In 2012, Oscar Onyema, former chief executive officer of the Nigeria Stock Exchange (NSE), now Nigerian Exchange Group (NGX), set a $1 trillion market capitalisation target for the exchange by 2016.

Twelve years after, however, the market is far off that target. In naira terms, the market capitalisation is a little below N60 trillion mark and just around $36 billion.

Realistically, the easier target for the NGX to meet is a $100 billion market capitalisation, which would mean a flurry of listings on the exchange, including by giants such as the Tolaram Group, Dangote Refinery, Dangote Fertilizer Limited, and Globacom Limited, as well as technology companies.

With a market capitalisation-to-GDP ratio of around 17.5 percent, the Nigerian Exchange (NGX) is shown not to be a significant driver of the Nigerian economy.

However, the capital market has shown impressive resilience. While the Nigerian economy grew by 2.74 percent in 2023, the stock exchange achieved its best returns since 2020, growing by 45.9 percent that year.

The NGX was also the best-performing exchange in the world in 2020, with a 50 percent growth rate, in contrast with a 1.8 percent GDP decline experienced in Nigeria that year.

The market provides Nigerians with avenues to participate in wealth creation through equity investments, dividend earnings, and portfolio growth. This is evidenced by some of the returns afforded to shareholders over the years. For example, Dangote Cement, since listing on the NGX in 2010, has distributed about N2.83 trillion in dividends to its shareholders.

During the commemoration of its 10th anniversary of listing on the Nigerian Exchange in May 2024, it was noted that Seplat Energy had paid about $575 million in dividends to its shareholders since 2014. This figure has surpassed $600 million since then.

Nigerian publicly listed firms distributed over N1.5 trillion in dividends for the 2023 financial year, which suggests how much wealth these companies create for retail and institutional investors.

Apart from wealth creation, the ability to raise equity financing is another perk for companies listed on the exchange. According to the Securities and Exchange Commission (SEC), Nigerian banks raised about N1.26 trillion through their public offers and rights issues in 2024 as they try to comply with their new capital base guidelines.

Following this analysis, what then are the pathways for this target?

Oil and Gas Listings

On the NGX, Oando, Seplat, and Aradel – three upstream oil and gas companies – have a gross market capitalisation of about N6.3 trillion. However, there are over 30 upstream oil companies which hold oil mining leases, with far higher production capacity and by extension revenue than Seplat, Oando, or Aradel.

For example, South Atlantic Petroleum Limited, owned by TY Danjuma, holds a 15 percent stake in OML 130, which encompasses the Akpo and Egina oil fields—among the country’s largest oil-producing assets.

In October 2024, Aradel Holdings was listed on the NGX with a N3.05 trillion market capitalisation. The group recorded a net profit of N110.6 billion, which came from its production capacity of 13,250 barrels per day and its 11,000 barrels per day modular refinery.

Using the relative valuation model based on their asset size, Sapetro and Aiteo each has a valuation that is worth more than N2.28 trillion. The listing of just these two companies can raise NGX’s market capitalisation by N6 trillion, or $3.4 billion. This would push the NGX’s market capitalisation to N66 trillion.

Dangote Refinery, Dangote Fertiliser Listing

Aliko Dangote, chairman of Dangote Refinery and Dangote Fertiliser Limited, has repeatedly stated that he has plans to carry out a dual listing for both the refinery and fertilizer company. In a media round in July 2024, he stated that there were plans to list the refinery on the NGX and the London Stock Exchange by the first quarter of 2025.

Although Dangote says the refinery cost him $20 billion to build, Bloomberg values it at around $18.6 billion. If the refinery is listed on the NGX with that same valuation, it would boost the NGX’s market capitalisation by N32.55 trillion.

Bloomberg values the fertilizer plant at approximately $3 billion (N5.25 trillion). Should both plants be listed on the NGX, they could collectively raise the market capitalisation to an estimated ₦103.8 trillion.

Nigeria Liquefied Natural Gas (NLNG) Limited

Since inception in 1989, it is reported that NLNG Limited has paid around $18 billion in dividends to the federal government through NNPC Limited. The federal government presently holds a 49 percent stake in NLNG, with TotalEnergies, Shell, and ENI holding the remaining 51 percent stake.

Between 2008 and 2014, the company contributed approximately 4 percent to Nigeria’s GDP, highlighting its significant impact on the nation’s economy. Currently, NLNG has a production capacity of 22 million tonnes per annum, which is projected to hit 30 million tonnes per annum after NLNG Train 7.

Using the relative valuation model based on the valuation of the world’s largest natural gas companies, such as Qatargas and Cheniere Energy, NLNG is projected to trade on the NGX with a $5 billion market capitalisation (N8.75 trillion). This would boost the market’s capitalisation to N112.55 trillion.

Tolaram Group

Tolaram Group is currently one of Nigeria’s largest consumer goods companies. Their subsidiaries include: Dufil Prima Foods, Multipro Consumer Products, Colgate-Palmoilve Tolaram, LekkiPort LFTZ Enterprise, TG Arla, Kellogg Tolaram Nigeria, Addmie Nutrition Limited, Lucky Fibres, and Guinness Nigeria.

In 2021, Dufil Prima Foods, makers of Indomie, reported a revenue of N306.8 billion as well as a profit of N13.1 billion. On NASD, which is the unlisted equities market, Dufil Prima has a market capitalisation of N60.8 billion. Guinness Nigeria, a listed subsidiary of Tolaram, has a market capitalisation of N142 billion.

If Tolaram Group lists some of its holdings on the NGX, it could boost the market capitalisation by as high as N1 trillion, taking the market cap to N113.55 trillion.

In 2011, when Nigerian Bottling Company Plc delisted from the NGX, it had a valuation of N20.3 billion, representing N47 per share.

However, since 2011, Nigerian Bottling Company, now fully owned by Coca Cola Hellenic Bottling Company, has grown in leaps and bounds. Since delisting, the company has reportedly invested $1.5 billion in Nigeria, with plans to invest a further $1 billion.

When Coca-Cola delisted from the Nigerian Exchange (NGX), its market capitalisation stood at approximately $130 million. In 2022, the company reported a per capita consumption rate of 74 servings in Nigeria, translating to around 15 billion units sold based on an estimated population of 202.7 million.

Although the company does not publish its financial statements, its annual revenue is estimated to exceed N2 trillion. Hence the company could add a further N250 billion to the NGX’s market capitalisation, boosting the market cap to N113.8 trillion.

Globacom Limited

In the past, Globacom Limited was Nigeria’s second largest telecommunications company in terms of subscriber base. However, a recent audit carried by the Nigerian Communications Commission (NCC) shed off 40 million inactive Glo subscribers, thus bringing their number of subscribers down to 19.7 million.

However, the company still owns the 9,800 km GLO-1 submarine cable, which runs from London to Lagos, and was built with $800 million. Unlike its competitors, Glo does not lease. The company owns and operates its 8,700 towers across Nigeria, thus significantly boosting its asset size.

If Glo lists on the NGX, its market capitalisation would not be less than $1 billion (N1.75 trillion). Listing at this valuation could boost the NGX’s market capitalisation to N115.55 trillion.

Indorama Eleme Petrochemicals Limited

Indorama Eleme is Nigeria’s foremost petrochemical company and was the country’s largest fertilizer producer until Dangote. At the moment, Indorama Eleme owns the world’s largest single train fertilizer plant, with a production capacity of 1.4 million tonnes per annum. The company owns two plants which produce around 2.8 million tonnes of urea per year.

It also owns a port terminal in the Onne Port which it uses to facilitate urea export from Nigeria.

The company was in talks to list on the NGX in 2017, aiming to bring its investments in Nigeria to $4.2 billion by 2020.

In 2024, Indorama received a $1.25 billion financing package from the IFC. Based on its own 2020 estimates, Indorama may list on the NGX at a valuation of $4.2 billion (N7.35 trillion), bringing it cumulatively to N122.9 trillion.

Olam Nigeria

Olam is Nigeria’s largest non-oil exporter, with cashew, cocoa beans, and sesamum seed being its major export commodity. In Nigeria, the group through its subsidiaries, Olam International and Olam Holdings, own nine companies, including Outspan Nigeria, Caraway Africa Nigeria (makers of Fresh Yo), Olam Sanyo, OK Foods, Crown Flour Mills, Olam Flour Mills (formerly Dangote Flour Mills), Olam Hatcheries, and Quintessential Foods Nigeria formerly BUA Flour Mills).

Olam is also the producer of Mama’s Pride rice in Nigeria

Applying the relative valuation model, BUA Foods emerges as Olam’s closest competitor in terms of asset size and revenue, with a current market capitalisation of ₦7.11 trillion. Should Olam consolidate its Nigerian subsidiaries into a single entity and proceed with a listing on the NGX, the newly formed group would likely debut with an estimated market capitalisation of $4.1 billion (₦7.1 trillion).

This would bring the NGX’s market capitalisation to N127.1 trillion.

