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OPINION

Governors: Right Versus Wrong People

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By Dakuku Peterside
The gubernatorial and state Houses of Assembly elections have come and gone in most states. Unfortunately in some states, it was characterised by drama, unnecessary tension, flawed processes, violence and broad daylight electoral robbery. The victors are celebrating, and the losers must be feeling bad.

We all hope that these elections, flawed as they may seem, would deepen our democracy and that we have elected leaders who will stir the ship of the various states in Nigeria to a glorious destination.
Especially, governors who will convert their electoral mandates to results and socio-economic progress.
The few coming weeks will see election petitions on account of obviously flawed processes.
And the judiciary will play its role in deciding the fate of most governors. As sad as this may be, this has become an unpalatable aspect of our democratic process. A critical reason for the massive interest in the governorship election is the vital role governors play in our democracy and our federalism. The state level remains the closest to the people and governors are crucial development actors who are often forgotten in discussing development in Nigeria because undue  focus is on the Federal Government, and most people attribute progress or the lack of it to the Federal Government.
The combined total budget of the 36 states of Nigeria for 2023 is over N11 trillion, which is more than 50% of the Federal Government’s 2023 budget of N21.83 trillion. This vast fund accruing to the states, if properly harnessed and managed, could shepherd the development of Nigeria.
Just as in all federal systems, attention must divert from the centre and focus more on the constituent parts of the federation. It is at this local level that development is planned and executed. The Federal Government should play more of the role of a central facilitator and only get involved in the country’s strategic security, economic and social interests. It is appalling and an anathema that the Federal Government controls more funds than all the states combined, which has led to the states going cap in hands monthly to the Federal Government for monthly allocation. In most federal systems, the case is the opposite – the states fund the Federal Government through a specified allocation formula. It is also disheartening that some state governments cannot survive without total reliance on Federal Government projects and allocations. This is at the root of Nigeria’s lack of progress – having states that are liabilities to the nation, because they are unproductive and not viable.
It is utterly absurd that instead of elected governors to focus on making their states economically viable and developing their states from down to up, many governors have turned the states into fiefdoms and domains where they rule as absolute dictators, controlling not just the resources of the state, but all the state institutions with impunity. We see governors who unashamedly use public funds as their private funds and use it anyhow they want, with little or no accountability whatsoever. The job of a governor requires that s/he is less wasteful, less grandiose in lifestyle and cost of governance.
Nigerian state governors, by virtue of our constitution, have enormous powers and resource bases that, if properly deployed, can create oases of development. Some of the revenues accruing to certain states in Nigeria compare to those of some smaller African countries. To illustrate this, Lagos State’s 2023 budget of about $4 billion is higher than the 2023 budget of the Republic of Togo ($3.2 billion), almost equivalent to the Republic of Benin’s 2023 budget ($4.5 billion), and nearly half of Ghana’s 2023 budget of $11.7 billion. Other states have a similar revenue trajectory. How states manage their resources directly correlates with the their development levels.
A cursory look at past governors and their performances will highlight the good, the bad, and ugly shades. I am incredibly grateful to some governors who, in the past four or eight years, were able to articulate their visions clearly, set their priorities right, and who ran disciplined and inclusive administrations. There are only a handful of them. A few have grown the economies of their states, raised the Internally Generated Revenue (IGR) profiles, and made considerable strides in the infrastructural, social, economic, and technological development of their states. That way, they succeeded in improving the standards of living of residents of the states. My basis for measuring the governor’s performances is devoid of propaganda and sheer theatrics that most governors exhibit to confuse their citizens about their performance. Building a few roads, flyovers, and community centres does not qualify as development, especially given the enormous resources accrued to the state.
