Archive for nigeriang

Fela! debuts at New Africa Shrine

Fela! debuts at New Africa Shrine

Prior to its actual
staging in the country later this year, some organisations have
concluded arrangements to screen the musical, ‘Fela!’ in
Nigeria.British Council Nigeria and National Theatre, London, in
association with British Deputy High Commission, Lagos, will screen the
critically acclaimed Broadway Production on Sunday, February 6 at the
New Africa Shrine, Agidingbi, Lagos. The show will start at 4pm.

The production was
filmed live at the Olivier Theatre, London last November when the play
toured the UK. Winner of three Tony awards including best choreography,
‘Fela!’ celebrates the life of Afrobeat legend, Fela Anikulapo Kuti.
Through his pioneering music, ‘Fela!’ unfolds the controversial
musician’s life as an artiste and political activist.

A release from the
British Council explained the organisation’s involvement in the
screening. “The event is part of the British Council’s work in the
Arts; to showcase the best of UK creativity overseas while working with
the best of creative talent to develop innovative events and
collaborations that link thousands of artistes and cultural
institutions around the world, and developing skills and leadership in
the creative sector.”

People interested
in the screening can get tickets at both the British Council office at
Thompson Avenue, Ikoyi or the New Africa Shrine, 1 NERDC Road,
Agidingbi, Lagos for N500.

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Group disputes claim by management of radio stations

Group disputes claim by management of radio stations

It appears the
faceoff between the Copyright Society of Nigeria (COSON) and the
management of Cool FM and Wazobia FM may not end soon going by
development in the saga.

COSON had on
January 17 requested the Federal Government to revoke the licenses of
the two Lagos-based radio stations for their disdain for the country’s
copyright laws and violations of broadcast code.”Owners of Cool FM and
Wazobia FM, who make a fortune annually in advertising revenue, have
shown clearly that despite the provisions of the law, they have no
intention of obtaining authorisation or license to play any musical
work. In other words, Cool FM and Wazobia FM are above the law,” COSON
said in a letter written to President Goodluck Jonathan.

Chair of COSON,
Tony Okoroji, went a step further by requesting agencies that support
Nigerian musicians not to deal with the two radio stations.

“We wish to notify
corporate Nigeria that of the huge amount of money paid by them to
these stations, a small fraction of which is meant to be used to ensure
that the owners of the works broadcast on the stations are paid, not
one kobo is spent by the owners of Cool FM and Wazobia FM to properly
acquire the rights to the music they broadcast daily. We shall
therefore consider any advertising agency or organisation still
advertising on Cool FM and Wazobia FM as an enemy of Nigeria’s creative
talents bent on aiding and abetting infringement of the rights of
Nigerian artistes.” Okoroji had also disclosed that COSON had written
on several occasions to the management of Cool FM and Wazobia FM
inviting them for discussions but that they had never replied.

State of denial

However, the
reported denial by proprietors of the stations that they have never
received any letters from either COSON or its lawyers informing them
that they should obtain copyright license before broadcasting any music
has drawn the ire of the society.

“If that is how the
owners of Wazobia and Cool FM want to frame their narrative, then it is
clear that they are in denial,” Okoroji said while reacting to the
reported denial.

Acting general
manager of the society, Chinedu Chukwuji also said, “I am shocked by
the alleged denial by the owners of Cool FM and Wazobia FM. I have a
file full of copies of the letters to these stations. I also have the
copies of the letters written by our lawyers. It is laughable to learn
that they claim to be unaware of their legal responsibility to obtain
copyright licence for the music they broadcast.

“At the COSON
stakeholders forum held on July 1, 2010 at Protea Hotel, GRA IKeja,
where this issue was discussed for hours, CooL FM was represented by Ms
Alero Eghaghe, their Assistant General Manager, Music. The Nigerian
Copyright Commission (NCC) has published several public notices on the
matter. The subject has been a hot topic across the Nigerian media for
several months. I have called Cool FM on the phone several times asking
them to comply with the law, without any positive response. Who are
they trying to deceive? They want to hide their head in the sand. Their
claim is a joke and an afterthought.”

Manager of Tuface
Idibia and chief executive officer of Nowmuzik, Efe Omorogbe, also
expressed displeasure on the stance of the stations. He said, “These
guys don’t know that the music industry has changed. They think that it
is business as usual. A revolution has taken place before their eyes
and they did not see it. When COSON speaks, it speaks with the mandate
of the industry. All the key organisations in the music industry are
behind COSON. We are united in this cause. The era of free music in
Nigeria is gone forever.”

