Festus Keyamo, minister of aviation and aerospace development, has urged Air France-KLM, a French airline, to make its low-cost tickets available to Nigerians.
Keyamo spoke when Air France-KLM delegates, Christine Quantin, the airline’s country manager; Antonia Umunna, the airline’s key account manager, commercial division; and Damilola Ogunseye, deputy station manager of the holding company, visited him.
In a statement on Monday by Tunde Moshood, special assistant on media and communications to Keyamo, the minister stressed the importance of fair pricing for Nigerian travellers.
Keyamo told the airline to consider offering low airfares to ensure parity with the cost of tickets in neighbouring countries.
Also, the minister said Nigeria is committed to enhancing partnerships within the travel industry.
He emphasised the government’s open-door policy and readiness to partner with airlines to enhance travel accessibility and affordability for all Nigerians.
“The courtesy visit by Air France-KLM exemplifies the mutual commitment to advancing the aviation sector in Nigeria and lays the groundwork for future collaborations aimed at delivering unparalleled travel experiences to passengers across the nation,” Keyamo said.
According to the statement, the delegates expressed excitement over the settlement of the airlines’ trapped fund, saying it showcases the effectiveness of collaboration in overcoming challenges within the aviation sector.
“During the meeting, Air France-KLM expressed appreciation for the improved facilities at the Murtala Muhammed International Airport, particularly acknowledging the enhanced experience at wing E,” the ministry said.
“They also extended gratitude for the Minister’s leadership in fostering a smoother relationship between their team and various aviation regulatory agencies.
“Highlighting their commitment to innovation and service excellence, Air France-KLM announced the launch of their new Airbus A330/A350 aircraft, emphasising their dedication to deploying modern and improved aircraft services on routes within Nigeria.”
The delegates said the launch of the aircraft is in line with the company’s overarching goal of providing Nigerian travellers with a superior journey experience.
The Rivers State government, under the leadership of Governor Siminalayi Fubara, is set to probe the affairs of his predecessor in office, Nyesom Wike.
Naija News reports the current Rivers State government is preparing to establish an investigative committee to scrutinize the operations of the previous administration under Nyesom Wike for the eight years he was in power.
Fubara spoke on Monday, May 13, after inaugurating Dagogo Iboroma (SAN), as the new Attorney-General of the state.
Earlier on Monday, the factional House of Assembly led by Victor Oko-Jumbo had screened and confirmed Iboroma for appointment.
This development marks a new turn in the political crisis that has engulfed the oil-rich state and pitted Fubara and Wike against each other.
It would be recalled that Fubara was the Accountant General of Rivers State during the administration of Wike in Rivers State.
Speaking at the Rivers State government house, Fubara stressed the need to probe governance in the state, adding that there is no going back on the decision.
He said: “As it is today, in the local parlance they say the jungle has matured. We will be setting a panel of enquiry to investigate the affairs of governance.
“So brace up, I’m not going back on it.”
The announcement by the Governor attracted applause from those present at the event.
The Kogi state governorship election petition tribunal sitting in Abuja has reserved judgment in the suit challenging the election of Usman Ododo as governor of the state.
The Independent National Electoral Commission (INEC) announced Ododo, the candidate of the All Progressives Congress (APC), as the winner of the Kogi governorship election held on November 11, 2023.
Ododo polled 446,237 votes to defeat Murtala Ajaka, candidate of the Social Democratic Party (SDP), who came second with 259,052 votes, and Dino Melaye of the Peoples Democratic Party (PDP), who scored 46,362 votes.
The SDP and Ajaka, after the poll, filed petitions to challenge the victory of Ododo.
At the court session on Monday, lawyers to parties in the petition made their final submissions and adopted their written addresses.
The INEC, APC, and Ododo urged the three-member panel tribunal, led by Ado Birnin-Kudu, to dismiss the petition for lacking merit.
Kanu Agabi, a senior advocate of Nigeria (SAN) and lawyer to INEC, argued that the petition lacked merit and was incompetent.
He urged the tribunal to either strike it out or dismiss it.