Proper assessments can be based on the Human Development Index (HDI). This measures each state’s social and economic development by focusing on the following three factors: critical education parameters; relevant health metrics; and the standard of living assessed by gross national income (GNI) per capita. The average HDI for Nigeria in 2021 was 0.535 (the possible highest is 1), and this is lower than for countries like Angola (0.58) and Egypt (0.73). Lagos and Ogun States ranked the highest, with 0.68 and 0.67 respectively. The governors of these states are doing their best to maintain this quality of living among their citizens.
There are examples of bad governors who squandered the resources of their states. They spend a lot of resources of the states on politics and political survival to the detriment of the payment of salaries, pensions and investment in capital projects. Where there are capital projects, they tend to be for display and vanity. Some of these governors are under investigation, and others will soon to be investigated when they leave office. In the past eight years, a South-South state had a cumulative revenue of over N4 trillion but has little or nothing to show for it. The quality of life of the people of the state is declining, and unless there is some drastic measures, all the advantages the state had in the HDI during the previous administrations will erode. Many governors were not able to translate their mandates to any tangible results and this manifests in low HDIs that are below the national average. Most of these states unfortunately are in the Northern part of the country. We appreciate the current level of insecurity in these areas and applaud any governor who did his best with the resources he has to improve the lives of his people and heavily criticise those who squandered their commonwealth.
We have elected a new set of governors and re-elected a handful to serve another term. I believe the old governors would have learnt from their experiences and the new governors will be ready to learn from the mis-steps of their predecessors. This is the time to set agenda for them and hold them accountable. This is the time to remind them to think beyond the exigencies of the moment and think “legacy”. Emeka Anyaoku, in 2011, advised newly elected governors to be “harbingers of change” by investing in their peoples and pursuing socioeconomic policies to create employment for the youth, restore quality education, diversify the productive base of their economies and work for improved healthcare. The advise is still relevant till date. All governors should strive towards sustainable revenue inflow tied to economic productivity. As the CEO of the states, governors should map out ways of relying less on federal allocations by improving IGRs through sustainable resource mobilisation.
Growth is possible through productive activities. Sound economic policies and good leadership will stir the states away from the financial crisis that often cripples some states, makes them borrow funds for recurrent expenditure, and neglect critical human development activities that will improve the people’s lives. New state governors must realise that they cannot focus on one development aspect and completely neglect the others, which is counterintuitive and anti-productive. The governors must cover, simultaneously and concurrently, critical areas of development such as quality education, quality healthcare for all, good security, and job creation. We have passed the era of providing basic infrastructure (roads, flyovers, beautification of city centres) as the only indices of development. Development must be holistic and improve people’s living standards, and anything short of this is unacceptable.
I congratulate all the elected governors, irrespective of whether their elections were flawed or not, and implore them to be courageous and determined to make an impact. The task ahead of developing Nigeria is enormous and calls for selfless leadership and sacrifice. I hope for healthy competition among the governors to outperform each other. They should learn from each other to do the right thing and shun all forms of greed and reckless impunity that have marred some other governors. I advise them not to become little emperors and sabotage state institutions for their selfish interests. Each governor must set up a team of experts to determine the best strategy to harness the state’s tremendous economic, social, and political potentials. There are no excuses this time for failure. Developing Nigeria is a task we must accomplish, and state governors are critical stakeholders and catalysts in shaping a new Nigeria. We have a young population that we must engage for greater productivity. The consequences of allowing our youth to wallow unproductively are dire to consider. The governors must allow for checks and balances and make for a healthy function of the legislature and judiciary in their states. They must create enabling environments for growth and development and support the private sector to grow. The problem between the government and the private sector now is caused by the  excessive taxation imposed on the private sector. I sincerely hope that the new set of governors will change the Nigerian narrative only if they are ready to face the task of making Nigeria great.