Weighing in, Onyeka Onwenu said, “Last week, COSON licensed all the
stations of the Federal Radio Corporation of Nigeria all over the
country. If the massive FRCN can subject itself to be licensed by
COSON, who is Cool FM? Who is Wazobia FM? “

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A life in music and electronics

A life in music and electronics

Anjola Aboderin has
been a musician and Electronics Engineer for over four decades. He
devised how to successfully combine both as a primary school pupil in
the 1960s.

“I started to play
music with my brothers and during that period, we realised that
Electronics was the basis of music. We tried to make our own equipment
because it was too expensive to buy.Before I knew it,I had developed a
keen interest in Electronics; almost higher than the interest I had in
music. Electronics would never have come in if music wasn’t there in
the first place,” he explains.

Aboderin eventually
studied Electronics Engineering via correspondence with tutorial
schools in England, obtaining his first diploma in Practical
Electronics well before he completed secondary school.

The artist’s
interest in the two fields further received a boost with his membership
of ‘The Busters’, a band formed by his two older brothers. TV producer,
Laolu Ogunniyi, Niyi Adenuga and Emman Edem amongst others, were also
members of the band which featured regularly on musical programmes on
the Western Nigeria Television (WNTV), Ibadan. Aboderin, who went into
Electronics with his immediate senior brother, Akin, recalls. “We were
always experimenting and making things like loud speakers, amplifiers,
guitars, radio receivers and transmitters successfully. That greatly
impressed my father and he encouraged us.”

The producer

Though he didn’t
know it at the time, his early preparations would later help his music
career. “A lot of promising musicians fail because of lack of
equipment, encouragement and infrastructure. We were lucky because we
could make some of these things ourselves and that gave us an edge over
a lot of others. Today, I still design and construct a lot of
electronic gadgets for music and industry. I help custom design and
construct recording studios with affordable local components, sound
systems for church bands, musicians, night clubs and so on. I enjoy
helping the less privileged get up on their feet where music and ‘high
tech’ electronics are involved,” he says.

Apart from helping
out in the design of clubs including Wichitis in the London West End,
KS and Safari night clubs in Ibadan and recording studios including
Iyanda Studios in Ibadan; Phonodisk in Ijebu Igbo and Saanu Olu Studios
in Ijebu Ode, Aboderin was also a music producer.

“My interest and
abilities in Electronics came in very handy right from the late 60s.
With my Electronics and ability to play the piano and the organ, I was
able to handle complex music synthesisers easily. At that time we had
analogue synthesisers which required a lot of programming. It was very
complex; you had to know some Electronics as well as music to
understand the programming. For a very long time, the ‘MOOG’
synthesiser as it is known was not usable by everybody; I was one of
the very few musicians at that time that could operate that equipment
well. So, I started a part time job as a session musician with EMI
Studios, Lagos. I made weekly trips there to play the synthesiser into
usually already recorded music. Most of the time, I didn’t even get to
meet the musicians at all. I get there, listen to recording and work on
it. Eventually, I started getting involved in the production. I started
having to sit there, rearrange and rehearse music at the very early
stage of each work.”

He discloses that
working with Odion Iruoje, then executive producer at EMI was a unique
experience. “He wasn’t a musician but he had a good set of ears. He
will identify a wrong note. He produced so many artistes of that time
and there was hardly any big artiste that appeared through EMI that
wasn’t produced by Odion Iruoje. I took care mainly of the younger
musicians, they needed the musical expertise to reach the level for
securing the recording contract and that was where he came in.” He also
worked with the Lijadu Sisters, Akeeb Kareem, Ofege, Tabernacle, Dr
Osofisan and Epiphanio Joseph.

Tunji Oyelana’s apprentice

The musician who
backed Highlife maestro, Tunji Oyelana early in the day explains how he
came about the role. “I started playing alongside with him at Mbari
Mbayo (later Kongi) Club, Adamasingba around 1968. It was a cultural
club that was run by the likes of Professor Wole Soyinka. I used to go
there to play with a band I had in secondary school, ‘Cadet Six’. It
was an offspring of the ‘Busters’. We went there often to jam alongside
Uncle Tunji’s band ‘The Freshmen’ (later ‘The Benders’) I also used to
be featured on stage with Uncle Tunji himself.

“I played guitar,
organ; I could play all the instruments available anyway. After a
while, I became a permanent member of Uncle Tunji’s band. Not too long
after that, because band boys were always drifting away, I had to start
recruiting musicians from my own personal musical groups into Uncle
Tunji’s band. Eventually, I became the acting leader of the band too,
practically taking over the affairs of the band from Uncle Tunji. All
he had to do was come in and sing. A responsibility I still carry till
today. If Uncle Tunji has to do any programme today in Nigeria and
abroad, especially if it requires a full musical band, I rehearse the
band as the leader… just bring Uncle Tunji in and we are performing.”