NNPC Limited

The prospect of the Nigerian National Petroleum Company (NNPC) Limited listing on the NGX appears uncertain from an observer’s standpoint. Nevertheless, both the federal government and the NNPC have repeatedly emphasised their intentions for the state-owned oil company to go public.

This plan mirrors the precedent set by Saudi Aramco, which debuted on Saudi Arabia’s stock exchange in 2019, raising $29.4 billion through the sale of a 1.5 percent equity stake.

NNPC, with its expansive portfolio of 22 oil mining leases and seven oil prospecting leases, holds the largest stake in Nigeria’s oil and gas production. The company also operates three refineries and maintains a minority interest in Dangote’s refinery.

In the 2023 financial year, NNPC reported a net profit of N3.3 trillion, solidifying its position as Africa’s largest national oil company by asset size. Should it proceed with a listing on the NGX, conservative estimates peg its potential market valuation at $30 billion (₦52.5 trillion).

All of these listings have the potential to push NGX’s market capitalisation beyond $100 billion.

“We need to get more companies to list in the NGX,” said Ike Ibeabuchi, a emerging markets analyst.

“It enhances firms’ chances to raise capital, promotes transparency of companies’ operations, and leads to economic growth. But we need to create value for investors.”

[Businessday]

How many times have you heard that phrase “No African time” and maybe if you naively wondered, what is African time? “African time” is a colloquialism that refers to the cultural tendency in some African countries, including Nigeria, to have a more relaxed attitude towards time and punctuality.

While it’s difficult to quantify the exact amount of time wasted due to “African time,” here are some common scenarios that might give you an idea: Meetings and events starting 30 minutes to several hours late (Infact if it starts 30 minutes late, it is considered an early start). Social gatherings and parties beginning later than scheduled, delays in responding to messages or returning calls, and crass ineptitude characterized by some ridiculously flexible attitudes towards deadlines and time commitments

Keep in mind that “African time” is a stereotype, and not all Nigerians (or Africans) adhere to this cultural phenomenon. Let me state that many individuals and organizations prioritize punctuality and respect for other people’s time, but they are few in comparison.

Let’s dive deeper into the concept of “African time” and its cultural significance in Nigeria.

The term “African time” is believed to have originated from the colonial era, when Western colonizers imposed their own time-keeping systems on African societies. This disruption of traditional time-keeping practices led to a more flexible attitude towards time.

The manifestations of “African Time“ in Nigeria

1. Flexibility: Time is viewed as a flexible concept, rather than a rigid framework. For instance:

– A meeting scheduled for 10:00 AM might start at 11:30 AM, with attendees trickling in at their own pace.

– A friend might ask to meet up at 5:00 PM, but show up at 6:30 PM, expecting you to still be available.

2. Relaxed attitude: People may prioritize social interactions and relationships over punctuality. For example:

– A family gathering might be scheduled for 2:00 PM, but the host might not mind if guests arrive an hour or two late, as long as they come with a warm smile and a willingness to socialize.

– A colleague might show up late to a meeting, but make up for it by bringing a plate of freshly baked pastries or a bouquet of flowers.

3. Adaptability: Nigerians often adapt to changing circumstances, including unexpected delays or setbacks. For instance:

– A sudden rainstorm might cause a traffic jam, forcing you to arrive late to a meeting. Instead of apologizing profusely, you might simply shrug and say, “Ah, the rain caught me!”

– A power outage might disrupt a wedding reception, but the guests might simply laugh and continue celebrating by candlelight.

– A wedding reception might be scheduled for 12:00 PM, but the food might not be served until 3:00 PM.

– A birthday party might start at 5:00 PM, but the cake might not be cut until 7:30 PM.

Painfully, this attitude strays and influences not just various aspects of daily life in Nigeria but very important aspects, imagine where start times may be delayed, and punctuality is not always expected at a doctor’s appointment, scheduled for 9:00 AM, but the doctor might not see patients until 10:30 AM. A business meeting might start 30 minutes late, but the attendees might spend the first 15 minutes chatting and laughing together.

In Nigeria, “African time” has significant implications for politics and governance, and this was the point I had said I was coming to;

1. Flexible Schedules: Government meetings, events, and even court proceedings often start late, with attendees trickling in at their own pace.

2. Delayed Decision-Making: The flexible attitude towards time can lead to delayed decision-making, as officials may not feel pressured to meet deadlines.

3. Inefficient Bureaucracy: The concept of “African time” can contribute to an inefficient bureaucracy, where tasks are completed at a slower pace.

4. Lack of Accountability: The relaxed attitude towards time can make it challenging to hold officials accountable for their actions and decisions.

5. Cultural Expectations: In some cases, “African time” is seen as a cultural expectation, where punctuality is not always valued.

On the last point above, rather than assume, I would preferably ask, how many times have you seem a top government official, a governor or minister arrive early, or on time for a meeting, an even whether business or social, in fact it is seen as demeaning for the official or dignitary to be at the venue early or on time.

We have seen election delays like the 2019 presidential election, which was delayed by a week, with the Independent National Electoral Commission (INEC) citing logistical challenges. We have been served ‘breakfast’ of Budget Delays, as the Nigerian government has consistently failed to meet its budget deadlines. Let me not even delve into the perennial delays in infrastructure, where the construction of major infrastructure projects, such as roads and bridges, often experience significant delays, with some projects taking years or even decades to complete or never completed.

The concept of “African time” in Nigerian politics and governance poses several challenges, we care less about the economic consequences of delays and inefficiencies, including lost productivity and revenue. The relaxed attitude towards time that erodes trust in government institutions and officials, how it leads to inefficient service delivery, including delayed or inadequate healthcare, education, and other essential services.

As Nigeria continues to modernize and integrate into the global economy, there is a growing recognition of the importance of punctuality and time management, I have seen the widespread use of digital technologies increasing awareness of time and promoting more efficient time management.

Interactions with people from other cultures have encouraged Nigerians to adopt more rigid time-keeping practices, Nigerians will still have a way of arriving at the airport late, but will seldom go for a VISA interview late and it speaks volumes.

To address the challenges posed by “African time,” it is essential to promote a culture of punctuality and respect for other people’s time. This can be achieved by implementing efficient systems and processes, fostering accountability, and encouraging citizens to prioritize punctuality.

In conclusion, “African time” is a complex and multifaceted phenomenon that reflects Nigeria’s cultural heritage and historical context. While it presents challenges, it also painfully promotes flexibility, adaptability, and strong social relationships. By understanding and addressing the challenges posed by “African time,” Nigeria can promote a more efficient and effective governance system, ultimately benefiting its citizens and promoting economic growth and development.

Kemi Badenoch’s rise to prominence as the first Black woman to lead a major political party in the United Kingdom is undeniably historic. Her story symbolizes the triumph of multiculturalism and the opportunities migration offers. However, her recent pledges to implement stricter immigration policies expose a troubling contradiction: someone who owes her position to the benefits of migration now seeks to restrict those very opportunities for others.

This paradox encapsulates the heart of the debate on immigration in modern democracies. While the UK Conservative Party, under Badenoch’s leadership, claims to address the strain of mass migration on public services, the rhetoric and proposed measures risk alienating immigrants, creating divisions, and undermining the principles of inclusion and opportunity that have long defined Britain.

In her speech at Westminster, Badenoch warned that the current pace of migration threatens to overwhelm public services and erode social cohesion. She announced plans to introduce a hard annual cap on legal immigration, tighten visa regulations, and review existing treaties to close loopholes. She argued that immigration must slow down to preserve housing, healthcare, and wages.

Her concern about the strain on public services is valid to an extent. The UK’s healthcare system, housing sector, and other public services face mounting pressure. However, blaming immigration oversimplifies the root causes of these challenges. This is as issues, such as underfunding, mismanagement, and policy failures within successive governments have significantly been fingered to have contributed to these problems.

Moreover, Badenoch’s insistence that immigrants must adopt British values and foster a cohesive national identity raises concerns about the potential for xenophobia and exclusion. Such rhetoric risks painting immigrants as a monolithic group resistant to integration, ignoring the diversity and contributions of the immigrant community.

Badenoch’s own life story is a testament to the opportunities afforded by migration. Born to Nigerian parents, her family sought a better life in the United Kingdom, a life that allowed her to rise through the ranks of the Conservative Party to become a symbol of representation for minorities.

Her call for tighter immigration policies, therefore, feels like a betrayal to many who look up to her as a beacon of possibility. It is one thing to advocate for balanced reforms, but it is another to promote measures that could block the very pathways that enabled her success.

Critics have likened Badenoch’s stance to pulling up the ladder after reaching the top, a metaphor for policies that limit opportunities for others once an individual has achieved success. This perception risks alienating her from the communities that have celebrated her achievements.

Immigration has historically been an engine of economic growth for the UK. Migrants fill critical labor shortages in industries such as healthcare, agriculture, and technology. They also contribute to public finances, often paying more in taxes than they receive in benefits.

Studies have shown that countries with open and inclusive immigration policies tend to experience higher rates of innovation, entrepreneurship, and cultural exchange. The argument that migrants place an unsustainable burden on public services overlooks these benefits.