OPINION

Mohammed: A Visionary Leader Revolutionizing The Paradigm Of JEDC

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By Friday Adakole Elijah

On October 18, 2022, Engr. Abdu Bello Mohammed assumed the mantle of leadership as the Managing Director/Chief Executive Officer of Jos Electricity Distribution Plc thereby inheriting a plethora of formidable challenges that threatened to stifle the organization’s growth.

Undeterred by the complexities of the task, Mohammed embarked on a transformative odyssey, driven by an unwavering determination to catapult the organization to unprecedented heights of success.
As he navigated the labyrinthine landscape of obstacles, including antiquated equipment, inadequate network systems, energy theft, vandalism, and a dearth of skilled manpower, Mohammed’s leadership acumen and strategic prowess proved instrumental in surmounting these challenges.
The introduction of innovative solutions, such as the load-sharing program, ensured that customers received a minimum of 16 hours of daily energy distribution, despite the company receiving only a paltry of the total energy generated to the national grid. Mohammed’s visionary leadership has yielded tangible results, as evidenced by the procurement and installation of cutting-edge equipment, including transformers, network improvement gear, and smart prepaid meters. These initiatives have significantly enhanced the organization’s operational efficiency, underscoring Mohammed’s commitment to excellence. The introduction of the “Debt Discount Promo” has incentivized customers to settle their outstanding debts, thereby reducing the company’s receivables and bolstering its financial stability. Mohammed’s diplomatic finesse has also been on full display, as he has fostered a spirit of cooperation and collaboration through courtesy visits to esteemed stakeholders, including the Governors of Benue, Bauchi, Plateau, and Gombe states, traditional rulers, and security chiefs. His business visit to NASCO Group of Companies, Ashaka Cement and Dangote Cement has underscored the company’s commitment to providing qualitative energy solutions to its esteemed clients, while his confirmation of the appointment of 121 staff and promotion of over 1,600 employees has boosted morale and motivation within the organization. The institution of monthly awards for the best-performing region has injected a healthy dose of competition, driving staff to strive for excellence and embodying Mohammed’s leadership philosophy, which emphasizes empathy, firmness, and a relentless pursuit of excellence. In conclusion, Engr. Abdu Bello Mohammed’s transformative leadership has reinvigorated Jos Electricity Distribution PLC, propelling it toward unprecedented heights of success. His vision, strategic acumen, and diplomatic flair have created a new paradigm for the organization, one that prioritizes efficiency, customer satisfaction, and employee welfare. As the organization continues to soar under his guidance, one thing is clear: Jos Electricity Distribution PLC is working, and Engr. Abdu Bello Mohammed is the mastermind behind its resurgence. Elijah is the Head, Corporate Communications, Jos Electricity Distribution PLC.

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OPINION

Looking beyond CBN’s Cocktail of Policies to 2025

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By Toni Kan

Six months ago a friend I go on daily runs with took ill on a Monday evening. It was sudden and by the time I saw him hours later at the hospital, he was lying there very sick, very frail and hooked up to machines.

The diagnosis was sepsis and we were all surprised.

The morning before he took ill, we had gone on a 6km run.
That was 2km more than our usual but there was a reason.
We had gone to a party on Saturday and some “damage” had been done. So that Monday morning we had agreed to run the “foolishness” out of our system.

Sepsis is a major killer in the UK and is described as “a life-threatening condition by  The UK Sepsis Trust which says it “can lead to shock, multiple organ failure and even death if not recognised and treated promptly.

Statistics from the NHS are more sobering. Sepsis “kills five people every hour and accounts for about 50,000 deaths per year in the UK alone.”

So, my friend was lucky to have “listened” to his body and gone to the A&E where he was prescribed a cocktail of drugs that included powerful antibiotics as well as hydrocortisone, vitamin C, thiamine and lots of intravenous fluids.

That incident came to mind as I read the Keynote Address delivered by Olayemi Cardoso, Governor of the Central Bank of Nigeria at the 59th Annual Dinner of the Chartered Institute of Bankers of Nigeria (CIBN) on November 29, 2024.

Nineteen pages long, it was expansive, insightful, comprehensive, wide-ranging, bold and visionary in acknowledging the myriad of issues they met on ground, the challenges encountered so far in fixing them and strategy for the future. It was like a Job Description and a set of Key Performance Indicators (KPIs) rolled into one.

Reading through, the image that loomed before me was of my friend on that hospital bed. When we met in the morning, he was bubbly and rearing to go with none of us the wiser about the bacteria ravaging his system. By evening the bacteria had won and it would have been a different story if doctors had not given him that cocktail of medicines.

The financial system Yemi Cardoso and team met on ground was being ravaged by an unseen bacteria and leading to a system collapse. The prognosis was bad – high inflation, multiple exchange rates, unchecked subsidy and rampant arbitrage, lack of access to international capital markets, poor investor confidence, waning foreign portfolio inflows, declining exchange reserves and decreasing diaspora remittances, a huge FX backlog, excessive money supply growth at 13% annually, fiscal crisis from unprecedented Ways and Means advances to the FG of N22.7 trillion and many more.