Multi instrumentalist

Not many people
know that Aboderin plays other instruments apart from the saxophone and
that he is not just limited to Highlife music. “In 1966, when I tried
to form my own primary school boy’s band, I had to train everybody. But
first, I had to teach them to play various instruments so I found
myself first mastering practically all those instruments. I started
with the guitar and organ, moved on to piano. Soon after, bass guitar
and trumpet, alto saxophone. Then briefly while I was in England,
violin. At that time I was playing pop music, Beatles’ type of pop
music. When I came back from England in the mid 1970s, I took up all
the other saxophones in that instrument family,of course drum sets too.
Occasionally, I sang when there was nobody else to do it. I don’t think
there is any form of music that has been popular since 1963 that I have
not been involved with. It’s just generally music that I do, not some
particular type of music.” Though he has a Jazz band, Aboderin does not
have any album.

“We have recorded
quite a number of albums but they are not out commercially. They are
for private distribution within musicians as research materials and to
our fans. Our real interest is the development of artistes and music.
It’s more an academic thing, and not yet a commercial thing that we are
doing.”

Like father, like daughter

One of Aboderin’s
aspirations after succeeding at building electronic equipments for his
band and other bands was to design and build a recording studio from
locally available electronics and building components. He realised the
dream years ago with the establishment of a state of the art studio, an
arm of his Square Waves Limited in his Oke Ado, Ibadan, home.

Some parents wouldn’t want their children to take after them but
this is not the case with the old student of Ibadan Grammar School. His
daughter, Folasade, known as Shady Blue has taken after him. “I was
encouraged by my father and mother. When I discovered that my children
were interested in music; from the oldest to the youngest, I felt so
happy that I am opportuned to help my children just as I have been
encouraging others. She is a singer; she has her own band in England.”
Having noticed an old car in good condition in the premises when I
arrived, I could not but ask what the musician is doing with it. “All
my cars are maintained by me. I have a flair for Mechanical
Engineering. That jeep that you saw out there, it’s a 1969 ‘Mini Moke’
that I’ve had for about 30 years. It’s one of the so many antique cars
that I resuscitate and maintain. It still runs very well. The one you
saw outside the house is a 1968 Morris Mini, it still runs well too.”

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EMAIL FROM AMERICA: Please sell the mask

EMAIL FROM AMERICA: Please sell the mask

Let me tell you a
story. Eons ago, the white man came to the great Benin Kingdom and
plundered the place, making away with several artifacts. These
artifacts now enjoy lush air-conditioned exile abroad, where overfed
folks with a lot of time on their hands coo over them in places called
museums. They are now called art pieces. They don’t want to come back
to Nigeria because their siblings who were unfortunate not to have been
stolen now languish in filth, misery and neglect in Nigerian “museums”
and rue the day a monocled idiot did not steal them. Every now and then
they traipse off with half the Nigerian populace and present forged
papers to the Americans who yell at them and their ancestors and send
them back to their hovels from whence they came.

Unfortunately, the
plight of the “art pieces” in London and other fancy places is the
obsession of white liberals and their black sidekicks who truly believe
that these pieces belong back in the great Benin Kingdom, which is no
more. Recently, these idle busybodies got enraged when news came out
that the offspring of the looters were set to sell a stolen Benin ivory
mask for about $5 million. They staged petitions, protests, sit-ins and
made all sorts of noises unto the Lord until Sotheby’s the auction
house halted the sale. Victory? Well, not quite: The looter-owners have
probably realised that the controversy would raise the value of the
mask. Next time, watch for the mask to sell for $10 million. Life is
good.

Are these busybody
petitioners just now noticing that the piece has been missing? One
bleeding heart liberal wailed that the mask needed to return to
“Africa” because it houses a spirit. Arrant racist nonsense. Democracy
is razing through Africa, burning her up more than malaria and AIDS
combined and our people are worried about a mask. I say sell the mask,
who cares? If the Oba of Benin wants his ivory mask back, he should ask
any of our resident leader-thieves to go buy it from their fellow
thieves. The piece was being auctioned for only $5 million dollars;
some of our misrulers steal that every day. Why the drama?

Western liberals
irritate me. They imagine a triumphant return of a mask to a giddy mass
of blacks waiting for the return of their spiritual leader, the Mask.
They see us waiting in broken airports for the return of The Masked
One. I will personally stone anyone responsible for bringing that mask
back to Nigeria. Where are we going to house it anyway? A country that
cannot take care of her citizens has no business wasting time on an
ivory mask carved from the ivory tusk of a cute elephant. These
liberals are the same characters that are up in arms against the
poaching of elephants for ivory in Africa. To follow their logic, we
should return the mask to the king of the elephant kingdom.