Badenoch’s proposed annual cap on immigration could exacerbate labor shortages, particularly in sectors already struggling to recruit workers. The National Health Service (NHS), for example, relies heavily on foreign-born professionals. Restricting immigration could lead to longer wait times for patients and increased strain on an already overburdened system.

Badenoch’s claim that “without a shared national identity, our country will suffer” is problematic. It simplifies a complex issue and risks fueling divisive narratives about immigrants failing to integrate. Integration is a two-way process that requires both migrants and host communities to engage meaningfully.

The emphasis on “British values” raises questions about whose values are being upheld and how they are defined. Such rhetoric often ignores the dynamic and evolving nature of national identity, which is enriched by diverse cultural influences.

As a leader with a unique personal history, Badenoch is well-placed to offer a nuanced perspective on immigration. She could have championed policies that address legitimate concerns about managing migration flows while celebrating the contributions of immigrants. Instead, her proposals reflect a reactionary approach that risks alienating immigrant communities and perpetuating stereotypes.

Badenoch’s insistence that reforms are necessary to prevent abuses of the system and protect public services is valid in principle. However, policies aimed at addressing such concerns must be carefully crafted to avoid unintended consequences, such as deterring skilled migrants or fostering hostility toward newcomers.

Badenoch’s stance highlights the broader challenges facing Western democracies in balancing immigration policies with social and economic realities. The push for stricter immigration laws often stems from a desire to address public anxieties about change, yet it risks creating more problems than it solves.

For Badenoch, the stakes are particularly high. As the leader of a Conservative Party still reeling from electoral defeat, her policies will shape the party’s identity and future prospects. Recall she was elected as the party’s new leader, replacing former Prime Minister Rishi Sunak who stepped down after the party’s disastrous performance in July’s general election. In fact, a hardline approach to immigration may resonate with certain segments of the electorate, but it risks alienating moderates and minorities.

On the path forward, it is germane to opine that true leadership requires a vision that transcends short-term political gains. Badenoch has an opportunity to redefine the immigration debate by advocating for policies that are inclusive, humane, and economically sound. She could address legitimate concerns about integration and resource allocation without resorting to divisive rhetoric or draconian measures.

Her focus should be on strengthening systems to manage migration effectively, rather than imposing arbitrary caps that could harm the economy and tarnish the UK’s reputation as an open and welcoming society.

It is bad enough that Kemi Badenoch, the daughter of immigrants, seeks to tighten immigration laws in ways that may shut the door on others like her. But it would be worse if her policies undermine the very fabric of diversity and opportunity that has made Britain a global powerhouse.

Migration is not a problem to be solved but a reality to be managed wisely. Badenoch must recognize that her legacy will not be defined by how she restricts immigration but by how she fosters a society where everyone, regardless of origin, can contribute and thrive.

The world is watching, and history will judge.

It has been long since I saw anything like it. Since last week, when the Senate turned down objections from some members and [hurriedly] admitted Federal Inland Revenue Service [FIRS] Chairman Zach Adedeji and other experts [interested parties, is more like it] to brief it on the contents of the four tax reform bills lying before it, a clerical and social media storm enveloped Northern Nigeria this past weekend. Leading Muslim clerics all over the region converted their pulpits during last Friday’s congregational prayers to lambast Deputy Senate President Barau Jibrin, who chaired that particular Senate session [with Senate President Godswill Akpabio strategically absent], for allowing in the government officials to brief the Senate when it was not on the order paper.

Sure, it was a curious thing to do. DSP later explained that most Nigerians, including many members of the National Assembly, had either not read nor comprehended the fine details of the bills in question and the input of experts would therefore help. That is true, except that the right time to call them in would have been when the relevant legislative committees hold public hearings on the bills. This is not far away, since the Senate passed the bills for second reading, after which they will be referred to committees and all stakeholders can then come forward to make their inputs.

So why should such a small procedural misstep ignite so much passion and allegations? Well, because, in the past few weeks, the impression has been created, in the North if not in the rest of the country, that the Tinubu Presidency is hell-bent on ramming these tax reforms bills through, for that matter in great haste. Back in October, a major meeting of Northern state governors, traditional rulers and other community leaders objected to the bills and feared that they could reduce the Northern states’ takings from Value Added Tax, VAT, which today is a major contributor to the Federation Account.

Quite likely, the Presidency viewed that stance as political blackmail and proceeded with the bills, though that was unwise. Governors and traditional rulers from 19 states out of 36 is a sizeable number. Nor are they known rabble-rousers. Thirteen of the 19 Northern governors belong to the President’s own party, APC, which suggests that there was no harmony even within the ruling party on these bills. In Nigeria, state governors are the most politically potent persons after the Presidency. APC has a total of twenty state governors in the whole country, and if 13 of them sign on to the dissatisfaction, there will be no harmony even in the party’s National Executive Committee meeting.

To boot, they were joined in the protest by the North’s most prominent traditional rulers, including Sultan of Sokoto, Shehu of Borno, Emir of Zazzau, Etsu Nupe and Ohinoyi of Igbirra. Now, one may suspect that traditional rulers only do the bidding of governors. I don’t think that is the case because in recent decades, these traditional rulers include retired Army Generals, retired Police, Customs and Security Service commanders, big businessmen and even a professor or two. They are strong enough to pull back if they felt that the governors were taking them for a political ride.

The cross-party nature of the gathering should have also given the Presidency a cause for pause. Five of the Northern governors are PDP members, including the Chairman of the PDP Governors Forum. One of them belongs to NNPP. All these non-APC governors have hot political issues with APC chapters in their states, so their coming together with APC governors on this issue should be noteworthy. At the very least, the views expressed by this gathering deserved engagement, education, enlightenment and persuasion in order to dispel their fears regarding the bills. As far as we could see publicly, nothing of the sort happened, though there may have been some moves underground.

Perhaps the Presidency did not want to cave in to the Northern leaders’ demand on these bills so as not to be seen in the West, and in the South generally, as having caved in to the North. Even if that is the case, it was much less understandable that the Presidency ignored the advice of the National Economic Council [NEC], chaired by the Vice President, to withdraw the bills from the National Assembly and allow room for more consultation. NEC includes all the country’s 36 governors. Its resolution was read by the Governor of Oyo State, who is not known to be anyone’s lackey and who in fact crossed party lines to help APC candidate Tinubu to win his key state in last year’s elections. Besides, no state governor has as yet come out to say he did not agree with the resolution. All they asked for was time for more consultation.

While many members of the National Assembly have been described as bench warmers and the Deputy Senate President himself suspects that many members have either not read nor understood the contents of the bills, state governors are on the whole of higher quality than the MPs. One of them is one of the country’s leading economists. Governors have more staff help than MPs, and almost every one of them must have assigned his commissioners and advisers to brief him on the implications of the tax reform bills with respect to his state. Besides, the Federal Government’s key economic managers, including the Finance, Budget and Planning Ministers and Governor of the Central Bank all sit in the NEC. The Vice President, who chairs it, is no push over in these matters either, as a former banker, state finance commissioner, two-term governor and senator.

It was shocking indeed when the Presidency publicly declared that it will not heed the request of NEC, the country’s highest economic advisory body, and that the bills should instead continue through the legislative process! Now, in a clime where the legislature has demonstrated visible capacity and independence, that would have been okay, because the MPs themselves can be relied upon to scrutinize the bills and admit the feelings of their constituents. I was once part of a media team that visited a US Congresswoman in Washington D.C, who chaired a House sub-committee. She told us that she had forty aides, including many researchers and pollsters. The latter constantly conduct opinion polls in her constituency to find out what her constituents are thinking before she takes a position on any bill.

Here in Nigeria, MPs may not have professional pollsters as aides [the “opinion polls” published ahead of last year’s elections were a fiasco] but they sure have their traditional means of knowing the feelings of their constituents. Quite often, they ignore these locals’ feelings in order to ingratiate themselves with powers in the Presidency or the party leadership. Why because, these powers can more predictably ensure an MP’s return to his seat in the next election than the feelings of his constituents. State governors are however a different kettle of fish. In most cases they were the ones that nominated, supported, bankrolled and in some cases, rammed MPs through to their seats. They could also undo them in the next election. When the Presidency and an MP’s state governor are pulling in different directions on this matter, then he or she is caught between a rock and a hard place.

When you take all these pieces of the jigsaw puzzle into consideration, it was inevitable that the impression was created in many minds that the Tinubu Presidency is bent on ramming through these four tax bills through the National Assembly irrespective of anyone else’s feelings. Such a stance naturally breeds suspicions. Matters are not helped by the widespread feeling that the current National Assembly is a rubber stamp which always does the President’s bidding. However useful and beneficial to the country a leader believes a certain measure is, it is a sacred duty to educate and enlighten citizens. An American professor who visited Nigeria fifteen years ago said the fulfilment of democracy is the process, not the outcome. If all the correct procedures are followed without manipulation, then democratic expectations are fulfilled even if the final outcome turns out to be wrong. Adopting a know-it-all stance could prove to be ruinous in the long run.

