Economy
13 Million African Children Malnourished – Emefiele
By Tony Obiechina, Abuja
The Governor of the Central Bank of Nigeria, (CBN), Mr Godwin Emefiele has warned of the dire consequences of continued food malnutrition presently ravaging millions of children in the African countries.
Emefiele who spoke at the opening of a seminar for African Finance Ministers and Central Bank Governors in Abuja on Monday said, “we must stop romanticizing food malnutrition in Africa, because it is evident that malnourished children today will lead to malnourished economies tomorrow”.
Represented by the CBN Director of Public Communications, Mr Isaac Okorafor, the governor pointed out that, “malnutrition is abnormal and affects millions of children in Africa. These children are either underweight or stunted, wasted or micronutrient deficient”.
The two-day seminar, with the theme, “Agriculture and Food Policies for Better Nutrition Outcomes in Africa”, was organized by the African Economic Consortium (AERC) in partnership with the CBN.
Alluding to a recent Global Report, Emefiele disclosed that “an estimated 57.9 million or 36% of children under the age of five in sub-Saharan Africa have abnormal physiological condition resulting from inadequate food intake or a recent bout with illness that may hinder appropriate intake and absorption of nutrients required for an active, healthy life”.
Accoding to him, this situation may constitute a threat to the lives of 13.1 million children in the region, adding that, the effects of which include, “vulnerability to illness, difficulty In school, and eventually reduced adult labour capacity”.
The governor said, “Binding constraints, such as limited access to technology, markets, infrastructure, finance, amongst others – also need to be addressed, as these challenges continue to limit agriculture across the continent and reduce its potential as a wealth- creating endeavour.
“Access to and secured ownership of land remain major challenges particularly for women and smallholder farmers in general because they lack eligible collateral.
“The absence of policies to encourage the use of movable collaterals, rather than fixed assets continues to constrain attempts to scale-up requisite financing to smallholder farmers in the region”.
He however stated that in Nigeria, the CBN has adopted some measures to redress the trend, by forging alliances with financial and non-financial institutions to improve smallholder farmers’ access to finance in furtherance of its developmental mandate.
“In recent years the Bank has set up two major vehicles – The Nigeria Incentives-based Risk Sharing for Agricultural Lending (NIRSAL) and the National Collateral Registry (NCR), and currently leverages both in the implementation of intervention programmes in the agricultural sector such as the Anchor Borrowers’ Programme (ABP), Agriculture Credit Guarantee Scheme (ACGS), Agribusiness Small and Medium Enterprises Investment Scheme (AGSMEIS).
“Across the country, these programmes have been implemented with resounding success – expanding credits with single digit interest rate to about 1.5 million smallholder farmers cultivating over 1.6 million hectares of various agricultural commodities.
“The programmes have also helped to reduce the nation’s food import bill from about US $3.40 billion as at 2014 to US $0.59 billion in 2018”, he added.
The governor also stressed the need for governments in Africa to urgently develop innovative policies to unlock the wealth in agriculture, which market size in terms of food and agribusiness, could be worth US $1 trillion by 2030 according to the African Development Bank (AfDB).
In his welcome address, Executive Director, AERC, Professor Njuguna Ndung’u noted there is a dearth of quality data to properly inform policies on nutrition and called for combine forces to achieve the best nutrition outcomes.
“Global Panel of Agriculture and Food Systems for Nutrition point out, there is a dearth of quality data to properly inform policies on nutrition. This has tended to limit the effectiveness of agricultural policies in improving nutrition outcomes”, he said.
Speaking on data challenges, Ndung’u said there has been lack of high-quality policy analyses that explore the effect of agricultural policies on nutrition.
He further said AERC’s mission is to strengthen local quality for conducting independent, rigorous into problems Pertinent to management of economies to enhance the capacity of locally based researchers to conduct policy relevant economic inquiry context.
“Our vision is to sustain development in Sub Saharan Africa grounded in sound economic management and an informed society”.
Top policy makers present at the opening ceremony included, Minister of Agriculture and Rural Development, Alhaji Sani Nanono; his Industry, Trade and Investment, counterpart, Otunba Adeniyi Adebayo and Executive Director of AERC, Prof Njuguna Ndungu as well as eminent paper presenters.
Economy
Value Addition is new Standard in Mining Operations – Alake
The Minister of Solid Minerals Development, Dr Dele Alake has declared value addition as the new indispensable standard for mining operations in the country.
Alake made the declaration in a statement issued by his Special Assistant on Media, Mr Segun Tomori, on Tuesday in Abuja.
The minister had earlier said that the federal government had resolved to ensure compliance to value addition before permitting investors to operate.