To return the mask
to Nigeria is to sentence it to a most unfair future. Teju Cole’s book,
‘Every Day is for the Thief’ describes the fate of another Benin mask
that was actually returned to Nigeria. The then Head of State, General
Yakubu Gowon gave it away as a gift to a visiting Queen Elizabeth of
England. This particular Benin Queen Mother head had been originally
stolen by the British in 1897 and only returned in the 1950s to help
set up the Nigerian National Museum. The British, this time around,
have absolutely no intention of returning the work. I say they have
every right to keep their gift.

Our intellectuals
could start a letter writing campaign to protest the fact that fully a
quarter of our budget goes to supporting the legislative branch (or
something similarly outrageous). How many of these do-gooders have
signed a petition against the wanton abuse and murder of the “witch
children” of Nigeria? That I will sign. I have an idea. Let us start a
petition against the West: Dear West, do not allow any penny to leave
Nigeria (use Nigeria as a test pilot). Our leader thieves may steal but
they must spend the money on and in Nigeria. Do not permit any of our
bastard leaders to go abroad for “medical attention!” Now you are
talking. I will sign that one.

There is a petition against the wanton
murder of the witch children of Akwa Ibom. Please find it online and
sign it. Each child is priceless compared to the price of a mask that
was carved from the ivory tusks of an unfortunate elephant. And I don’t
want the mask back. Somebody may use it to drink gari in our “museum”
because she has not been paid. Please keep the mask abroad until we get
our act together. Have a great life, mask. By the way, if you want to
know the fate of “art pieces” in Nigeria’s museums, and of “flora and
fauna” in Nigeria’s zoological and botanical gardens, please read Teju
Cole’s book and weep. Our leaders should be shot.

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‘Raw materials processing clusters will create more jobs in Nigeria’

‘Raw materials processing clusters will create more jobs in Nigeria’

There is hope of more jobs by re-invigorating the natural small
scale industrial clusters through capacity building and injecting new
technologies for increased productivity, says Peter Onwualu, the Director
General of the Raw Material Research and Development Council (RMRDC). Below is
excerpt from an interview he had with a NEXT reporter:

Taking research result to the industries

One of the projects
we started last year and we are continuing is the raw materials
processing clusters. One of the things we do is to give competitive
research grants to individuals and institutions who have the expertise
in doing research in value addition for raw materials sourcing and
processing. We have done this over the years and the question is how do
we move the result of some of these researches to the private sector in
order to use them for production purposes? If you look around the
country, there are naturally existing raw materials processing clusters
like the leather cluster in Kano; shoe, bags and textile cluster in Aba
and in Abeokuta. Our idea was to look at these clusters, study their
challenges and see how we can assist them to function better to produce
competitively by injecting technologies into existing clusters. In some
cases, the plan is to establish new clusters and we think this is a new
idea. In the past what we did was once we have research results, we
build a pilot plant and from there, we go into commercialisation but
now if we find out for example that people in particular community are
already processing cassava, we now go into such communities, work with
them, find out what their problems are especially with respect to
technologies, and then find the research centres where these
technologies have been developed then inject them into their
operations. In that way, they become more competitive.

Identifying the Clusters

As a first step, we
started what is called cluster mapping. This involves scientific
identification and analysis of existing clusters. For instance, around
the FCT here, you are aware that we have the Kugbo furniture cluster.
We are working with them. We have also done a number of such mappings
in every state using our state coordinators. We have a baseline mapping
that has taken us all over the country to identify those clusters that
already exist. The mapping also includes interacting with the operators
to know their problems, challenges. We also visited the knowledge
centres around them: the polytechnics, universities, research
institutes to find out what they can offer in terms of technological
input into these clusters around them. So that has been completed. The
report is almost ready but we also know that for you to start such a
programme, you also need to train people.

774 clusters to benefit

One of the things
we did last year was to conduct an international training programme in
collaboration with Swedish International Development Agency (SIDA) and
Pan African Competitiveness Forum. That Forum works on using clusters
to promote industrial competitiveness. We trained selected clusters
because after the baseline study we decided to start with at least two
clusters per geo political zone. The cluster training we had is to
prelude the emergence of at least one technologically viable cluster in
every local government. It is a tall order but it is part of our vision
2020. So we did this training and it was for Nigeria and Gambia. 30
Nigerian clusters participated at the training from all over the
country. They include the brass cluster in Bida; textile workers from
Aba; Tie and dye from Abeokuta; Otigba ICT cluster in Lagos among
others. Following that training, SIDA is now collaborating with us to
inject technologies into these clusters. What we told the different
clusters to do after the training was to go back, look at their
problems especially those ones that are technological and come up with
projects that will enhance their competitiveness. They were given some
templates for this. As I speak, they have all submitted their projects
and we are now synthesising them to be able to forward them to SIDA.
The arrangement is that SIDA will fund the project 50 per cent and raw
materials council will fund the remaining 50 per cent. The
beneficiaries will be these first set of clusters that have been
trained.