The little public debate on the substance of these bills so far has already thrown up issues which, with wisdom and national peace in mind, could be artfully resolved. For example, the point has been made about the calculation of VAT for derivation purposes and the fact that big companies lump up all the tax and pay it at the location of their head offices. That is a point to ponder. The point has also been made that states that ban alcohol consumption in their states still benefit from VAT collected from it during the sharing process. As the former chairman of the Revenue Mobilisation, Allocation and Fiscal Commission [RMAFC] explained two years ago, alcohol is not an important VAT contributor as some people think. Still, VAT from alcohol could be removed from the whole collection and shared to only states where alcohol consumption is legal [never mind it is still consumed even in the states where alcohol  is banned, especially in mammy markets adjoining military barracks].

This brings me to another aspect of the methods being used by both proponents and opponents in this tax reform bills imbroglio. Personally, I do not support the religious blackmail tactics often employed by clerics in the course of political debates. Of course they are citizens too and they are entitled to their views, but I don’t think the pulpit is the right place to campaign against a non-moral, non-religious piece of legislation. A  friend and colleague of mine will remember that two years ago, I criticised a column article he wrote in which he described our senators as “agents of Satan” because they passed a Corporate Affairs Commission amendment law that Pentecostal churches’ leaders did not like. Why not simply go to the public hearings and make rational, instead of sentimental arguments?

Personally, I do not support the clerics’ all-out assault against DSP Barau Jibrin. But since my view is totally unlikely to influence them, my advice to the Presidency is to soften on this matter and not put pressure on DSP, House Speaker and other MPs, especially those from the North, to ram through these bills without further consultation and consensus building. Otherwise, it could win the battle and lose the war, because in the medium and long run, its friends in the region will be politically ruined. 

In reflecting on Nigeria’s leadership journey, Bishop Matthew Kukah, a Catholic priest, activist, and philosopher, delivers a searing observation: “Almost every leader who came to power did so by accident.” With these words, he stirred an hornets’ nest, igniting a spirited discourse on the nation’s perennial struggle with leadership.

Kukah’s critique strikes a resonant chord with voices like former President Olusegun Obasanjo, who has long lamented the opportunistic nature of Nigeria’s leadership selection. It also echoes the trenchant wisdom of Chinua Achebe, who famously diagnosed the nation’s ailment in The Trouble with Nigeria: “The trouble with Nigeria is simply and squarely a failure of leadership.” Achebe’s words, though decades old, still carry the weight of an unheeded warning, underscoring the cyclical nature of Nigeria’s governance woes.

This column seeks to interrogate Kukah’s provocative theory, dissect its implications for governance, and chart pathways to reform the nation’s leadership recruitment process. At the core of this analysis lies an urgent imperative: to confront the systemic failures that perpetuate unprepared leaders and to cultivate mechanisms that nurture visionary and capable stewards. For Nigeria to transcend the quagmire of accidental leadership, the nation must embrace deliberate, transformative change—one that prioritises competency, character, and a clear sense of purpose over happenstance.

A shared understanding of an accidental leader would be helpful in the interrogation of what the bishop said. An accidental leader, from base understanding, is one who came to the office without requisite training or necessary preparation. It refers to a scenario where individuals ascend to power without adequate preparation, experience, or strategic vision. This phenomenon is not unique to Nigeria but is particularly pervasive in its political landscape, where political actors often emerge through circumstantial opportunities rather than deliberate grooming or merit-based processes. These leaders frequently lack the fundamental skills necessary for effective governance, resulting in poor decision-making, reliance on narrow circles of influence, and an inability to address critical national challenges. For instance, between 1999 and 2023 under the present democratic era, Nigeria experienced significant challenges under leaders like Umaru Musa Yar’Adua, who, despite his integrity, struggled with health issues that hindered governance, and Goodluck Jonathan, who admitted he was unprepared when he unexpectedly became President following Yar’Adua’s death. Same goes for President Buhari.

Accidental leaders differ significantly from prepared leaders in several ways. They often lack a clear vision, operate without a coherent strategy or strategic plan, and struggle with effective execution. Their knowledge is limited, they are indecisive, and they rarely take responsibility for their actions. These leaders typically have a narrow circle of influence, and dishonesty can further undermine their leadership. In the specific context of Nigeria, unprepared leaders tend to exhibit unpatriotic and nepotistic tendencies. Their shallow understanding of the nation’s challenges often leads to misguided solutions to critical developmental issues.

Governance under such circumstances often results in short-term thinking, nepotism, and an indifference to the broader national interest. These outcomes are reflected in Nigeria’s inability to meet key development indicators. For example, as of 2024, over 40% of the population lives below the poverty line, and unemployment hovers at 33.3%, according to the National Bureau of Statistics. These figures are further compounded by insecurity, with over 10,000 people reported killed in banditry and insurgency-related violence annually in recent years. Such statistics reveal the broader implications of accidental leadership: leaders unprepared for the demands of office often fail to tackle systemic issues or establish the conditions necessary for sustained national growth. This not only hampers economic development but also undermines social cohesion and national unity, perpetuating a cycle of underdevelopment and instability.

By contrast, prepared leaders with prior exposure to governance, leadership roles, or structured mentorship are equipped with clear goals, strategic vision, and the capacity for effective policy execution. These leaders inspire confidence and focus on long-term national development, offering a beacon of hope for the country’s future. Examining global leadership recruitment systems highlights the importance of grooming leaders systematically. For example, the United Kingdom’s parliamentary system emphasizes years of experience in lower offices, enabling figures like Margaret Thatcher and Tony Blair to rise with proven credentials and a record of policy achievements. Similarly, Singapore’s Lee Kuan Yew transformed his country from a struggling island to a global hub through decades of planning and visionary leadership. In China, the Communist Party systematically grooms leaders over decades, requiring them to serve in various regional and national roles before ascending to top positions. Xi Jinping, for instance, served in provincial leadership for years, gaining experience in administration, policy formulation, and implementation before becoming president. These systems contrast starkly with Nigeria’s, where party loyalty and opportunism often outweigh competence.

In Nigeria, the historical trajectory of leadership since 1999 reveals a pattern of accidental leaders propelled to power by chance, opportunism, or external influence. The result has been inconsistent policies, failure to diversify the economy, and an inability to tackle pressing issues such as unemployment and insecurity. President Muhammadu Buhari’s administration (2015–2023) is a case in point: while his initial election was greeted with optimism, delays in forming a cabinet and a lack of clear economic direction in the early years of his presidency hindered his administration’s ability to tackle pressing issues. At the state level, governance mirrors this trend. Many governors have been criticised for prioritizing political survival over developmental goals, exacerbating local challenges. These failures manifest in poor policy formulation, resource mismanagement, misplaced priorities and a lack of continuity in governance.

Prepared leaders globally, such as Mahatma Gandhi, Lee Kuan Yew, and Nelson Mandela, exemplify how strategic preparation, mentorship, and clear vision can transform nations. Gandhi’s nonviolent resistance and vision for a unified India, Yew’s emphasis on meritocracy and strategic governance that turned Singapore into an economic powerhouse, and Mandela’s post-apartheid leadership that emphasized reconciliation and institution-building, creating a framework for South Africa’s fragile democracy, are all powerful examples. Joe Biden’s decades of experience in U.S. politics prepared him to handle complex governance challenges, including navigating the post-COVID-19 pandemic economic recovery. Conversely, accidental leaders often produce short-lived policies, foster corruption, and exacerbate socio-economic instability. Haiti, for instance, has suffered from a cycle of accidental leadership, perpetuating political instability and underdevelopment. These global examples underscore the need for Nigeria to systematically groom leaders who can navigate complex governance challenges and build long-term resilience.

The leadership crisis in Nigeria is rooted in systemic and structural issues. Party structures prioritize loyalty over competence, and electoral processes often reward popularity rather than merit. In the 2023 elections, many elected officials were chosen based on party endorsements rather than competence, independent credibility or a track record of public service. Weak institutions further fail to hold leaders accountable, and divisive ethnic and religious politics prioritize sectional interests over national unity. These factors are compounded by public apathy: a 2023 survey by Afrobarometer revealed that only 34% of Nigerians believe their votes influence governance outcomes, highlighting a lack of faith in the political system. This disconnection fosters a cycle where citizens disengage from political processes, reducing accountability and enabling the emergence of incompetent leaders.

It is established that there exists a strong correlation between leadership preparation and performance. Going by this measure, it is not in dispute that most of our elected and appointed leaders have not performed in office. How can we improve the quality and preparedness of those who attain public office? This should be our preoccupation for now. Does Nigeria have trained or prepared leaders? Where and when do leaders train for their role?  Are they motivated? These questions merit serious consideration.

