuring a successful election come 2011. The most
important thing is the will of the people to have election conducted
latest by April 2011, and if the will is there, success will be the
result.

Traditional rulers and the Constitution

The class that I
represent want roles specified for traditional rulers in the
constitution, but I believe that roles are already specified for all
Nigerians in the 1999 Constitution. The traditional rulers are also
subjects to all the roles specified in the constitution.

Traditional rulers’ involvement in politics

We are all
political animals in the first place. I am a political animal and for
me as a political scientist and a traditional ruler, I will be
interested in what is going on in my society, including the political
events. As someone who was so close to the corridors of power who is
now a traditional ruler, how will I not be interested in politics?
However, I am a father to everybody. For me, I am not partisan. I don’t
have any favourite candidate. All candidates are all my children and I
tell those who care to listen to embrace all candidates as their
children. As traditional rulers we should not be partisan. We are
supposed to be fathers to all of them. But, we have a responsibility to
advise and support the government in power. Any government in power at
any time should be supported by the traditional rulers, it’s our
responsibility to give advice and counsel to the government of the day,
even God urges us to do that in the Holy books.

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While private sector lags, government gets busy in bond market

While private sector lags, government gets busy in bond market

While many firms
could hardly raise cheap capital to run their businesses last year, the
state and federal government had a field day accessing funds from the
bond market. Since the stock market crisis which began in 2008, many
believed that the bond market would provide a more reliable avenue for
firms to raise capital.

But that was not to
be. In addition to forays by the federal government, five state
governments, namely Bayelsa, Ebonyi, Kaduna, Niger and Lagos all raised
various sums to meet their developmental needs. The private sector was
not so lucky. Apart from United Bank for Africa and Guaranty Trust Bank
which raised N20 billion and N13.162 billion, UAC Properties raised N15
billion while C & I Leasing raised N2.24 billion. Other firms that
planned to venture into the bond market eventually had to shelve the
plans as market sentiments did not tilt in their favour. The
alternative for these firms was bank borrowing which added to the cost
of business.

On the other hand,
the Debt Management Office (DMO), on behalf of the federal government
raised over N1.1 trillion from the domestic bond market last year. With
plans by the DMO to raise N186.5 billion in the first quarter of this
year, the private sector may yet again be at the receiving end in 2011.
The Debt Office plans to raise N66.5 billion next Wednesday and another
N60 billion in March. This capital raising plan by government, compared
to N5 billion raised by Food Concepts Limited last week already sets
the tone of what to expect in the bond market this year.

Government has been
blamed for crowding out the private sector from the bond market, a
claim often countered by the director general of the DMO, Abraham
Nwankwo, who insists that the government is in the bond market in order
to develop it sufficiently for the private sector to thrive. Mr.
Nwankwo said the goals of the office is to develop the domestic bond
market to enable the private sector access long term funds to develop
agriculture, mining, solid minerals, transportation, manufacturing,
power. “Now, there are funds of up to 20 years in the Nigerian capital
market, through the issuance of FGN bonds. Today, if any private entity
wants to issue a bond to raise five, seven, 10, 20 years money for
investment in agriculture, manufacturing, power sector or other
infrastructure will succeed,” he said in an interview last week.

Mr. Nwankwo said
Nigeria’s debut $500 million Eurobond which was subscribed by 150 per
cent was part of government effort to encourage the private sector to
tap into the international bond market. “Government desires an active
role by the private sector in this direction. What government has done
through the Eurobond issue is to open a new window to facilitate
Nigeria’s private sector to go into the international capital market to
issue their own debt instruments and raise long term monies to fund the
country’s various needs in the real sector and infrastructure.”

However, not many
operators share this outlook. “The sustained expansion in public
borrowing risks crowding out the private sector,” said the interim
administrator of the Nigerian Stock Exchange, Emmanuel Ikhazobor, in
his presentation at a press briefing on the review of 2010 and the
outlook for 2011, held last month in Lagos. Mr. Ikhazobor noted that
the international and Nigerian capital market would be very busy this
year as the federal government and various government agencies source
funds from both markets.