More Clusters to benefit in 2011

And in addition to
this training, we have now developed a blueprint for raw material
cluster development in Nigeria. This is ready for implementation and
then we have gone ahead to start with a few cases. One of the cases we
completed last year was the cashew nut processing cluster commissioned
in Ayangba, Kogi State. The plant is now functional but the entire
cluster is made up of a number of other cashew processing plants that
will be coming up in Enugu State, Abia State, Kogi State and Abeokuta
in Ogun State but we have already gone far in terms of discussion with
beneficiaries so that in 2011, you are going to see four of these
cashew processing industries all working together as a cluster. We used
last year to do a baseline and lay the foundation and started a few.
There are about three that we have ordered equipment for. One other
cluster we want to promote is the organic fertilizer production in
Emene industrial layout Enugu. In December 2010, the equipment for that
factory arrived from China and is now being installed. There is also
another one in Kebbi State on shea butter for processing shea nuts. The
equipment for that is being installed.

More money for SMEs

Clusters are
already in existence at rudimentary level with little technologies. To
make the programme very effective and successful, three different
bodies are involved. RMRDC represents the government and will provide
enabling environment through release of fund to research institutes
that develop technology that will be injected into the industry.
Ordinarily, the private sector man will not have the patience and time
to be going round looking for technology to use, the researcher may not
have the money to take his technology to the industries and that is
where the government comes in. We are also trying to bring in financial
institutions. We are discussing with NERFUND, Bank of Industry and some
commercial banks so that these small and medium scale enterprises can
source funding from the money market because there is no way we will
provide everything they need.

More jobs in the economy

In the last three
years, what has happened to the economy in terms of manufacturing is
that the figures are going down because a number of them are closing
down and some are relocating because of the challenges that the sector
faces. At the same time, government has a policy to diversify the
economy so that we don’t depend on oil all the time. One way to address
this is to see the emergence of more industries and we are targeting
the SMEs. Cluster exists as an informal sector. So what we are now
trying to do is, for any beneficiary, the number one step is that the
organisation has to be registered with the Corporate Affairs
Commission. Government gets revenue from the registration and it will
be easy to track the organisation for tax to increase revenue of the
government. An additional benefit to the economy is that each of these
industries must employ people.

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Pharmaceutical companies are underperforming at the Exchange

Pharmaceutical companies are underperforming at the Exchange

While the prices of
quoted healthcare (pharmaceutical) companies at the Nigerian Stock
Exchange have seen marginal improvement since transaction opened this
year, trading activities in the sector have reduced significantly in
volume when compared with the sector’s performance last month.

The over 10 million shares that the sector usually record weekly, on the average, has reduced to half.

Apart from the
recent global financial crisis that discouraged investors’ appetite in
the sector and affected market general performance, analysts say the
challenges facing healthcare companies in Nigeria may further
discourage investors’ confidence in the sector.

Available data at
the Exchange showed that only Fidson Healthcare and GlaxoSmithKline out
of the nine quoted stocks in the healthcare sector rewarded their
shareholders last year. Some other companies listed in this sector
include Evans Medical,

May & Baker Nigeria, Neimeth International Pharmaceutical, and Union Diagnostic & Clinical Service.

David Amaechi, an
executive member of the Shareholders Association of Nigeria,
said,”Manufacturing sectors generally have been finding it difficult to
enjoy operation in this kind of harsh operating environment.” Mr
Amaechi said investing in the healthcare companies should be for long
term for investors to get good return on their investment.

Sector challenges

Afrinvest West
Africa Limited, an investment bank, in a healthcare report this month
said that Nigerian health sector has remained “grossly underdeveloped”
in the last five decades despite seeming better off than their African
peers.

“Healthcare delivery in Nigeria is characterised by inefficient budget execution,

inadequate funding,
poor service quality and a shortage of qualified personnel essential to
the delivery of public health services,” the report said, adding that
the absence of effective methods of addressing the healthcare needs of
the people as well as the low levels of government expenditure,
“currently averaging 5.4 per cent of the total budget since 2008” have
contributed to the nation’s “dismal health statistics.” The report also
said that the Nigerian pharmaceuticals sector has consistently been
under utilized, from a capacity perspective, as a result of widespread
counterfeiting, infrastructural challenges and corruption, despite
evident demand for effective drugs. “In spite of the substantial growth
potential within the pharmaceutical and healthcare industry, the
elements of risk and uncertainty that currently subsist, limit
international interest/investment in the sector,” it said.

However, it noted
that the government has demonstrated its “willingness to make the
country self-sufficient” in terms of drug production, by restricting
imports through partial regulatory regimes and tackling counterfeits.
“The federal government’s restructuring of the National Agency for Food
and Drug Administration and Control (NAFDAC) in view of its past
successes has moderately improved confidence in the sector’s reform.”
Nigeria’s pharmaceuticals sector is regulated by NAFDAC.