To address these challenges and create a system that produces prepared leaders, leadership training and development must become institutional priorities. Establishing leadership academies, such as the proposed National Institute for Leadership Development, could help build competence. Incorporating leadership education into school curricula and creating mentorship programs can also build a pipeline of skilled leaders. Institutional reforms are critical, including strengthening electoral integrity to prioritise merit-based selection and enhancing transparency mechanisms to evaluate leaders’ preparedness and performance. For instance, adopting a primary debate system like those in the U.S. could help assess candidates’ policy depth. Citizen engagement is equally vital; educating the public on the importance of leadership quality and encouraging active participation in political processes can drive demand for visionary leadership.

The debate on whether leadership is an innate or a skill that can be learned underscores the importance of structured training. While some argue that leadership is a natural trait, examples from global systems such as Singapore and China’s meritocratic model, and Britain’s parliamentary system suggest that systematic preparation enhances governance effectiveness. In Nigeria, most leaders lack innate qualities and formal training, perpetuating systemic failures. Developing platforms for systematic leadership grooming, such as state-level training programs for young politicians, is essential.

Bishop Kukah’s assertion about accidental leadership underscores a fundamental issue in Nigeria’s governance: the prevalence of leaders emerging from flawed recruitment processes that favour expediency over competence. This phenomenon has entrenched systemic challenges, as unprepared leadership often leads to poor governance. By contrast, global examples illustrate the transformative impact of well-prepared leaders. For Nigeria to progress, it must prioritise leadership development, reform political structures to value competence, and actively involve citizens in cultivating visionary leaders. Addressing this leadership vacuum is essential for the country to realise its full potential.

The Attorney-General of the Federation (AGF) and Minister of Justice, Lateef Fagbemi (SAN), has warned that corruption in the judiciary and the abuse of power can contribute to the breakdown of the rule of law and diminish public confidence in the judicial system.

Fagbemi stated this in his keynote address at The Gavel International yearly lecture 2024, themed “The Judiciary as the Last Hope of the Common Man: Media and Legal Perspectives,” in Lagos.

According to him, when the judiciary fails in its duties, it erodes public trust and hampers social progress in the country.

He stressed that the integrity and efficacy of the justice system largely shape the future of a nation.

Besides, he warned that if the judiciary fails to create an equitable future, society could face long-term consequences, including a rise in civil unrest and a diminished belief in the legal system as a vehicle for justice.

The minister emphasised that the judiciary’s role is foundational to the maintenance of justice and societal harmony, saying that its principal function is to provide fair and impartial resolutions to disputes, interpret laws, and safeguard individual rights.

Fagbemi, who noted that the Nigerian judiciary is one of the most respected in Africa, warned that protracted trials not only delay justice but also discourage individuals from pursuing their cases, particularly when they feel their grievances will never be resolved.

He explained that such delays can erode trust in the judiciary, as people may begin to feel that justice is inaccessible or ineffective.
In his lecture, former General Secretary of the Nigerian Bar Association (NBA), Dele Adesina (SAN), described the judiciary as an institution he is committed to defending and advancing at all times.

Adesina said the judiciary is not only the last hope of the common man but also the last hope of the uncommon, educated or illiterate, rich or poor, as well as the government and the governed.

He stated that the golden rule of practice is that the media must not make any comments that could prejudice a fair trial.

“The media should be wary of this. Trial by the media in criminal matters prejudices the minds of the populace and leads them to hold the court in contempt and dishonour when it ultimately reaches a conflicting or different verdict.

“More often than not, allegations of compromise and corruption are made against the judge. This is very unhealthy for the development of our legal system and judicial process.

“Our media can serve the judiciary better by promoting quality analysis of court judgments by knowledgeable individuals. This can be done through lectures of this nature, analysis by informed individuals, or the publication of journals,” he said.

[Guardian]

The Tertiary  Education Trust Fund (TETFund), National Agency for Science and Engineering Infrastructure (NASENI) and National Information Technology Development Agency (NITDA) will all cease to exist if the four Tax Reform Bills currently being considered by the National Assembly were passed into laws.

This was disclosed by Borno State governor, Prof. Babagana Umara Zulum, while speaking on Channels TV’s programme, ‘Sunday Politics’, which was monitored by our Correspondent on Sunday night.

LEADERSHIP reports that the contentious Bills are the Joint Revenue Board of Nigeria (Establishment) Bill, 2024 -SB.583; The Nigeria Revenue Service (Establishment) BILL, 2024- SB.584; The Nigeria Tax Administration Bill, 2024-SB.585; and the Nigeria Tax Bill, 2024 – SB.586.

Zulum, who said neither himself nor any Northern governor was against President Bola Tinubu over the Executive Bills, however, noted that they were only craving for dialogue and adequate consultation about the proposed legislations in order not to be short-changed.

“This is a democratic setting, we need more time. People have told the President that governors are against him, we didn’t say anything like that. We know the powers of the President, I am a system man, I respect him, if the President want to use his powers to pass the Bills, he may have his way but it has consequences for the people,” Zulum stated.

The governor expressed reservations about some of the provisions of the Bills, which include the status and nomenclature of the current Federal Inland Revenue Service (FIRS) upon passage of the Bills into law, to assume the power of being the only tax collection agency in Nigeria, questioning whether the agency has the structures in place to execute such mandate.

“Another provision of the Tax Bill is that by 2029 TETFund will be scrapped because companies will cease to support TETFund according to the law…NASENI will be scrapped in 2029…NITDA will be scrapped…These are some of our concerns,” the Borno State governor explained.

Zulum also explained that if the Bills scaled through and become laws, 34 States of the Federation would be shortchanged as only Lagos and Rivers States would be the main beneficiaries.

“Let them give us facts and figures, let them convince us,” Zulum stated, warning that there would be consequences for Nigerians if President Tinubu go ahead to get the Bills passed into law at all cost.

It will be recalled that President Tinubu had in October forwarded the four executive Bills to the National Assembly for passage into laws. On November 28, the Tax Reform Bills passed the second reading stage in the Senate, while the House of Representatives has fixed Tuesday for debate on the proposed legislations.

[Leadership]

Barring any last-minute changes, the Central Bank of Nigeria (CBN) will soon retire about 1,000 of its employees before the end of the year, investigations by Daily Trust have shown.

Reliable sources at the apex bank’s headquarters revealed that the retirement would gulp over N50 billion in payoff to the affected workers.

In what it described as a strategic realignment of its workforce, the CBN’s Board of Governors, led by Olayemi Cardoso, had expressed commitment to reducing the workforce.

In the last 10 months, the CBN had disengaged many of its staffers, including 17 directors, who served under the immediate past governor, Godwin Emefiele.

Those 17 directors are yet to be replaced.

A circular released three weeks ago by the CBN, sighted yesterday by our reporter, said the application for Early Exit Package (EPP) was open to all cadres of staff and will close by Saturday,  December 7.

Exempted are those yet to be confirmed or who have served less than one year “as of the date of publication with the effective date of exit set at 31 December, 2024.”

Officials told Daily Trust that the apex bank was targeting retirement of over 1,000 staff members.

The officials, who pleaded anonymity, told our correspondent that at least 860 staff from the various departments have already applied for the EPP.

The management described the EEP as a voluntary programme offering eligible employees an incentive to exit the CBN early, “while providing employees seeking other career options a great opportunity for early exit.”

It cautioned that the staffers could not change their minds after applying, saying that all completed and submitted applications are final.

The EEP stated that financial incentives for senior supervisors to deputy managers shall be for the remaining period in service, up to a maximum of 60 months of current grade’s gross annual emoluments.

It also noted that financial incentives for managers shall be for the remaining period in service, up to a maximum of 36 months of current grade’s gross annual emoluments.

“Financial incentives for all other cadres of staff shall be for the remaining period in service, up to a maximum of 18 months of current grade gross annual emoluments,” it added.

The EEP also provides for non-financial incentives, including “financial planning and entrepreneurial capacity building programme, purchase of laptops in line with the Bank’s current policy and extended medical care for an additional three months for self and dependents after the expiration of the three-month current provision of access to medical windows care by exited employees.”

‘They’re offering me N97m for 4-yr service’

A staff member, who spoke to our reporter, said: “The way they dated the offer, you’ll know that the target is actually from senior supervisors to deputy managers. If you look at it, they’re mostly those that came in within the 9 years of Governor Emefiele.

“For instance, I’ve worked for 4 years in the bank; the package they’re giving me is between N92 million to N97 million.

“Some others have worked up to a manager level and are only entitled to N64.5 million. So, the more time you have to go, the more money they pay you because you know, for them, you don’t have gratuity”, the staff said.

Another staff told Daily Trust yesterday that during a webinar held on Friday, the Human Resource Department of the bank expressed the apex bank’s decision to get the number it was targeting for the EEP.

“There is serious tension, serious apprehension. You can imagine the atmosphere. It is terrible.

“As of Friday, there were 860 people so far that have indicated interest in the EEP,” the staff said.

17 sacked directors yet to be replaced

The 17 directors sacked 10 months ago and those who retired then are yet to be replaced.

Information on the CBN’s website yesterday showed that each of the 13 departments is headed by a coordinator.

A circular for replacement specified that deputy directors who have two years or less to retire are not eligible for consideration, and that each applicant must apply for only one of the positions listed as multiple applications may lead to disqualification.