“It is our humble submission that your work in the determination of this petition is simplified in recent judgments by the court of appeal and supreme court.”
He argued that the appeal court had decided that a petition should be struck out if the grounds on which it is established are inconsistent with one another, and are not consistent with the reliefs.
The INEC counsel also argued that the evidence of the petitioners was grossly insufficient, citing a supreme court decision in a case by Tonye Cole against INEC.
“In that case, the petitioner filed 305 witness depositions but only adopted 40 of them. The petitioner only adopted about 13.1 percent of the witness depositions,” he said.
“In this case, (the petition by the SDP and Ajaka), the depositions adopted represent just about 3.6 percent of their witness depositions,” Agabi said.
He noted that the petitioners only called 25 witnesses, adding that in the mathematical calculation of evidence, 3.6 percent of Ajaka’s witness deposition adopted in the petition amounted to a failure and therefore ought to be dismissed.
Agabi argued that the petitioners’ witness, who testified about the bimodal voter accreditation system (BVAS) machines, stated that he could not guarantee whether those were the BVAS used.
He added that out of the 25 witnesses called by the petitioners, there was no single polling unit agent among them.
Similarly, Joseph Daudu, the lawyer to Ododo, faulted the competence of the petition which he said was statute-barred for having allegedly been filed out of time.
Daudu urged the tribunal to dismiss the allegation of forgery made by the petitioners against his client.
He argued that such an issue bordered on pre-election matters, which could not be raised in the state of post-election litigation.
Emmanuel Ukala, counsel to APC, also prayed the tribunal to dismiss the petition for lacking merit.
Petitioners’ lawyer, Pius Akubo, faulted the claim by the respondents that the petition was filed out of time.
He also submitted that the petitioners have provided sufficient evidence to support their case that the election was marred by irregularities and corrupt practices.
Akubo prayed to the tribunal to allow the petition and reverse Ododo’s victory.
After taking the arguments, Birnin-Kudu, the chairman of the tribunal, reserved judgment on the petition.
“The date will be communicated to both parties,” he said.
Members of organised labour are currently picketing offices of the Nigerian Electricity Regulatory Commission (NERC) nationwide.
The Nigeria Labour Congress (NLC), Trade Union Congress (TUC), and other affiliate groups, are protesting the increase in electricity tariff for customers under the Band A category.
On April 3, NERC approved an increase in electricity tariff for customers in the classification — from N66 to N225 per kwh.
Organised labour is calling for a reversal of the increase and a return to the negotiating table.
On Monday, the unionists arrived at the NERC office located at Novel House in Ikeja, Lagos, around 9:40am.
Addressing workers at the complex, Funmi Sessi, NLC Lagos chairperson, asked them to vacate their offices.
Sessi said the unions do not understand the regulatory functions of NERC amid the epileptic power supply in the country.
In Abuja, the unions besieged the NERC office located in the Central Business District.
Labour has also shut NERC offices in Jos, Akwa Ibom, Benin, Kaduna and in other capital cities across the country.
LAGOS
ABUJA
The former member of the Board of the Trustees, BoT, of the Peoples Democratic Party, PDP, and a former ally of Governor Godwin Obaseki, Charles Idahosa has rejoined the All Progressives Congress, APC.
Idahosa said he was rejoining the party he left with Obaseki about four years ago to ensure victory for the APC in the September 21 governorship election.
He made this statement at his residence where he was received by leaders of the party, led by the Secretary of the APC in Edo State, Lawrence Okah.
Idahosa revealed that his greatest regret while in PDP, was not allowing Obaseki to resign as Edo Governor when he opened up to him (Idahosa) in his Benin residence that he was tired of the troubles he was getting from the leadership of the party led by Comrade Adams Oshiomhole.
Olayemi Cardoso, governor of the Central Bank of Nigeria (CBN), has hinted interest rates would remain high until inflation rate subsides.
In a Financial Times report on Monday, Cardoso also said orthodox policies would be implemented to tame inflation.
In March, Nigeria’s inflation rate rose to 33.20 percent — from 31.70 percent in February.