Data from the
Pharmaceuticals Manufacturers Group of the Manufacturers Association of
Nigeria showed that the local market of pharmaceutical producers
accounted for an estimated 35 per cent of the market size.

Meanwhile, the
report said access to essential medicines is fundamental to the
realisation of the Millennium Development Goals (MDGs). “Despite
government’s noble intentions, poor availability, high cost and
irrational use of essential medicines continue to plague the
pharmaceuticals sector. Efficient provision of essential drugs depends
on appropriate selection, quantification, procurement, quality and
storage, distribution, human resources and information management,” it
added.

Olumide Ajayi, Director of Business School Netherlands
International, said in spite of these challenges, “businesses can still
explore a number of opportunities and develop initiatives and
programmes that will change the landscape of engagement and provide a
better space for businesses to move Nigeria closer to achieving the MDG
targets as it relates to heath.” Healthcare industry watchers say with
the campaign by NAFDAC in the war against counterfeit, fake and
substandard drugs, the healthcare sector will witness growth this year
and quoted companies in the sector can reward their investors
accordingly.

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PERSONAL FINANCE: Invest regularly

PERSONAL FINANCE: Invest regularly

Most people are not as disciplined as
they would like to be when it comes to saving and investing. They may
save some money for some months and nothing at all for several others.

Yet for the vast majority of people,
the only way to achieve your financial goals is by earning through hard
work and saving and investing in a systematic and disciplined way over
several years.

Cost averaging, is a simple approach to
saving that helps you to save regularly whilst at the same time
building long-term financial security. It involves investing a fixed
amount on a regular basis rather than a lump sum, even when your
finances are stretched, and no matter what the market is doing. This
could be monthly, quarterly, or whatever suits you; you do not have to
time the market or look for the best entry point, you just invest
regularly.

It is almost impossible to time the
market as it is challenging to anticipate correctly its peaks and
troughs. For the average investor, and particularly for the smaller
investor who does not have lump sums to invest, what is required is an
investment strategy that allows you to maintain an even keel in rising,
fluctuating and falling markets.

Cost averaging accomplishes this and if
you can manage to apply this strategy to even a small amount of money,
with ease and efficiency, you will have a better chance of achieving
your goals.

Cost averaging is a particularly useful
tool in a choppy market as it provides a buffer for volatility. Even
though the value of your overall investments will fall as stock prices
fall, remember that you also bought more shares at lower prices. As you
will bed rip-feeding your funds into the market at different times, you
will be picking up investments at a range of prices; this reduces your
overall average cost.

Pay yourself first

Determine how much you can afford to
set aside each month. The amount you choose will depend on your own
particular situation. This could be a fixed amount each month that will
not change, or you might prefer to invest a percentage of your income,
sothat you invest more as your income increases; try to invest at least
10 percent of your income for your financial future.

What are you saving towards?

One critical factor to saving is,
knowing what you are saving towards. If you aresaving without any clear
purpose, you will eventually be tempted to dip into those savings to
satisfy your wants. If you have no savings whatsoever and currently
live from salary to salary, this is a good place to start. You need
short-term savings so that you are better prepared to deal with
unexpected expenses or emergencies. Start to build enough savings worth
about six months of your routine expenses. You also need to be
investing so that you can meet your medium to long-term goals such as
educating your children or being able to secure a comfortable and
fulfilling retirement for yourself.

Automate your savings

A most effective way to save is to put
it on autopilot so that you don’t have to think about it. If you are in
full time employment, your employer will already be withholding 7.5% of
your salary and transferring it to your Retirement Savings Account
(RSA) with your Pension Fund Administrator (PFA) on your behalf. This
is probably the most popular form of investment automation. And because
the money is removed at source, you are less likely to miss it.

But do not stop there. In addition to
your RSA you may set up a direct debit from your current account each
month and have it credited to an interest bearing account or an
investment account, such as a mutual fund. There are money market
accounts, mutual funds, and a variety of other investments that allow
you to designate a specific amount on a regular basis. Nowadays,
brokerage firms and banks have made the process so simple that you can
easily have your finances automated in a matter of minutes; and you
only need to set it up once. You then determine how much you want
debited each month and how frequently you want the withdrawals to
occur. You can usually even specify the date on which the withdrawal
should occur.

Automatically reinvest your dividends

You can also opt to automatically
reinvest your investment profits or dividends. For example, when you
sign on to a mutual fund account that makes periodic distributions, you
are given the option to re-invest your dividends by acquiring more
units in the fund before it enters your account. The fund manager is
authorised to automatically take that money and use it to buy
additional shares of the same fund instead of making it available for
you to withdraw.