Daily Trust’s investigations revealed that following the outcry that greeted the perceived bias against serving deputy directors, some of them were allegedly invited to apply for the vacant positions.

A senior staff stated that: “As it is, most of those who should qualify were affected alongside the sacked directors.”

Some of the sacked directors had, four weeks ago, approached an Abuja division of the National Industrial Court of Nigeria for an interlocutory injunction to restrain the CBN from replacing them, saying their employments were “unlawfully terminated without a valid reason.”

CBN keeps silent

When contacted by Daily Trust for comments on the decision to send about 1,000 staff on early retirement, the CBN’s Director of Corporate Communication, Hakama Sidi Ali, neither answered calls nor replied to a text message sent to her.

What CBN’s policies and procedures manual says

Section 16.0 of the CBN’s Human Resources Policies and Procedures Manual (HRPPM) titled  ‘Cessation of Employment’, specifies that in every case of separation from the employment of the bank, it is the objective of CBN to make separations as amicable as possible for both the employee and the bank.

Section 16.3.5 notes that an employee’s Normal Retirement Date in CBN should coincide with the date the employee is 60 years old or has put in 35 years of service.

“Early retirement can be considered when the employee has served for at least 10 years, and is only granted at the discretion of management,” it said.

According to the manual, the CBN feels that the retirement of an employee should be an occasion for celebration and for recognition of the individual’s contributions to the bank.

However, Section 16.4, which specifies the condition for redundancy, stipulates that redundancy means involuntary and permanent loss of employment as a result of excess human resource.

It said the redundancy processes are designed to provide a framework to manage change, where that change involves termination of employment.

“Adversely affected employees are given the opportunity for early separation from the bank.

“Consultation with the Joint Consultative Council is essential, and a fair process is mandatory.  Employees who are adversely affected may appeal decisions made by the head, human resources,” it said.

The manual said the grounds for redundancy require that employment may be terminated for economic, technological, structural or similar reasons.

[DailyTrust]

As the president Bola Tinubu’s Tax Reform Bills continues to attract heated debates across the nation, some socio-cultural organizations in the country have also stated their positions on the matter.

DAILY POST reports that the controversy surrounding the tax bills followed a stiff opposition from stakeholders in the Northern part of the country.

The journey to the now controversial bills began in July 2024 when President Tinubu inaugurated the Presidential Fiscal Policy and Tax Reform Committee, PFPTRC.

The committee subsequently informed Nigerians of the move to replace the National Tax Policy with a more comprehensive “National Fiscal Policy on Fair Taxation, Responsible Borrowing and Sustainable Spending”.

This birthed the four bills, including the Nigeria Tax Bill 2024, the Tax Administration Bill, the Nigeria Revenue Service Establishment Bill, and the Joint Revenue Board Establishment Bill. They are currently before both chambers of the National Assembly for passage.

DAILY POST reports that the contention over the bills, among other things, is the sharing of the Value Added Tax as proposed by the bills.

The principle of sharing 60 per cent of VAT revenue through the derivation principle has continued to spark debates, with the northern elites leading the opposition.

According to some of the northern stakeholders, the VAT arrangement would favour Lagos and a few other Southern states because they host many company headquarters.

DAILY POST reports that the controversy started on October 29 when the Northern Governors and traditional rulers from the region rejected the Tax Reform Bills.

Following their stance, the National Economic Council, NEC, on November 1, during its 145th meeting in Abuja, advised the president to withdraw the bills.

President Tinubu, however, insisted that the bills should be allowed to go through legislative processes.

Despite the opposition, the Tax Reform Bills on Thursday last week passed second reading at the upper legislative chamber.

Airing their own views, some socio-cultural organizations in the country, including Afenifere, Ohanaeze Ndigbo and Arewa Youths Forum, AYF, stated their positions in separate interviews with DAILY POST on Sunday.

Our correspondent reported that while Afenifere and Ohanaeze apparently backed the bills, the Arewa youths expressed mixed feelings.

FG has been unfair to North in terms of distribution of resources – AYF raises concerns

The President General of the AYF, Yerima Shettima told DAILY POST on Sunday that prior to the introduction of the bills, the Federal Government has not been fair to the North in regards to the distribution of national resources.

He noted that while a monolithic stance on the controversial tax bills is unlikely, “our concerns generally revolve around equity, fairness, and the potential for disproportionate burden on the Northern region.

“Our primary concern stems from the perception of inequitable distribution of resources and infrastructure development across the country.

“We believe that despite contributing significantly to the national GDP through agriculture and other sectors, the North historically receives less in return in terms of public services, infrastructure investment, and developmental projects.

“Consequently, the introduction of new taxes, without addressing this existing imbalance, is viewed with skepticism.

“They believe that increased taxation without corresponding improvements in infrastructure – roads, schools, hospitals – would unfairly burden a population already struggling with poverty, unemployment, and limited access to essential services.

“Another key concern is the potential impact of the tax reform on informal sectors which heavily dominate the Northern economy.

“A large portion of the Arewa youth population is employed in the informal sector – agriculture, small-scale businesses, and artisanal trades – which often operates outside the formal tax net.

“The implementation of the tax reform bill, particularly if it extends tax obligations to the informal sector, could pose a significant challenge. We fear that increased tax burdens could cripple these businesses, leading to job losses and further economic hardship”.

According to Shettima, the lack of adequate education and awareness about tax regulations in the country also exacerbates their concerns on the proposed bills.

According to him, “many young people in the informal sector lack the knowledge and resources to understand and comply with new tax laws, potentially leading to fines and penalties, further marginalizing them economically.

“Furthermore, our position is also influenced by the perceptions of governmental transparency and accountability.

“Mistrust in government institutions and concerns about the proper utilization of tax revenue are prevalent.

“We question whether the increased tax revenue generated will be effectively utilized for the benefit of all Nigerians, or if it will be mismanaged or disproportionately benefit certain regions.

“Concerns about corruption and lack of accountability in government spending further fuel this skepticism and contribute to our reluctance to embrace tax reform without robust guarantees of transparency and equitable distribution of resources.

“The lack of visible development projects and infrastructure in the North, despite past tax contributions, strengthens our belief that increased taxation without guarantees of responsible governance is unproductive.

“The absence of robust engagement and consultation with the Arewa youth by the Northern Senators during the formulation of the tax reform bill is a point of considerable frustration.

“We feel our concerns and perspectives have been largely ignored in the decision-making process.

“This lack of inclusivity fuels our distrust and reinforces our opposition to the bill in its current form.

“We call for a more participatory approach that involves meaningful dialogue and addresses our specific concerns before implementation”.

Industrious Igbos will benefit from tax reform bills – Ohanaeze backs President Tinubu

Factional Secretary-General of Ohanaeze, Okechukwu Isiguzoro told DAILY POST that after thorough consultations and evaluations, the organization realized that the Tax Reform Bills would have more benefits to the people.

According to him, the tax reform bills are not merely legislative proposals, stating that they represent a transformative opportunity for the rejuvenation of Small Medium Enterprises (SMEs) and the enhancement of the fortunes of Nigerian workers.

He believes that by “eliminating the scourge of double taxation imposed by unscrupulous state governors, these reforms will pave the way for an equitable business climate that significantly elevates both local and foreign investment potential.

“The Igbo people, renowned for our entrepreneurial spirit and unwavering commitment to economic self-determination, stand to gain immensely from these reforms.

“The proposed measures are expected to safeguard the private sector, particularly benefiting the industrious Igbos who play a pivotal role in driving the Nigerian economy through vibrant SME activities.

“In an environment characterized by fairness and transparent regulations, we are confident that the majority of the benefits arising from these tax reforms will bolster our endeavors, facilitating growth and fostering robust business opportunities.

“In light of these compelling advantages, Ohanaeze Ndigbo ardently calls upon all Southern Federal lawmakers, both in the Senate and the House of Representatives, to unify their efforts in support of President Tinubu’s transformative restructuring program within Nigeria’s economic and fiscal sectors.

“It is imperative that our Southern legislators close ranks, transcending partisan divides, to ensure that the Tax Reforms Bills navigate both chambers of the National Assembly successfully.

“We wish to reiterate our unwavering commitment to show solidarity with President Tinubu, as we expect that the Southeast Federal lawmakers will provide essential backing to these initiatives.

“This collective support is particularly noteworthy as it underscores our strategic alignment with the President following our decision to abstain from nationwide protests in August 2024, a decision made in the spirit of dialogue and cooperation.”

Isiguzoro, however, expressed concerns over the “substantial opposition that has emerged from certain factions within Northern Nigeria regarding these critical reforms”.

He alleged that Northern governors “are mobilizing their forces to stifle the progression of the Tax Reforms Bills within the National Assembly, relying on their numerical predominance to assert undue influence.

“This orchestrated opposition appears driven by a desire to perpetuate the current VAT derivation principles that unjustly favour select interests at the expense of equitable national growth.

“The implications of such maneuvers are profound. If the Northern political elites succeed in thwarting President Tinubu’s initiatives, it could set a dangerous precedent, fostering a climate of resistance against meaningful reform.