He said that his seven-point agenda for the ministry had placed the mining sector on the global front burner since assuming office, which had generated renewed interest from the international community in Nigeria`s mineral resources.
According to the statement, the minister lauded a mining company, African Natural Resources and Mines Ltd.
(ANRML), during an inspection tour in Kaduna State, for its 600 million dollar facility dedicated to the mining and processing of magnetite iron-ore.He described the move as in line with the government`s resolve for value addition, which is especially apt given President Bola Tinubu`s quest to develop the solid minerals, to boost Nigeria`s economic profile and to meet the global upsurge in energy transition.
“The company aligns with our vision of value addition and beneficiation through its processing of iron-ore, and I urge other mining companies to take a cue from them, “ he said.
He reiterated the government`s commitment to abstain from granting mining licenses to companies that lack the necessary plans for value addition.
The minister acknowledged that resilience, courage and laying a solid foundation were critical in contributing to the company success.
He added that such factors also serve as guidelines for President Tinubu`s administration in its efforts for economic transformation.
“ We have set our minds in this administration and invariably in Nigeria to achieve success, that is why Mr President is restructuring the economy.
“When this company (ANRML) started seven years ago, we saw one of the foundations through the video documentary, the amount of concrete that went in to erect a foundation, just to carry a giant edifice.
“That is what we are going through. When we get through the gestation period, the results will manifest, and it will herald prosperity, “he said.
The minister had stated that no license would be granted to companies wishing to enter the mineral sector without presenting a plan for value addition, such as processing and refining which has multiplier effect on the economy. (NAN)
Economy
Life Insurance Records 95% Net Claims in Q4 2023-NAICOM
The National Insurance Commission (NAICOM) says Life insurance business recorded about 95 per cent net claims of the total claims in the fourth quarter of 2023.
A report by NAICOM in Abuja on Tuesday hinted that the record was due to the direct reflection of the ongoing regulatory measures by the Commission regarding claims settlements.
NAICOM said the insurance market average stood at about 71.
4 per cent of the N536. 5 billion gross claims reported at the close of the fourth quarter.The Commission said the market also recorded retention of about 87.7 per cent for the life business, 54 per cent for non-life while the aggregate market average retention stood at 66.
7 per cent for the period.It showed that the insurance industry sustained its progressive trend of positive market performance at the close of 2023 fourth quarter.
According to NAICOM, the insurance market recorded a milestone growth to close at N1.003 trillion, representing about 27 per cent growth compared to the N790 billion recorded in 2022.
”Major growth drivers in the non-life segment of the market were oil and gas and fire Insurances contributing 27.3 per cent and 24.1 per cent respectively.
”In a direct reflection to the “no-premium no-cover” policy of the Commission, the outstanding premium continues to decline.
”The premium posted 1.6 per cent as outstanding of all the premiums generated in the market during the period.
”Statistics also shows that the market recorded total assets of about N2.67trillion and capitalisation of N851billion in 2023,” NAICOM said. (NAN)
Economy
No Mining License without Mineral Value Addition Plans-Alake Warns
The Minister of Solid Minerals Development, Dr Dele Alake has warned that no mining license would be issued to prospective investors without requisite plans for value addition on minerals.
Alake gave the warning in a statement by his Special Assistant on Media, Segun Tomori on Tuesday.
He said the Federal Government had resolved to ensure compliance before permitting investors to operate.
He said that his Seven -Point Agenda for the ministry had placed the mining sector on global front burner since assuming office, which had generated renewed interest from the international community in Nigeria’s mineral resources.
He said the support of the executive and the legislature had enabled the ministry to showcase the solid minerals sector globally, resulting in his election as the Chairman of the Africa Minerals Strategy Group (AMSG) at the Future Minerals Forum in Riyadh, Saudi Arabia.
According to him, with the pact that led to the formation of the AMSG, there is now unity of purpose on the African continent regarding the issue of local value addition.
“We are no longer going to allow anybody or license any company that wants to go into the mineral sector without giving us a plan for local value addition, like processing, refining and this has a multiplier effect on the economy.
“It instantly generates employment rather than a few people carting away lithium, gold, and the likes to other countries to sell.
“These minerals must now be processed in Nigeria, creating more value and beneficiation for local communities where they are sourced, ” he said.
Reports says that the minister had earlier received members of the House Committee on Solid Minerals who were on oversight visit to his office.
The minister commended the lawmakers for their support in repositioning the mining sector, stressing that boosting the economic profile of Nigeria required joint task by both the executive and legislature.
He acknowledged the significant contribution of sub-nationals to mining development, emphasising that state chairmen of Mineral Resources and Environmental Management Committee (MIREMCO) and five committee members were nominated by state governments. (NAN)