Consequently, CBN’s monetary policy committee (MPC) raised the interest rate by 200 basis points in March to 24.75 percent.
Cardoso said there is “every indication” that MPC would “do whatever is necessary” to rein inflation.
“They will continue to do what has to be done to ensure that inflation comes down,” Cardoso said.
“Let’s face it: for a long period of time, the CBN did not embrace orthodox monetary policies.
“We want to go back to using an orthodox method, and it will take us to where we want to go.”
Cardoso said the apex bank had been “reoriented” to focus on “price and monetary stability”.
He said the official window of the foreign exchange (FX) market has been stabilised.
According to the governor, investors previously had a “tendency to head for the window” in response to currency fluctuations, however, there has been a “fundamental shift”.
“They’re getting more comfortable with the market,” Cardoso said.
The naira fell to its lowest level of N1,627.40/$ in the official FX window on March 8 but rallied to N1,154.08/$ on April 18 — after which the local currency began to lose its gains.
As of May 10, the official FX rate stood at N1,466.31/$.
Also, Cardoso maintained that raising interest rates has been crucial.
He hoped that high interest rates would not linger for too long and act as a disincentive to investment and production.
“Hiking interest rates obviously has had a dampening effect on the foreign exchange market, so that has begun to moderate. It’s not a zero-sum game. You lose on one side, you get on the other,” he said.
He said inflation was higher than he had hoped, blaming “distortions” mainly due to high food prices.
Cardoso said it is not directly within CBN’s control.
Food inflation rose to 40.01 percent in March, compared to the 24.45 percent rate recorded in the same month last year.
KPMG Nigeria says the implementation of the cybersecurity levy should be reconsidered due to the current economic climate.
On May 6, the Central Bank of Nigeria (CBN) directed deposit money banks (DMBs) to start charging a 0.5 percent cybersecurity levy on electronic transactions, in line with the Cybercrime Act 2024 as amended.
Speaking on the directive in its latest tax alert issue, KPMG said this is certainly “not the right time to implement this levy”.
The firm added that although the idea was not new, it was unjustified under the prevailing economic condition.
KPMG said the key objective of the cybercrime levy is to ensure that there is dedicated and adequate funding available to address the growing threats of cyber-attacks.
However, KPMG said higher taxes do not lead to sustainable growth, adding that no country can tax itself to prosperity.
According to the firm, unintended consequences of any measure must be thoroughly evaluated before implementation.
“Undoubtedly, Nigeria faces a significant revenue challenge. This has, therefore, constrained, and continues to constrain, the country’s capacity for achieving sustainable growth,” KMPG said.
“Given this context, the government may go to any length to mobilise the required revenue.
“Perhaps, it is in recognition of this that the current administration and the Presidential Committee on Fiscal Reforms have often emphasized that the government will not introduce new taxes. Though the cybercrime levy is not new as it has been in existence since 2015, the question is why implement it now given the prevailing economic challenges?
“The timing of any reforms is essential to the success of such reforms. This underscores the current public resistance to the implementation of the levy.
“Hopefully, the National Insurance Commission (NAICOM) and the Nigerian Communications Commission (NCC) will consider this before introducing their guidelines with respect to those businesses under their purview.
“However, consideration must be given to the country’s prevailing economic conditions. The current economic climate does not justify its implementation now.”
FG SHOULD FOCUS ON TAX REFORMS THAT ADDRESS REVENUE LEAKAGES
KPMG said the federal government should focus on reforms that address revenue leakages and be financially prudent in the utilisation of public funds.
“Various reports have indicated that the government will raise about N3 trillion annually from the levy,” the firm said.
“However, there has been no formal presentation to the public of the cost and benefit analysis. It is always critical that the enactment of any tax or levy be accompanied by the tax expenditure statement to provide information as to whether the benefits of such tax or levy outweigh its cost.
“It is not sufficient to provide only the revenue projection, which is not certain as no details have been provided with respect to this; albeit there have been reports on how the money would be spent.