While cost averaging can be a very
effective way to systematically build your portfolio overtime, it is
important to realise that there is no guarantee of profit; neither does
it prevent loss. Take a cursory look at your financial situation and
assess whether you will be able to contribute to your investment
account on a regular basis. If you are able to achieve this, remember
that even though the objective is to automate your finances, you should
continue to monitor your investments and make adjustments as required
and as your financial situation evolves.

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‘World economy enjoys positive momentum’

‘World economy enjoys positive momentum’

The world economy has continued to “enjoy positive momentum” backed by the ongoing expansion in the manufacturing sector, the Organisation of the Petroleum Exporting Countries (OPEC) has said.

Consequently, the organisation in its Oil Market Report, January 2011, said although dependent on government-led support, world economy growth in 2011 has now been revised up to 3.9 per cent from the previous projection of 3.8 per cent.

“World economic activities were stronger than expected, resulting in more oil usage,” it said.

Growth for 2010 was also revised up to 4.5 per cent from 4.3 per cent. The report said the United States economy, which grew by 2.8 per cent in 2010, is now forecast to grow at 2.6 per cent in 2011.

“The deceleration in Japan’s economy remains more pronounced, dropping to 1.5 per cent in 2011 after growth of 4.3 per cent in 2010. The Euro-zone, which is forecast at 1.5 per cent in 2010 and 1.2 per cent in 2011, is expected to continue its two-speed growth pattern, with Germany taking the lead. China and India still face signs of overheating and continue to be challenged by high inflation. The forecasts for China and India remain unchanged at 8.8 per cent and 8.0 per cent for 2011, respectively,” it said.

Meanwhile, Nigeria’s government is targeting economic growth of 10 per cent in 2011. Sanusi Lamido Sanusi, the Central Bank governor, said that financial market conditions in advanced economies have been “more stable” than in the preceding two years, while some emerging economies are been confronted with “challenges posed by large volatile capital inflows.”

Major driver

However, Mr. Sanusi, at the Monetary Policy Committee, on Tuesday, said the provisional data from the National Bureau of Statistics indicated that the nation’s real Gross Domestic Product (GDP) grew by 8.29 per cent in the fourth quarter of 2010, up from 7.86 per cent recorded in the third quarter. He said the overall GDP growth for 2010 was estimated to be 7.85 per cent, compared to the revised growth rate of 6.96 per cent recorded in 2009.

While manufacturing sectors around the globe have continued to boost economic performances, Mr. Sanusi said the non-oil sector remains the major driver of overall growth in Nigeria, “with agriculture, wholesale and retail trade, and services contributing 2.39, 2.04 and 2.08 per cent, respectively.”

“The outlook for 2011 is projected to be generally favourable in view of the continued improvement in the international oil market and emphasis on the development of the non-oil sector,” Mr. Sanusi further said.

Analysts at Financial Derivatives Company Limited, a business consultancy firm, said, “A likely driver of higher inflation (in the economy) is the election spending which will intensify as the impact of the spending hits the market place. Another factor that is expected to contribute to higher prices in 2011 is the expected 64 per cent increase in the minimum wage.”

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Court injunction rattles Daniel’s faction

Court injunction rattles Daniel’s faction

The Federal High
Court Abuja’s injunction restraining both the Independent National
Electoral Commission (INEC) and Peoples Democratic Party (PDP) from
recognising the Joju Fadairo led party congresses in the Ogun State
Chapter of the party is now unsettling the faction on what the next
step should be.

According to the
Chairman of one of the factions, Dayo Soremi, the Mr Fadairo led
group’s claim to have secured the Independent National Electoral
Commission (INEC) nomination form to field its gubernatorial candidate,
Gboyega Isiaka, was all a ruse.

“Our attention has
been drawn to some media reports claiming that the dissolved state
executive committee of the People’s Democratic Party (PDP) in Ogun
State has been recognised as a legitimate body by the national
secretariat of our great party. This followed claims that a puppet of
Ogun State Governor, Gbenga Daniel, has been given the Independent
National Electoral Commission (INEC) nomination form by the PDP
National Secretariat.”

“We affirm that
this cannot be true as our great party respects the rule of law and
will not be part of a sinister plot to enthrone impunity as a way of
life in conducting the affairs of the PDP” he stressed.

“To be sure, a
Federal High Court sitting in Abuja, has already stopped whatever
charade the Joju Fadairo led dissolved executive committee did in terms
of congresses/primaries. Both the PDP National Secretariat and INEC
were restrained from relating with the illegal Fadairo group,” Mr
Soremi said.