Yemi Cardoso was like a doctor who came to the quick realization that urgent action was required to stem the tide and steer the financial ship to a safe port.

What he did, he told the CIBN, was attack with a cocktail of “targeted policies, transparent market operations, effective coordination between monetary and fiscal authorities, and a commitment to rebuild trust.”

What did he think success would look like after this cocktail of policies has been implemented? Cardoso told his audience that what the CBN expects in 2025 and beyond is a regime that will see the CBN “stabilize the exchange rate, curb inflation, strengthen banks’ capital buffers, and foster an environment conducive to the success of both businesses and individuals.”

These are already happening and Olayemi Cardoso was not shy in pointing out areas where progress has been made.

External reserves which fell to $33.22bn in December 2023 have grown back to $40bn the highest level in 3 years and “the equivalent of eight months’ import cover.”

That is a reflection of rising investor confidence evident in the 72% growth in foreign portfolio inflows and increase in diaspora remittances from a monthly average of $300m to $600m with a monthly target of $1bn set by the CBN.

This is being buoyed by the integration of the Nigerian diaspora into our financial system by initiatives like the introduction of the non-resident BVN registration. At the time of writingthis piece, news of an oversubscribed Eurobond issue of $2.2bn filtered out from the Debt Management Office (DMO).

The fiscal crisis from excessive Ways and Means which was the equivalent of almost 11% of our GDP in 2023 before Cardoso and team took over at the CBN has been ended with the backlog of over $7 billion in unfulfilled commitments cleared.

The FX market has been stabilized with a tightening contraction in the gap between the official and parallel markets and more sanity is expected with the take-off on December 2, 2024 of the electronic FX matching system. Analysts are already forecasting that the naira will end the year low.

A regime of transparency has led to regular and improved financial stability reports, balance of payments data, and FX market updates, datasharing, the launch of a new website and technology driven innovations intended to “strengthen the CBN’s credibility and public trust in our policies.”

Speaking at that dinner, Cardoso summarized his ultimate destination as “price and exchange rate stability, catalyze sustainable economic growth, and protect the livelihoods of millions of Nigerians.”

While all these are cause for cheer, challenges remain. The naira is still taking a beating something Cardoso has attributed to buyer’s desperation and a distorted view of the value of the naira relative to the greenback. This will hopefully be solved in 2025 and beyond by “the introduction of the electronic matching system” which “will correct these distortions by enhancing the price discovery process.”

Inflation remains a thorny issue at 33.88% despite efforts to “contain inflation and restore stability” by “raising the Monetary Policy Rate by 875 basis points to 27.5%”. The inflation target of 21.4% is yet to be achieved.

But Cardoso is upbeat: “Our tight monetary policy stance has altered the previous dire trajectory, and we expect a downward trend in 2025. Inflation remains unacceptably high, but the signs are encouraging, particularly given that the full effects of monetary policy typically take 6-9 months to impact the consumer sector.”

To conclude one must ask whether Cardoso and his team have factored in the coming of Donald Trump into their plans for 2025. As Cardoso noted in his keynote, the pandemic, global geopolitical tensions and inflation have had a deleterious effect on emerging markets in the form of “withdrawal of capital flows” thus “creating new challenges for economies like ours.”

Speaking further he noted that “Major central banks are gradually easing their monetary conditions and this shift is slowly reopening access to international capital markets for emerging economies.”

But for how long? Recent comments from Donald Trump in reaction to plans for de–dollarisation by the BRICS nations deserve attention from the CBN as the apex bank looks to the future.

This is important because in October this year, Nigeria formalized its romance with the BRICS bloc by becoming a partner as reported by The Punch. “BRICS has officially expanded its alliance, adding 13 new nations as partner countries, though not as full members…The countries are Algeria, Belarus, Bolivia, Cuba, Indonesia, Kazakhstan, Malaysia, Nigeria, Thailand, Turkey, Uganda, Uzbekistan, and Vietnam.”