“This scenario poses a tangible threat not only to the President’s agenda but also to the broader economic aspirations of millions of Nigerians who yearn for a reformed and equitable system,” he said.

Ohanaeze urged all stakeholders, including lawmakers, business actors, and citizens, to “unite in support of these pivotal Tax Reforms Bills”, insisting that the promise of a “prosperous and just Nigeria is within our reach, but it demands our collective resolve to advocate for transparency, equity, and sustainable economic growth”.

Every state has opportunity of deriving maximum benefits – Afenifere counters northern leaders

On his part, Afenifere’s National Publicity Secretary, Comrade Jare Ajayi said the organization was of the opinion that using or including ‘derivation’ as a factor of distribution would not deprive the Northern States or any other state what is due to them.

Speaking on the concerns raised over the derivation method, Ajayi said “since people consume items and patronize services in every state, there is no reason any state will not benefit from the proceeds of VAT collected in their domains”.

Ajayi stated that the position of Northern stakeholders “further underscores the imperativeness of restructuring the country urgently so that each constituent part, zone or region etc, would be in a position to exploit and largely control the resources within its enclave”.

He added that such an arrangement would not only encourage a healthy competition, it would motivate states and individuals.

He further asserted that rather than trying to look at the assumed areas that the VAT Amendment Bill would be a disadvantage, stakeholders should look at the many positive aspects of the proposed Act and suggestions made on areas needing improvement.

“From experience, where the derivation formula has been applied such as the Niger Delta etc., benefiting states have been the gainers for it.

“Since every state has a population that can engage in activities capable of enhancing VAT, it means that every state has the opportunity of deriving maximum benefits from the new arrangement being proposed”, Ajayi added.

[DailyPost]

• Workers down tools in Kaduna, Ebonyi, Nasarawa, FCT
• No strike in Oyo, Ekiti,  Abia, Imo, others

Workers in three states and the Federal Capital Territory (FCT) resolved at the weekend to boycott work from today over the disagreement with the authorities on implementation of the new minimum wage.

In some other states, there is confusion following the directive by the national secretariat of the Nigeria Labour Congress (NLC) for workers in those states to embark on strike over the issue.

Some of the state councils of the NLC are threatening strike not based on the refusal of the state governments to pay, but due to lack of mutual agreement on what is being offered.

The NLC and Trade Union Congress (TUC) councils in Ebonyi, Nasarawa, Kaduna and the Federal Capital Territory (FCT) have directed their workers to begin strike today.

In all these states, the governments had announced a minimum wage to be paid but there is disagreement on the mode of implementation.

Ebonyi has announced N75,000; Nasarawa, N70,500; Kaduna, N72,000 and FCT, N70,000.

The Minimum Wage Act 2024 stipulates N70,000 for the least paid worker.

The Federal Government commenced payment in September. More than 30 states have sealed agreements with their workers to pay various amounts ranging from N70,000 to N85,000 being paid by Lagos and Rivers states.

In Kaduna, the state government said it had commenced payment, but the workers kicked, saying there was no consequential adjustment.

In Ebonyi, where government has proposed N74,000, workers rejected it, saying it was a unilateral decision taken without consultation.

In FCT, workers in the area councils said there is no agreement to pay although Federal Capital Territory Minister Nyesom Wike announced N70,000 as minimum wage.

At the weekend, NLC President Joe Ajaero, listed Abia, Oyo and Ekiti states among states councils directed to begin strike over the non-implementation of the Minimum Wage Act. But the state union chapters clarified that they were listed in error.

Workers in Sokoto and Akwa Ibom states, who have engaged their governments in a running battle over the wage matter, are yet to decide on the option of industrial action.

Kaduna: workers begin warning strike

Kaduna workers will today begin a one week warning strike over what they described as the non-implementation of the new wage.

The state NLC chairman, Comrade Ayuba Magaji Suleiman, said: “We are set to embark on warning strike starting from tomorrow (today) as instructed by our national leaders.”

However, government has decried the decision, saying it has not defaulted in implementation.

Governor Uba Sani’s Chief Press Secretary, Malam Ibraheem Musa, chided NLC for lumping Kaduna State with other states that have defaulted, describing it ‘’as grossly unfair because the least paid worker received N72,000 as gross salary in the month of November.’’

Musa added: “Governor Uba Sani has complied with the spirit and letter of the National Minimum Wage Law, by paying the lowest paid civil servant N72,000 last month.

“NLC is harping on the issue of consequential adjustment, but the Labour body should realise that there is a difference between salary increment and minimum wage.

“Kaduna State receives an average of N8 billion from Federal Account Allocation Committee (FAAC) every month. It also generates around N4b monthly. That translates to N12 billion revenue monthly.

“However, the monthly wage bill has jumped from N5.4 billion to N6.3 billion with the implementation of the minimum wage last month. And there is also the deduction of N4 billion for loan payment every month.

“So, the wage bill and the deduction have gulped over N10billion of the total N12 billion revenue. That leaves only N2 billion for rural transformation, overhauling the health sector, revamping education and providing dividends of democracy to the people of Kaduna State.”

Musa insisted that it would be unfair for Kaduna State Government to spend almost all its revenue on consequential adjustments, after paying the mandatory minimum wage.

He said: “There are over 10 million people who are also entitled to the accrued revenue of Kaduna State. There are 84,827 civil servants in the state. So, it is unreasonable for government to spend over 90% of its revenue on just about one percent of the population.”

The spokesman, who described Sani as a Labour-friendly governor, pleaded with the NLC to exercise patience over the consequential adjustments, pending when government’s revenue would improve.

He said the government has already bought buses to convey workers to and from work free of charge, as part of the palliatives to cushion the effects of the economic problems.

However, the NLC chairman insisted that the strike will begin today.

He said: “We held a meeting, but we didn’t reach an agreement. The state government is not ready to implement the consequential adjustment and for us, that is unacceptable. So, we are embarking on the one week warning strike.

Also, the TUC accused the state government of unilateral implementation of the N72,000.00 new minimum wage, saying that the consequential adjustment is key.

TUC Chairman, Comrade, Abdullahi Danfulani said in a statement:“We were saddened after a careful study of the unilateral implementation of the N72,000.00 new minimum wage as announced by the Kaduna State Government during the State Executive Council (SEC) meeting of the congress held on the 30th November.

“The Council vehemently viewed it necessary to protest the unilateral manner by which the implementation of the consequential adjustments were made and this negates the principles of collective bargaining.

“However, we urge the state government to take the next step by approving the consequential adjustments to the salary tables as negotiated by the organised labour.

“We believe that this move will not only boost the morale of workers, but also increase productivity and efficiency in the public service.

“While we appreciate the state government for the consistent payment of workers’ salaries and the incorporation of workers of Kaduna State Water Corporation (KADSWAC) into the state payroll, payment of salary arrears and turn-around frame work for the revitalisation of the plant, we look forward to working with the state government to ensure a smooth implementation of the new minimum wage and consequential adjustments.

“By this communiqué the council is issuing a one week warning strike ultimatum from the day this communiqué was released.

Ebonyi workers join strike

Ebonyi NLC Chairman, Ogugua Egwu, who spoke in Abakaliki, the state capital, said the union rejected the decision of the state government to unilaterally approve a N75,000 wage for Grade Levels 1 and 2 workers and N40,000 upward review for Grade Levels 3-16.

He said the review did not meet the requirements of the new minimum wage.

Egwu said: “This wage award which was christened “minimum wage” is averse to the traditional procedures of implementing minimum wage, no matter the magnitude of the beautiful intent with which the pronouncement was made.”

Egwu noted that when a minimum wage is pronounced, it must go through the rigours of consequential adjustments that will translate into an agreement signed by both the government and Labour.

He added: “The pronouncement made was not a product of any collective bargaining agreement as we were never part of any consultation that led to the said pronouncement.

“To make matters worse for Ebonyi workers, the salary chart forced on workers and currently used did not undergo any consequential adjustment and has consistently malnourished the take home pay of workers as it lacks minimal progression.”

But the Commissioner for Information, Jude Okpor, disagreed with Labour that it was not consulted before the wage increase by the state government.

He said a committee was set up based on the panel’’s report.

Okpor added: “A committee was set up headed by the Head of Service. It was based on their report that the increased was implemented.”

Our grouse about N70,500, by Nasarawa workers

The grouse of workers on the payroll of the Nasarawa State government was the lack of written agreement on the N70, 500 the state agreed to pay.

Chairman of the committee and Deputy Governor Emmanuel Akabe announced that members met to finalise talks on the wage in his office in Lafia at weekend.

He also assured workers that the state would commence payment of the N70, 500 by December, noting that negotiations on salary adjustments were at advance stage.

But the organised Labour said it was mobilising its members for an indefinite strike after the state government delay in implementing the new minimum wage.

Chairman of the state NLC, Comrade Ismaila Okoh, said despite numerous meetings, including those chaired by Akabe, no formal agreement had been reached.