Solution

The ugly
development according to further findings has forced Mr Daniel, who is
the leader of the faction to abruptly cut short his trip to China and
return to the country over the weekend, apparently to find a way out of
the problem. Ironically, Mr Soremi and his group at the weekend threw a
lavish party tagged, ‘victory over our enemy.’ The party was sponsored
by the millionaire financier of the Omo-Ilu Foundation, an apex body of
the People’s Democratic Party (PDP), Buruji Kashamu and held at his
Ijebu-Igbo palatial residence.

It would be
recalled that, the factional governorship candidate of the party, under
the Daniel group, Gboyega Isiaka was reported to have collected the
party nomination forms, which include the Senatorial nomination of Mr
Daniel and others from their group which were allegedly brought to the
Abeokuta party headquarters.

But barely 24 hours
after, came the controversial Federal High Court injunction, rasing
panic in the group, becoming a subject of gossip in the town.

However, in a
related development, the faction of the party which produced Tunji
Olurin as the party governorship candidate, announced that, it had
earlier collected their own nomination forms earlier before the Mr
Daniel group collected theirs, as claimed by them, stressing that, the
group the claim that the group collected forms was a mere propaganda.
Further findings however revealed that, Mr Daniel’s camp is now making
effort to ensure that the injunction is reversed, before the situation
gets out of hand. The case had been adjourned to February 8, 2011,
while the submission of nomination closes before the hearing date of
the case.

Opposition reacts

The Media Officer
to Mr Isiaka, (governorship candidate from the Mr Daniel’s group),
Bolaji Adeniji while reacting said, “Mr Olurin’s claim is false. It is
clear to say that it is a false, totally untrue and a deliberately
orchestrated subterfuge sold to confuse the party and unsuspecting
public.

“How can he claim to have a form, when did he get the form? Gboyega
Isiaka went to the party office based on the submission of his name by
the party to the INEC. He was received by Uche Secondus. He got the
forms in public, in the full glare of the press and party officials.
This was reported in the media the day after. How can someone now claim
to have a form 48 hours later. Who saw him, who witnessed it, who has
seen the form? So Olurin’s claim is a ruse that cant fly. The party and
INEC will decide the authentic candidate, which is Gboyega Nasir
Isiaka.” He said.

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Court decides governors’ tenure today

Court decides governors’ tenure today

A Federal High
Court in Abuja will today decide the fate of five governors seeking
legal interpretation of their tenure in office, whether it will be
extended beyond May 29 this year. The governors of Kogi, Adamawa,
Sokoto, Bayelsa and Cross River (Ibrahim Idris, Murtala Nyako, Aliyu
Wamakko, Timiprieye Sylva and Liyel Imoke) are challenging the decision
of the Independent National Electoral Commission to conduct
governorship elections in their states. At the last court sitting,
Adamu Bello, the presiding judge, decided to fixed the judgment date
after counsel to the governors had adopted their briefs of arguments
and stated their positions and authorities to back up their position.
Counsel in the matter are Lateef Fagbemi, Kanu Agabi, Sunday Ameh, Ladi
Rotimi Williams and Paul Erokoro for the governors of Kogi, Adamawa,
Sokoto, Bayelsa, and Cross River States respectively.

The lawyers asked
the court to stop INEC and the People’s Democratic Party from
conducting elections in the five states because the tenure of the
current governors will still be on. According to them, INEC erroneously
came to the conclusion that the tenure of the governors would expire in
2011 based on the court-voided elections.

Specifically, they
cited the provision of Section 180 (2) of the 1999 Constitution,
providing for a four-year tenure of office for a governor from the day
he took the oath of office and oath of allegiance as a sacrosanct
provision of the law which cannot be abridged or ignored. The federal
government and PDP took different positions, even though they were
defendants in the case. In its opposition to the bid of the governors
to have their tenures extended, the government objected to the hearing
of the case by the court and pleaded that the case be dismissed for
lacking in merit.

Government lawyer,
Adeniyi Akintola, who stood in for the Attorney General of the
federation and Minister of Justice, Mohammed Bello Adoke, argued that
no tenure elongation should be granted to any of the governors since
the amended 1999 constitution was opposed to such a move.

But the PDP,
represented by its national legal adviser, Olusola Oke, said the tenure
of any governor in Nigeria today legally begins from the date the
governor takes the oath of office and oath of allegiance.

The party claimed
that the 2007 elections that brought the five governors to office in
the first instance were voided and set aside for fresh ones by courts.
PDP insisted that the oath of office taken by the affected governors in
the voided elections have been voided along with the elections and were
of no effect whatsoever in law. The governors are seeking to prevent
the commission from holding elections for their seats until April 5,
2012.

INEC had announced that the tenures of governors who were re-elected
after their 2007 elections were cut short by tribunals would end on May
29, 2011, just like the other governors. INEC is the first defendant in
the suit while PDP is the second defendant.

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