Connect with us

Business News

NCDMB Proffers Guideposts for Sustainable Local Content Practice in Africa

Published

on

Share



From Mike Tayese, Yenagoa



On the heels of remarkable discovery and exploration of oil and gas resources across several countries in Africa, the Nigerian Content Development and Monitoring Board (NCDMB) on Wednesday proffered strategies that would enable those nations to institute sustainable Local Content practices, achieve in-country value addition, and benefit maximally from the exploitation of their hydrocarbon resources.



The Executive Secretary NCDMB, Engr.
Simbi Kesiye Wabote offered the suggestions at the two-day Namibia Oil and Gas Conference holding in Windhoek, Namibia.

He hinted that Africa currently accounts for about 12% of annual global oil production, but only consumes less than 4% of the global production, describing the situation as potential opportunities in production, processing and utilization of oil and gas within the continent for improvement in the standard of living.


Speaking as the preeminent local content advocate in Africa, the NCDMB boss gave an overview of key parameters that are critical to in-country value addition and growth of the sector on a sustainable basis.

These are Regulatory Framework, Gap Analysis, Capacity Building, Funding and Incentives, Research and Development, and Access to Market.  Citing the example of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act, 2010, he said: “An enabling regulatory framework backed with the appropriate legislation is very fundamental in local content practice,” and that it is “better than directives or policies that are subject to speculations or compliance on ‘best endeavour’ basis.

According to him, once such a statute is in place “It is no longer optional or debatable whether to comply with local content requirements.”   

 Among lessons under the regulatory environment parameter he said, “The law must promote and enable investments rather than become a stumbling block to existing or new investors both locally and internationally,” and that “provisions should be made in the law to address any lacuna without having to review the entire law such as the provision in the NOGICD Act for utilization of Ministerial Regulations to address any gaps or opportunities.”

Besides, he noted, a regulator “must be pragmatic in applying the law as the oil and gas industry is very dynamic such that aspirational goals and prevailing realities are not always on the same trajectory.”

On Gap Analysis, the NCDMB boss said, “Baseline and periodic gap analyses are essential to determine gaps that are needed to be closed in the areas of skills, facilities and infrastructure.” Lessons learnt so far in that regard show that “All gaps cannot be closed overnight even if you have the resources to do it,” and that it would be necessary to “prioritize areas of high impact and deploy prudent implementation measures.”

Structured capacity building intervention, according to him, “is essential to spur the development of in-country capacities and capabilities,” but implementation of major projects is a prerequisite. In his words, “Continuous and well sequenced stream of major projects is important to sustain utilization of established capacities and attract additional investments for growth.”

Funding and Incentives, he emphasized, are essential to implement local content programs, develop infrastructure, attract new investments, and keep existing businesses afloat where required.”

He cited the Nigerian Content Development Fund (NCDF) provided for in the NOGICD Act, which has so far been deployed in the launch of the $350 million Nigerian Content Intervention Fund, the ongoing development of the Nigerian Oil and Gas Parks Scheme (NOGAPS), and construction of the 17-storey corporate headquarters of the Board.

On Research and Development, Wabote said, “Local content thrives where there are robust Research and Development guidelines to drive development of home-grown technology,” pointing out that in Nigeria there is “a $50 million Nigerian Content Research and Development Fund to drive basic research, commercialization of research breakthroughs, establishment of Centers of Excellence, and to sponsor university endowments.”

Access to Market, the Executive Secretary observed, is very essential, noting that “The policies or laws, the capacities developed, and the research and development efforts will become frustrating if there is no outlet to utilize them and receive reward for sustainability and growth.

He equally pointed to “opportunities realizable from the African Continental Free Trade Agreement (AfCFTA).The presentation of the NCDMB boss was rounded off with an appeal that Namibia do her best “to avoid Dutch Disease syndrome in which rapid development of your oil and gas industry leads to a decline in other sectors of the Namibian economy.”

He added that “this exciting era of oil and gas discoveries and their development should not lead to decline or abandonment of…mining, fishing, agriculture and tourism sectors of the economy.”

The Conference, organised by the Economic Association of Namibia (EAN), Namibia Investment Promotion and Development Board (NIPDB) and the Hanns Seidel Foundation (HSF) in strategic partnership with the National Petroleum Corporation of Namibia (NAMCOR) ended on Thursday. 

Business News

Tinubu Congratulates Dangote on World Bank Appointment

Published

on

Share

By Jennifer Enuma, Abuja

President Bola Tinubu has congratulated Alhaji Aliko Dangote, the President of Dangote Group, on his appointment to the World Bank’s Private Sector Investment Lab, a body tasked with promoting investment and job creation in emerging economies.

In a statement by Special Adviser on Media and Publicity, Bayo Onanauga, the President described the appointment as apt, given Dangote’s rich private sector experience, strategic investments, and many employment opportunities created through his Dangote Group.

The Dangote Group became one of Africa’s leading conglomerates through innovation and continuous investment.

Dangote Group’s business interests span cement, fertiliser, salt, sugar, oil, and gas. However, the $20 billion Dangote Petroleum Refinery and Petrochemicals remains Africa’s most daring project and most significant single private investment.