High on the agenda of the BRICS nations and their partners is to establish “a unified currency or bolster bilateral trade agreements that bypass the dollar. These efforts aim to reduce reliance on the U.S. dollars…” reports Global Financial Digest

Trump has reacted to this by threatening 100% tariffs on imports from the BRICS nations. As President, Donald Trump’s plans to entrench his America First doctrine and the dollar’s hegemony will hobble plans for de-dollarisation of economies in the BRIC bloc as well as the emerging markets of the global south which remain vulnerable to tectonic shifts in the larger global economy.

This is something that could have repercussions for the Nigerian economy described by Cardoso as a “resource-intensive” country.

Kan is a PR/crisis management expert and financial analyst.

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OPINION

For the Three Musketeers of Kano

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By Lasisi Olagunju

An epic poet describes the Fulani hunter as “shepherd of wild animals.” The hunter is also the one “who knows the calm and wild forest, with its many dangerous paths…..” When a man so described describes you as a target, you had better go sew a dress of steel.

If you are from the South-West and you can read, read this: “Our next target now is this geo-political zone.
The south-west geo-political zone.
You know we are good at getting the target. We will do all that is possible to bring them into the fold.” That is from Abdullahi Ganduje, immediate past governor of Kano State and incumbent national chairman of the All Progressives Congress (APC). He made the solemn pledge in Akure, the Ondo State capital, after his party’s governorship election victory in that state two weeks ago.
Now, which fold was Ganduje talking about? And who are the “we” that are “good at getting the target”? Ganduje is smart. He chose his words deliberately and carefully. The strongman from Kano has significantly stepped back from his earlier obsession with capturing Oyo and Osun states. He now targets the entire zone. For whom? It can’t be for the APC – the party already has two-thirds of the zone. In Adebayo Faleti’s ‘Ogun Awitele’ (Foretold War), a band of thieves sent a handwritten letter to a village head: “We are coming to rob your people in seven days’ time.” The tone of the letter rattled the Baale and his chiefs. If you are sure of the efficacy of your amulets, you swear by them. The leader of the band of thieves signed his name as Ajiboogunsoro (he-who-wakes-up-to-converse-with-charms). A significant takeaway from that moment of fear and anxiety is the village head’s charge to his security chiefs to always know that no matter how powerful the boastful invaders are, “you should always remember that you are hunters, they are thieves (ode ni yín, olè ni wón)”. What Ganduje, the big man, said is evocative of a deja vu. There is something in Nigeria’s political history that suggests today’s mission as an echo of a daring, fateful yesterday.But, whatever the man might be saying, I suggest he and his “we” take time to watch closely the Eyo masquerade of Lagos and listen attentively to their songs. The Eyo seductively mock their challengers with a folk song composed for colonialism on the futility of its land-grabbing propensity. They sing: “The white man took Oluwole; Lagos did not utter a word. With ease, the white man took Marina; again Lagos was silent. Now, they want to take Isale Eko. They think we are dumb.” The Eyo actually use the Hausa word, Kurumo (deaf and dumb). The Kano man, Ganduje, understands perfectly the imagery of the speechless who is at the same time dead in hearing. I am very sure that no one ever takes the South-West as a zone of the invalid, deaf and dumb.Rabiu Musa Kwankwaso is a former governor of Kano State. He has been the boss (and friend) of Ganduje from the beginning of time. In a speech he delivered at the convocation ceremony of Skyline University, Kano, two weeks ago, Kwankwaso claimed that “Lagos” was working hard to enslave the whole North. He said: “Today, we can see very clearly that there is a lot of efforts from the Lagos axis to colonize this part of the country.” Kwankwaso is an old war horse and a rambunctious power-player. You ignore him at your peril, and to your sorrowYou remember a gentleman called Festus Odimegwu, a former Managing Director of the Nigerian Breweries Plc who was made the chairman of the National Population Commission (NPC) by President Goodluck Jonathan? In October, 2013, because Odimegwu said “No census has been credible in Nigeria since 1816″ (1866?), Kwankwaso stormed the Villa and asked President Jonathan to sack the man as NPC chairman. Kwankwaso told State House correspondents after meeting Jonathan: “I also raised the issue of the chairman of the National