Tola Odukoya, an
analyst at Dunn Loren Merrifield, an investment firm in Lagos is also
optimistic that the corporate bond market will fare better this year.
“We anticipate a strong growth trajectory for corporate bonds on the
back of the revised Pencom guidelines and the success of the corporate
bonds issued in 2010. From our standpoint, over N30 billion will be
raised from the market via corporate bonds in the first half of the
year.”

Unchanging trend

This enthusiasm is
not totally shared across the industry as some operators are still
skeptical, given the huge funds raised by government last year. Akin
Oladeji, chief executive officer of Futures and Bonds Limited, a
financial services firm, said the trend may not change much this year.
“The market will not be different from previous years since FGN has
devised a crafty way of raising bonds to finance its projects. WMarket
will continue to be crowded with FG and State Bonds.” Mr. Oladeji said
attraction of the corporate to the bond market will be determined by
interest rate. “If the usual high lending rate and low deposit rate
should continue, most corporate organisations will consider bond
issuance subject to their existing allowable debt to equity ratio.”

Mr. Odukoya said
the corporate bond market has its attraction as many firms may need to
restructure their debt portfolio and may see the bond market as an
alternative. “Our optimism stems from the obvious need for most
corporates to restructure their debt portfolios, which for the most
part are expensive and short tenured in nature.” Mr. Nwankwo, however,
said government was not unaware of the need not to crowd-out the
private sector and that government is creating space for private sector
in the flow of credit. This may account for the drop in government
activity as shown by the DMO’s issuance calendar. While N186.5 billion
is planned for the first quarter of this year, N238.5 billion was
raised during the same period last year, a 21.8 per cent reduction.

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Extension of trading hours boosts growth

Extension of trading hours boosts growth

Following the
extension of trading period at the Nigerian Stock Exchange (NSE) last
December from two and half hours to four and half hours, trading
analysis showed that some sectors of the NSE have improved
significantly in their performance.

The NSE is the
second most capitalised market in Africa after Johannesburg Stock
Exchange, which is open for five hours, and the third place Cairo Stock
Exchange; opens for five and half hours in comparison.

A market assessment
carried out recently by analysts at Proshare Nigeria Limited, an
investment advisory firm, revealed that more sectors of quoted equities
at the Exchange witnessed growth in value. The figures traded in the
following sectors, last Thursday, when compared with the average
figures recorded prior to extended trading hours on December 6th showed
that Automobile & Tyre sector had 937.59 per cent value growth,
Packaging sector 604.90 per cent, Construction 566.02 per cent,
Commercial Services 199.69 per cent and Maritime sector 195.26 per cent
value growth. Other sectors that witnessed significant growth include
the Foreign Listings, Engineering Technology, Breweries,
Food/Beverages, and Mortgage.

Wole Tokede, the
Exchange’s spokesperson, last Thursday, said the extension “has
continued to yield positive results as the market has continued to
record improvement in volume, value and the number of deals.”

The Interim
Administrator of the NSE, Emmanuel Ikazoboh, had also said the
extension “was a strategic move to reposition the market for enhanced
competitiveness which would give foreign investors, especially those in
the United States of America opportunity to participate in the Nigerian
market.” Available data for the two months preceding the extension of
the trading hours with the two months of the extension shows that the
volume of shares traded recorded a growth of 31.93 per cent. The market
recorded 13.892 billion shares in the two months preceding the
extension while the volume of shares transacted in the two months after
the extension rose to 18.328 billion units.

The market value
also recorded a growth of 16.81 per cent in the review period. As
against the value of N147.142 billion recorded in the two month prior
to the extension, shares value now stand at N171.875 billion in the two
months after the extension. The Exchange also recorded growth in the
number of deals in the review period. A total of 171.875 billion deals
were executed in the two months of extension compared to a total of
147.142 billion deals executed in the two months before the extension.
This represents a growth of 16.81 per cent.