“There are many government agencies that have not been audited for years and nothing has happened! It is, therefore, critical that practical measures be put in place to ensure transparency and accountability.
“Hopefully, the government will reconsider delaying the implementation of the levy, which has been in the books since 2015.
“Government should focus on tax reforms that address revenue leakages and be financially prudent in the utilisation of public funds.
“Combining revenue-raising initiatives with responsible spending practices is essential for fiscal sustainability.”
The firm also raised concerns that businesses may resort to any measures to avoid the payment of the levy.
KPMG also said it is important that the government consider phasing in tax reforms on a gradual basis to minimise potential shocks to the economy.
The federal government said that the days of being above the law in paying taxes are over.
The Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, said this at the committee’s closing session on Sunday in Abuja.
Oyedele said the proposed new reforms would focus on the top 5 per cent of that sector, the middle class, and the elite for taxes.
He stated that the committee is drafting legislation to bring about necessary changes to the country’s fiscal policy and tax reform ecosystem.
The chairman stated that the new laws will ensure that reviews are continued by all governments, adding that they don’t want the entire effort to go to waste after a year or two.
He urged all stakeholders to fully cooperate with the government in implementing a new fiscal and tax policy for the general good of the citizens by ensuring compliance.
“We think that the days of being above the law in paying taxes are over. The same thing we’re saying to our leaders, whether they are elected or appointed.
“We think they have to lead by example by showing that they have paid the taxes, not only on time but correctly, to the lawful authorities as contained in the various laws,” he said.
He stated that the Federal Government is developing a system that will give tax relief to 95% of the informal sector in the country.
He said this would be achieved by exempting businesses earning N25 million a year or less from the various taxes hindering their progress over time.
“So, we think that 95 per cent of the informal sector should be legally exempted from all taxes; withholding tax, company income tax, and even payees on their staff.
“We’re using data to inform our decisions. Currently, if you earn N25 million a year or less, you don’t have to pay company income tax, and you don’t have to worry about VAT.
‘’We think that the informal sector are people who are trying to earn legitimate living; we should allow them to be and support them to grow to a point where they can then have the ability to pay taxes,” he said.
He explained that some of the taxes Nigerians complained about were already in the constitution, which the committee had examined and called for review.
Oyedele said that the committee report will go through the standard legislative process to obtain full legal backing.
Several key political figures in the Andoni local government Area of Rivers State have expressed their admiration for the dedication shown by the Minister of the Federal Capital Territory (FCT), Nyesom Wike, towards advancing the goals of President Bola Tinubu-led administration, Naija News reports.
The group includes former and current political leaders from the Peoples Democratic Party (PDP), All Progressives Congress (APC), and Labour Party (LP), as well as respected Elder Statesmen, Community Leaders, Youth, and Women Leaders from the region.
They emphasized their unwavering support for Wike as a token of gratitude for his backing of Erastus Awortu during the 2021 Local Government Chairmanship election.
The political bigwigs also commended Awortu’s administration for proffering solutions to insecurity and decayed infrastructure in the area.
During a recent visit to the council’s chairman at Ngo, the group expressed their admiration for his accomplishments as his tenure nears its conclusion. Additionally, they assured him of their unwavering support for his re-election campaign.
The National Women Leader of the GrassRoots Development Initiative (GDI), Mabel Ogolo, highlighted that with divine guidance and political vision, Wike appointed Erastus Awortu to bring relief to the people of Andoni during his time in office.
“Indeed, the choice was right because within weeks into his administration, Andoni became so peaceful and free from the challenges of insecurity and underdevelopment which bedevilled the area,” she said.
A prominent member of the APC and a candidate for governorship in the 2023 general election, Sampson Ngerebara, praised Awortu’s administration as a realization of his vision for Andoni.
He highlighted the administration’s focus on rebuilding infrastructure and enhancing human capacity by utilizing the resources of the people.
In response, Awortu, the Council Chairman, expressed gratitude to the leaders for their unwavering support despite the political crisis in the state and commended their loyalty to Wike, a former governor of the state.