“President Tinubu urges Dangote to bring to bear on the World Bank appointment his transformative ideas and initiatives to impact the emerging markets across the world fully” the statement said.

The World Bank announced Dangote’s appointment on Wednesday, as part of a broader expansion of its Private Sector Investment Lab. The lab now enters a new phase aimed at scaling up solutions to attract private capital and create jobs in the developing world.

The CEO of Bayer AG, Bill Anderson, the Chair of Bharti Enterprises, Sunil Bharti Mittal, and the President and CEO of Hyatt Hotels Corporation, Mark Hoplamazian, are on the Private Sector Investment Lab with Dangote.

The World Bank said the expanded membership brings together business leaders with proven track records in generating employment in developing economies, supporting the Bank’s focus on job creation as a central pillar of global development.

Continue Reading

Business Analysis

Nigeria Customs Generates over N1.75trn Revenue in 2025

Published

on

Share

By Joel Oladele, Abuja

The Nigeria Customs Service (NSC) has generated an impressive N1,751,502,252,298.05 in revenue during the first quarter of 2025.

The Comptroller-General (CG) of the Service, Bashir Adeniyi, disclosed this yesterday, during a press briefing in Abuja.

According to Adeniyi, the achievement not only surpasses the quarterly target but also marks a substantial increase compared to the same period last year, reflecting the effectiveness of recent reforms and the dedication of customs officers across the nation.

“This first quarter of 2025 has seen our officers working tirelessly at borders and ports across the nation.

I’m proud to report we’ve made real progress on multiple fronts—from increasing revenue collections to intercepting dangerous shipments,” Adeniyi stated.

He attributed this success to the reforms initiated under President Bola Tinubu’s administration and the guidance of the Honourable Minister of Finance and Coordinating Minister of the Economy, Olawale Edun.

The CG noted that the revenue collection for Q1 2025 exceeded the quarterly benchmark of N1,645,000,000,000.00 by N106.5 billion, achieving 106.47% of the target. This performance represents a remarkable 29.96% increase compared to the N1,347,705,251,658.31 collected in Q1 2024.

Adeniyi highlighted the month-by-month growth, noting that January’s collection of N647,880,245,243.67 surpassed its target by 18.12%, while February and March also showed positive trends.

 “I’m pleased to report the Service’s revenue collection for Q1 2025 totaled N1,751,502,252,298.05.

“Against our annual target of N6,580,000,000,000.00, the first quarter’s proportional benchmark stood at N1,645,000,000,000.00. I’m proud to announce we’ve exceeded this target by N106.5 billion, achieving 106.47% of our quarterly projection. This outstanding performance represents a substantial 29.96% increase  compared  to  the  same  period  in  2024,  where  we  collected N1,347,705,251,658.31.

“Our month-by-month analysis reveals even more encouraging details of this growth trajectory,” Adeniyi said.

In addition to revenue collection, Adeniyi said the NCS maintained robust anti-smuggling operations, recording 298 seizures with a total Duty Paid Value (DPV) of ₦7,698,557,347.67.

He stated that rice was the most seized commodity, with 135,474 bags intercepted, followed by petroleum products and narcotics.

“From rice to wildlife, these seizures show our targeted approach,” Adeniyi remarked, noting the NCS’s commitment to combating smuggling and protecting national revenue.

Adeniyi also highlighted key initiatives, including the expansion of the B’Odogwu customs clearance platform and the launch of the Authorized Economic Operators Programme, which aims to streamline processes for compliant businesses. The NCS’s Corporate Social Responsibility Programme, “Customs Cares,” was also launched, focusing on education, health, and environmental sustainability.

Despite these achievements, the CG noted that the NCS faced challenges, including exchange rate volatility and non-compliance issues. Adeniyi acknowledged the need for ongoing adaptation and collaboration with stakeholders to address these challenges effectively.

Looking ahead, the NCS aims to continue its modernization efforts and enhance service delivery, ensuring that it remains a critical institution in Nigeria’s economic and security landscape.

“Results speak louder than plans; faster clearances through B’Odogwu, trusted traders in the AEO program, and measurable food price relief from our exemptions. We’ll keep scaling what works,” he concluded.

Continue Reading

BUSINESS

NSIA Net Assets Hit N4.35trn in 2024

Published

on

Share

By Tony Obiechina Abuja

The Nigeria Sovereign Investment Authority (NSIA) yesterday disclosed that its net assets grew from N156bn in 2013 to N4.35 trillion in 2024.

Similarly, the Authority has remained profitable for 12 consecutive years, leading to cumulative retained earnings of N3.

74 trillion in 2024.

Managing Director and Chief Executive Officer of NSIA, Aminu Umar- Sadiq made these disclosures at a media engagement in Abuja, highlighting its audited financial results for the 2024 fiscal year.

According to him, the results underscored the resilience of the authority’s investment strategy and the strength of its earnings, driven by a well-diversified revenue base and robust risk management practices, despite a challenging global macroeconomic and geopolitical environment.