Population Commission, NPC, headed by one Festus Odimegwu. We are not happy about that appointment, and (we) think that it was a mistake. He (Odimegwu) had only worked in the alcoholic industry all his life. And my guess is that he’s taking a lot of his products and that is why we feel that his appointment is a mistake because he cannot be the chairman of NPC and at the same time attack what his predecessors have done.” With “automatic alacrity”, Jonathan obeyed Kwankwaso and asked Odimegwu to go on October 17, 2013. That is how you feel the power of power.Ganduje was direct in naming his target: the South-West. Kwankwaso went poetic; Lagos was (is) his metaphor for the West. The man who wants to be president of Nigeria also spoke on tax collection. He said: “Today, we are aware that the Lagos young men are working so hard to impose taxes and take away our taxes from Kano and this part of the country to Lagos.” Who are Kwankwaso’s “Lagos young men”? And what VAT is Kwankwaso fighting over? VAT from confiscated products of “the alcoholic industry”? Or from the leveled groundnut pyramids of Kano?Kwankwaso spoke about colonialism; Ganduje spoke about “getting the target.” Those two deserve more than anyone’s passing attention. Between them, Kano has been a captive cripple since 1999. Ibrahim Shekarau who acted during an interlude was Kwankwaso’s permanent secretary. The incumbent governor, Abba Kabir Yusuf, is Kwankwaso’s son-in-law. Check the figures: How many poor people did they meet in Kano in 1999, how many do they have now? In his ‘The Psychology of Science: A Reconnaissance,’ Abraham Maslow wrote in 1966: “If the only tool you have is a hammer, it is tempting to treat everything as if it were a nail.” Some describe what Maslow propounded as the ‘law of the instrument’. Others say it is the ‘law of the hammer’. Yet, some other analysts prefer to christen it ‘Maslow’s hammer’ or ‘the golden hammer.’ For persons whose idea of leadership is all about slave raiding, zone targeting and capturing, their choice of mission will always employ the rhetoric of slavery.While Ganduje and Kwankwaso are doing their own their ways, the third Kano man, Shekarau, has been busy setting up a group he calls League of Northern Democrats (LND). At a meeting with the Arewa Consultative Forum (ACF) in Kaduna some days ago, a more nuanced Shekarau spoke on why he is doing what he is doing: “This marks the beginning of what we hope will be a transformative coalition for Northern Nigeria to confront its challenges…The challenges facing our region – poverty, insecurity, illiteracy, religious intolerance, disunity, and diminishing political influence – are indeed serious. The North is today in an ugly situation…” There is a fitting quote here attributed to Albert Einstein: “We cannot solve our problems with the same thinking we used when we created them.” Those who disfigured the face of beautiful northern Nigeria cannot now beautify it. You know what happened when the monkey insisted she wanted to beautify her child’s ugly face? She pushed the eyeballs deeper into the sockets. Monkey’s fingers are not structured to beautify anything. Take a look at them.So, when I heard Ganduje say that his target was the South-West, I wondered why it is not his “target” that Kano’s groundnut pyramids are restored. And, when Kwankwaso said ‘Lagos’ was determined to colonise his “part of the country”, you should wonder why his rhetoric was all about power and not how to make his part of the country as safe and prosperous as the part where Lagos belongs. And Shekarau spoke about the North’s “diminishing political influence.” If I would counsel him, I would suggest that what the North of 2024 needs to regain its mojo is for its leaders to make the region safe by educating their young, and empowering and feeding their poor without enslaving them.I call Kwankwaso, Ganduje and Shekarau the three musketeers of Kano. A soldier armed with a musket is a musketeer. In French history, we read of the Musketeers of the Guard (Mousquetaires de la garde) or the King’s Musketeers (Mousquetaires du roi). They existed to fight the king’s battles. Their exploits of guile, of swordsmanship and chivalry later spilt over to the plains of popular culture. Because of them, we have books and films with ‘The Three Musketeers’ (Les Trois Mousquetaires) as titles. The story of Kano since 1999 has been an intricate story of war and romance among those three musketeers who shared the years equally among them. They are not done with that city state, and with their North. They are not even done with the whole country. That is what you get when an elite band targets, captures and enslaves an enclave. Get your popcorn. They appear gearing up for war – with “Lagos”. And a good fight is coming.

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