Furthermore, the chairman emphasized his dedication to the progress and advancement of the area. He stated that he would rather forgo his second-term bid than collaborate with politicians whose past actions disrupted the peace and development of the region.
Rivers state Governor, Sim Fubara, has declared that intimidation has a time frame for its expiration.
Naija News reports that Fubara made the declaration amidst his continued face-off with the Minister of the Federal Capital Territory, FCT, Nyesom Wike.
Recall that since October 30, 2023, Rivers State has been embroiled in a political crisis.
The crisis deeply divided the House of Assembly, with 27 lawmakers aligning with Wike while four others pledged allegiance with Fubara.
The crisis also became public knowledge following an explosion that shook the hallowed chamber of the State Assembly complex on the night of October 29, 2023.
Following the fire incident, the state lawmakers initiated an impeachment process against Fubara and suspended four lawmakers.
In an attempt to quell the crisis, President Bola Tinubu intervened in December 2023, leading to the formulation of an eight-point resolution signed by Fubara and Wike.
However, this peace pact had failed to quell the unrest in the state.
Last week, the crisis took a new turn as the All Progressive Congress (APC) leadership in the state urged the 27 lawmakers loyal to Wike to begin an impeachment process against Fubara.
Over the weekend, Wike and Fubara threw jabs at each other in the renewed cold war.
Speaking at the state’s Government House in Port Harcourt, Fubara said people should be less worried about him, stressing that intimidation has a time it expires.
He said, “Intimidation has a time, and when it expires, it’s over. Even in the bible, Pharaoh intimidated the children of Israel, but it got to a time; the intimidation did not work again.
“Every bad thing that has a beginning has an end. Don’t worry about me – we have kept that behind; we are looking at the future.”
More...
The first recipient of a genetically modified pig kidney transplant has died nearly two months after he underwent the procedure, his family and the hospital that performed the surgery said Saturday.
Richard “Rick” Slayman had the transplant at Massachusetts General Hospital in March at the age of 62. Surgeons said they believed the pig kidney would last for at least two years.
The transplant team at Massachusetts General Hospital said in a statement it was deeply saddened by Slayman’s passing and offered condolences to his family. They said they didn’t have any indication that he died as a result of the transplant.
The Weymouth, Massachusetts, man was the first living person to have the procedure. Previously, pig kidneys had been temporarily transplanted into brain-dead donors. Two men received heart transplants from pigs, although both died within months.
Slayman had a kidney transplant at the hospital in 2018, but he had to go back on dialysis last year when it showed signs of failure. When dialysis complications arose requiring frequent procedures, his doctors suggested a pig kidney transplant.
“Their enormous efforts leading to the xenotransplant gave our family seven more weeks with Rick, and our memories made during that time will remain in our minds and hearts,” the statement said.
They said Slayman underwent the surgery in part to provide hope for the thousands of people who need a transplant to survive.
“Rick accomplished that goal and his hope and optimism will endure forever,” the statement said.
Xenotransplantation refers to healing human patients with cells, tissues or organs from animals. Such efforts long failed because the human immune system immediately destroyed foreign animal tissue. Recent attempts have involved pigs that have been modified so their organs are more humanlike.
More than 100,000 people are on the national waiting list for a transplant, most of them kidney patients, and thousands die every year before their turn comes.
[NationalDaily]
The Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) have vowed to embark on the planned picketing of the office of the Nigerian Electricity Regulatory Commission (NERC) and distribution companies (DisCos)’s premises nationwide today over the hike in electricity tariff.
“We write to inform you of the picketing action scheduled to take place in the offices of the NERC and Electricity Distribution companies (DISCOS) in all states, including the FCT,” the unions said in a joint statement by NLC’s Ag General Secretary Chris Uyot and his TUC counterpart Anka Hassan.
“The action will jointly take place on Monday, 13th of May, 2024 nationwide simultaneously. Therefore, the two Labour centres are directed to work together to carry out this important action. While counting on your usual cooperation, kindly accept the assurances of our goodwill and highest regards.”
Their action followed a hike in the tariff for electricity consumers who enjoy at least 20 hours of daily power supply.