Indigenous investors

Meanwhile, some
operators at the nation’s capital market said that while the Exchange
management is focusing on attracting more foreign investors through
trading hour extension, it should place more priority at protecting
indigenous investors.

Tunde
Oladapo-Dixon, chief executive officer, StockPicks Consulting, a
stockbroking firm, said, “Although it is good for the NSE to woo
foreign investors to the market for some capital projects, the main
focus for capital market authority should be to encourage indigenous
investors who will not take their funds out of the market in a long
time because the market actually is a long time investment.” Mr.
Oladapo-Dixon said more priority should be given to local investors
because “it was these same foreign investors that left our market to
crash when they pulled out their funds aftermath the financial crisis
in their countries.” He said local investors want their confidence
guarded jealously in the market.

Analysts at Asset and Resource Management Company, a fund
management firm, said for the nation’s capital market to reach its full
potential, “regulators must constantly focus on promoting a system that
instils confidence by continuously adapting existing or formulating new
rules to promote market discipline.”

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Stock Exchange in wobbly performance

Stock Exchange in wobbly performance

Trading activities
at the Nigerian Stock Exchange (NSE) witnessed a negative performance
on Thursday after recording an improvement the previous day.

The market
capitalisation of the 201 First-Tier equities closed lower yesterday at
N8.504 trillion after opening the day at N8.529 trillion, reflecting
0.29 per cent decline or N25 billion losses; about N87 billion gains
were recorded after Wednesday’s trading.

The number of
gainers at the close of trading session yesterday closed higher at 25
stocks compared to the 23 recorded on Wednesday, while losers closed
lower at 31 stocks as against the 33 recorded the previous day.

Meanwhile, the NSE
said four more stockbroking firms have met the N70 million minimum
capital base requirements instructed by the Securities and Exchange
Commission. The companies are Yobe Investment and Securities Limited,
Quantum Securities Limited, PIPC Securities Limited, and Nigerian
Stockbrokers Limited.

Afrinvest equally
announced in a statement that the Exchange “has removed the firm from
the list of suspended stockbrokers and restored our trading privileges
as of today, 10 February 2011.”

Trading hours

The NSE, on
Thursday, said the extension of its trading hours by two hours
accounted for 50.52 per cent of traded shares in the first two months
of the extension.

The Interim
Administrator of the NSE, Emmanuel Ikazoboh, had said the extension
“was a strategic move to reposition the market for enhanced
competitiveness which would give foreign investors, especially those in
the United States of America, opportunity to participate in the
Nigerian market.”

Wole Tokede, the
Exchange’s spokesperson, said, “Out of the 171.875 billion shares
traded between 6 December, 2010, and 4 February, 2011, the two-hour
added time (between 12.30pm and 2.30pm) accounted for a total of 86.834
billion shares traded, while the initial three hours (between 9.30 am
and 12.30pm) accounted for 85.041 billion.”

Mr. Tokede said the
extension “has continued to yield positive results as the market has
continued to record improvement in volume, value, and the number of
deals.”

Available data for
the two months preceding the extension of the trading hours with the
two months of the extension shows that the volume of shares traded
recorded a growth of 31.93 per cent. The market recorded 13.892 billion
shares in the two months preceding the extension, while the volume of
shares transacted in the two months after the extension rose to 18.328
billion units.

The market value
also recorded a growth of 16.81 per cent in the review period. As
against the value of N147.142 billion recorded in the two month prior
to the extension, shares value now stand at N171.875 billion in the two
months after the extension.

The Exchange also
recorded growth in the number of deals in the review period. A total of
171.875 billion deals were executed in the two months of extension
compared to a total of 147.142 billion deals executed in the two months
before the extension. This represents a growth of 16.81 per cent.

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