He said the state government verbally committed to N70, 500 minimum wage, but failed to provide a written agreement specifying payment terms.

The union leader further explained that all affiliate unions have been alerted and instructed to prepare for strike if the government did not implement the new minimum wage by yesterday and up to this moment; no action had been taken by the government.

“The workers are resolute, we are ready to take all necessary steps to ensure the full implementation of the minimum wage signed into law by President Bola Ahmed Tinubu,” he said.

No fund to implement  minimum wage in FCT

FCT Area Council employees resolved at the weekend to join the strike, following the directive by the NLC and TUC.

The chairman of Nigerian Union of Local Government Employees (NULGE), FCT chapter, Abdullahi Kabbi, said despite the approval of N70,000 by FCT Minister Nyesom Wike, the Area Councils have not started its implementation.

Kabbi said both Local Education Authorities (LEA), and all the six area councils will comply with the strike.

He said while FCTA staff are being paid N70, 000 Minimum Wage but chairmen claimed that they don’t have money.

He said: “We are going to comply because we have been given a directive from our national bodies. When I say national bodies I mean, the NLC and my secretary of local government employees.

“We have been served the letter that we should go on indefinite strike if we have not been paid our minimum Wage arrears and implementation.

“In FCT we have minimum Wage implementation yet to be achieved and other backlog of arrears. That is where we are now. That yes, it is a national circular and an Act that they must pay but they should give them one month or two to implement the Minimum Wage. We don’t want to agree with that because many times, if we give the Area council chairmen privilege like that, they will abuse it.

“We urge every one of our members to stay at home until our leaders hold their meeting on the next line of action. We will fight for our right.”

No strike in Sokoto

The Sokoto chapter of NLC distanced itself from the strike, saying that it is satisfied with the N70,000 minimum wage implementation by the state government from January next year.

NLC chairman Abdullahi Aliyu Jungle said: “The state branch of the NLC supports the implementation of N70,000 announced by the state government effective January 2025.

“We will also assist the state government in implementing the minimum wage, even if it means conducting screening and verification to ensure that only genuinely employed workers benefit from the new minimum wage of N70, 000.

The chairman urged workers to exercise patience while expressing confidence in the state government’s commitment to unveiling more welfare packages for the workforce.

We are not going on strike, says Imo NLC

The Imo State NLC dismissed rumours of an impending strike, emphasising its commitment to maintaining industrial harmony.

Imo NLC Chairman, Comrade Uche Chigemezu, said: “We are not going on strike. We have signed an agreement with the state government.”

Chigemezu explained that the national body’s letter, which listed Imo State as one of the states embarking on strike was issued before the state government and the NLC finalised their agreement.

Enugu pays

Workers in Enugu State have been paid N80,000 offered by the state government, some workers confirmed yesterday.

A worker said: “The thing is that some of us were credited with additional N50,000 while others got N51,000. I think they called it wage adjustment. I’m happy that the money has started coming.”

Oyo NLC lauds Makinde

The Oyo State NLC lauded Governor Seyi Makinde for sustaining the negotiation on the consequential adjustments.

NLC Secretary Comrade Adebayo Aribatise said the decision to put on hold the strike was due to the robust discussion on a favourable consequential adjustment in accordance with the N80,000 wage.

Aribatise said the Union arrived at the decision during the enlarged meeting of the State Executive Council (SEC) and State Advisory Council (SAC) where the minimum wage implementation was extensively discussed.

Aribatise said: “The attention of the Council had been drawn to the news circulating about Oyo State NLC declaring strike commencing from Monday 2nd December.

“The SEC and SAC of the NLC Oyo State Council met on Thursday 28th November, and discussed extensively on the New Minimum Wage Implementation in Oyo State and later concluded that all forms of industrial actions be put on hold since the committee set up by the government is already having a robust discussion on a favourable consequential adjustment in accordance with the pronounced N80,000 and acceptable salary table for the entire workforce in the state.

“In view of this, the Oyo State Council of NLC will not be going on strike so as to give room for the committee on consequential adjustment to get the table completed with needed endorsement for implementation within the next couple of days.

“To this end, we wish to call on the entire workers of Oyo State to remain calm while the arrangement for a robust minimum wage table for Oyo State is concluded by the joint committee of the State Government and the Labour movement.”

The Special Adviser on Labour Matters to the Governor, Adebayo Titilola-Sodo, said the Labour leaders have shown commendable understanding by not embarking on strike as directive by the national leadership.

He said as a member of the negotiation committee deliberating the implementation of the consequential adjustments, both parties (Labour and government) have made a lot of progress on the deliberation by presenting different tables which are still undergoing negotiations.

NLC listed Ekiti in error, says commissioner

The Ekiti State Commissioner for Information, Taiwo Olatunbosun, debunked the claims by the NLC that Ekiti was among the 14 states that had not concluded negotiations on the implementation of the minimum wage.

Olatunbosun said the inclusion of Ekiti on the list was made in error, recalling that Governor Biodun Oyebanji had approved N70,000 minimum wage and its consequential adjustment effective from December 1.

He said: “Ekiti have since signed the agreement, following the approval of Mr Governor more than a week ago and you are all living witness to it. If the national body has listed Ekiti as part of the states to embark on strike, that must have been done in error.

“With all due respect to the leaders of Labour union in Ekiti, I’m very sure they have communicated appropriately with the national leadership specifically on the N70,000 new minimum wage that is approved by law at the national level.

“In Ekiti, we didn’t limit at that. We have given other cadre of workers from level 2 to level 6 133% consequential increment while we give workers from level 7 to 10 110% increment.

“We also gave workers from level 12 to 14 90% consequential adjustment to their salary. And civil servants from level 15 to 16 got 77% while level 17 got 70% adjustment. We didn’t stop at that; we also considered the pensioners. We increased their monthly benefits with N20,000 across all cadres.”

The NLC chairman, Kolapo Olatunde, said the Oyebanji-led government has set machinery in motion for the implementation of N70,000 minimum wage and its consequential adjustments.

He said all documents have been forwarded to the national headquarters on the agreement reached with the state government for the implementation of the new minimum wage.

Uncertainty in Yobe

There is anxiety among workers in Yobe, following the delay in the implementation of the new wage.

The Commissioner for Finance, Mohammed Abatcha, however, reassured stakeholders that steps were being taken in that direction.

He said: “Paying workers is a top priority for this administration. We are working closely with the Assembly, and they are ready to approve the virement before the end of this month.”

Despite the assurance, civil servants are unconvinced.

Isa Abubakar, a civil servant, expressed skepticism about government’s ability to fulfil   its promise.

He said: “We hear all these announcements, but when it comes to action, things often don’t happen as planned. I’ll believe it when I see the new wage in my account. For now, I doubt the state will pay by December.”

 Uncertainty over strike in Akwa Ibom

Akwa Ibom NLC chairman  Sunny James has not issued any directive to workers  on the strike.

He did not respond to phone calls and text messages by our correspondent on the position of labour on the matter.

Governor Umo Eno, who had announced N70,000 as minimum wage for workers in the state, also set up an implementation committee.

The committee headed by the Head of Service, Effiong Essien, is yet to submit its report.

Cross River Govt, union reach agreement

In Cross River, a last-minute pact between the government and representatives of Labour pulled the brake on the planned workers’ strike.

The parties reached an agreement on the payment of N70, 000 as minimum wage. They also agreed on consequential adjustments across all levels, effective from December 1.

As at 9pm last night, government and Labour officials were still locked in a meeting over the issue. Details of the parley were sketchy, but the office of the Chief Press Secretary (CPS) to the Governor, Mr. Gill Nsa, confirmed that an agreement had been reached.

One of the government’s representatives in the minimum wage Committee, Clarkson Otu, expressed hope that there would be no strike in the state.

Otu, who is Special Adviser to the Governor on Labour and Productivity, said: “We’re done this evening. We’re in the governor’s office to sign the Memorandum of Understanding (MoU).

“You would get a fuller brief when we’re done signing the MoU. It is after we’ve signed that the Labour will make their statement on the strike. It is not within my purview to say whether they’ll go on strike or not.

Union leaders could not be reached as at 10pm last night.

 Katsina begins implementation

 The Katsina State Government has approved the implementation of N70,000 minimum wage for its civil servants from December 2024.

The Secretary to the State Government, Alhaji Abdullahi Garba-Faskari, made this known to reporters in Katsina,  the state capital at the weekend

He said that the new minimum wage would be given to workers under the payroll of the state government, Local Governments and the Local Education Authorities (LEAs).

The SSG explained that the agreement was sequel to an exhaustive and fruitful negotiations between representatives of the state government and the Labour unions.

Garba-Faskari reiterated the state government’s commitment to improving the welfare of its workers.

He described the decision as a testament to Governor Dikko Radda administration’s dedication to prioritising the needs of civil servants and fostering harmonious Labour relations.

Katsina NLC Chairman Hamisu Hussaini, assured workers that their rights and interests would continue to remain the union’s priority.

He urged the workers to continue to give their best for the progress of the state.

[TheNation]