Total operating profits, excluding share of profits from associates and Joint Venture (JV) entities, increased from N1.17 trillion in 2023 to N1.86 trillion in 2024, driven by the strong performance of

NSIA’s diversified investment portfolio, infrastructure assets, gains from foreign exchange movements, and derivative valuations.

In addition, Total Comprehensive Income (TCI), inclusive of share of profits from associates and JV entities, reached N1.89 trillion in 2024, reflecting a 59 per cent increase from N1.18 trillion in 2023.

Core TCI (excluding foreign exchange and derivative valuation gains) rose by 148 per cent to N407.9 billion in 2024 compared to N164.7 billion in 2023, supported by robust returns on financial assets measured at fair value through profit and loss, including collateralised securities, private equity, hedge funds, and Exchange-Traded Funds (ETFs).

Umar-Sadiq said the authority’s outstanding financial performance in 2024 reflected the “strength of our strategic vision, disciplined execution and unwavering commitment to sustainable socio-economic advancement.”

He said, “By leveraging innovation, strategic partnerships and sound risk management, we have not only delivered strong returns but also created value for our stakeholders

“As we move forward, we remain focused on driving economic transformation, expanding opportunities, scaling transformative impact and ensuring long-term prosperity for current and future generations of Nigerians.”

The CEO reaffirmed the authority’s commitment to managing the country’s SWF, and delivering the mandates enshrined in the NSIA Act.

He said NSIA remained poised to continually create long-term value for its stakeholders by delivering excellent risk-adjusted financial results, developing a healthy and well-diversified portfolio of assets and large-scale infrastructure projects, and enhancing the desired social outcomes.

He noted that NSIA was committed to its mandate of prudent management and investment of Nigeria’s sovereign wealth.

“In adherence to its Establishment Act, NSIA prioritises transparency, disclosure, and effective communication with all stakeholders and counterparties,” he said.

He pointed out that in the year under review, a new board, led by Olusegun Ogunsanya as Chairman, was appointed by President Bola Tinubu, in accordance with the provisions of the NSIA Act.

The new board will provide strategic direction and oversight, in addition to playing a pivotal role in critical decision making.

He remarked that under the guidance of the Board, the Authority will retain focus on its primary mandate of creating shared value for all stakeholders based on its continued adoption of corporate governance practices.

“NSIA prides itself an investment institution of the federation established to manage funds in excess of budgeted oil revenues and its mission is to play a pivotal role in driving sustained economic development for the benefit of all Nigerians through building a savings base for the Nigerian people, enhancing the development of the county’s infrastructure, and providing stabilisation support in times of economic misadventure,” he added.

Continue Reading

Read Our ePaper

Top Stories

Health28 minutes ago

Int’l Day of Boychild: EFCC, Others Decry Impact of Cybercrime on Youth’s Mental Health

ShareBy David, Torough Abuja The Economic and Financial Crimes Commission (EFCC) and various stakeholders have raised the alarm over the...

NEWS24 hours ago

Ukum Elders Back Youths, Give Suswam 7-Day Ultimatum to Tender Apology over Alleged Derogatory Remarks

ShareBy David Torough, Abuja Some elders of Ukum in Benue State have thrown their support behind the actions of the...

Foreign News1 day ago

Taraba 2025 Appropriation Provides for Budget Funding Through Loans-Lawmaker

ShareThe Taraba House of Assembly has said that it’s approval for the Executive to secure a N350 billion bond from...

NEWS1 day ago

NDDC Seeks Legal Advocacy to Accelerate Niger Delta Development

ShareThe Niger Delta Development Commission (NDDC) has emphasised that legal advocacy on issues affecting the Niger Delta holds the potential...

NEWS1 day ago

TMSG Hails FG’s Cash Transfer to 15m Vulnerable Households

ShareThe Tinubu Media Support Group (TMSG) has hailed the fast-track disbursement of funds to 15 million households under the Conditional...

NEWS1 day ago

UTME Glitches: Oloyede Deserves Commendation, not Condemnation, Says Group

ShareThe Muslim Ummah of the South West of Nigeria (MUSWEN) says Prof. Ishaq Oloyede, the Registrar,Joint Admissions and Matriculation Board...

NEWS1 day ago

NAHCON Airlifts 20,515 Nigerian Pilgrims to Saudi Arabia in one Week

Share The National Hajj Commission of Nigeria (NAHCON) says it has transported 20,515 Nigerian pilgrims to the Kingdom of Saudi...

NEWS1 day ago

Murder of Lawyer: Anambra NBA Orders Boycott of Sittings May 20-21

ShareThe Nigerian Bar Association (NBA) Anambra Chapter has condemned gruesome murder of its member, Mr Ifeanyi-Rolex Iloakasia.Iloakasia, a member of...

NEWS1 day ago

Dada Highlights Milestones as FMC Medical Director

ShareDr Adedamola Dada, outgoing Medical Director of Federal Medical Centre, Ebute Metta, said the hospital exported its best practices to...

NEWS1 day ago

Tinubu Commits to Curbing Insurgency

Share President Bola Tinubu on Friday reaffirmed the commitment of his administration to roundly countering insurgency in the country.The president...

Copyright © 2021 Daily Asset Limited | Powered by ObajeSoft Inc