Though the NERC had reviewed the tariff, the labour unions said they were picketing the agency’s office as well as the premises of distribution companies after a Sunday reversal deadline failed.
The recent tariff hike for electricity consumers has continued to draw comments from several quarters.
With inflation rising to new highs and Nigerians grappling with the removal of petroleum subsidy, the increase in tariff was met with stiff opposition.
Human rights lawyer Femi Falana (SAN) had claimed that the Federal Government was raising funds for the “cash-trapped” DisCoS with the tariff hike.
But while defending the move, the Minister of Power Adebayo Adelabu said the Federal Government will pay about N1.8trn in electricity subsidy in 2024.
He argued that the Electricity Act, 2023 made provisions for the review of tariffs twice yearly.
“Review of tariff is actually legal once it is within the exclusive responsibility of the Nigerian Electricity Regulatory Commission (NERC),” he said on an edition of Channels Television’s Politics Today. “The Act actually provides for review twice in a year, every six months.”
Following the clapback generated by the move, the House of Representatives asked NERC to suspend the implementation of the tariff hike.
[ThisNigeria]
Telecommunication companies are hitting the brakes on capital expenditure this year as mobile service providers grapple with a cash squeeze arising from record financial losses.
Nigeria’s network quality, which has recorded mixed fortunes lately, is set to worsen as a result of the telcos’ planned reduction in capital expenditure, according to some industry experts.
According to GSMA, the mobile industry’s financial performance has slowed down in recent years due to falling naira revenues and worsening economic conditions.
The situation has led the country’s biggest telcos to announce a reduction in capital expenditure this year.
In 2023, both MTN Nigeria and Airtel declared losses. Airtel recorded a loss of $89 million for its year ended March 2024, and MTN Nigeria’s loss was N137 billion for the year ended 2023. Both telcos blamed the naira devaluation, rising inflation, and worsening macroeconomic conditions in the country.
The naira has fallen from N461/$ in March 2023 to N1,303/$ as of March 2024. MTN and Airtel have hinted that they won’t be spending as much on capital expenditure and will rely more on existing infrastructure.
Airtel Africa, in its financial statement, said: “Having considered all the above-mentioned factors impacting the Group’s businesses, the impact of downside sensitivities, and the mitigating actions available to the group including a reduction and deferral of capital expenditure, the directors are satisfied that the Group has adequate resources to continue its operational existence for the foreseeable future.”
MTN Nigeria, in its Q1 2024 results, noted that its consistent and extensive network investment over the past few years has helped it build the flexibility to optimise our capex deployment.
It said: “In this regard, we plan to reduce capex (excluding leases) for FY 2024 and aim for a capex intensity in the upper single digits. We will optimise latent capacity and implement radio planning strategies in order to minimise any potential impacts and disruptions to our network quality.”
For context, MTN has spent N1.08 trillion on capex in the last two years, and Airtel Nigeria has spent $545 million in the same time period.
“The service providers will continue investing in digital infrastructure to support the digital economy in Nigeria, provided that the economic and regulatory environment improves in a way that supports sustainable investment,” GSMA, said in its report, ‘The Role of Mobile Technology in Driving the Digital Economy in Nigeria: A Partnership between Mobile Service Providers and Government to Support Nigeria’s Future Growth and Prosperity,’ which was unveiled in Abuja on Thursday.
The global association for telcos noted that despite the sector’s N33 trillion GDP and N2.4 trillion tax contributions in 2023, the industry is facing several significant challenges.
“The overall financial performance of the industry in recent years has not been sufficient to support the capital-intensive nature of the business,” it said.
GSMA explained that operating costs have increased significantly in the recent period due to increases in the cost of power for sites due to the rapid increases in fuel price, high and rising costs of tax compliance, and increased demand for forex due to contractual obligations for rollout.
“Underlying these trends in revenue and operating costs has been the deteriorating macroeconomic situation in Nigeria. The high levels of inflation have pushed up the cost of many inputs into the mobile service providers’ businesses,” GSMA highlighted.
The industry body said mobile service providers need to generate sufficient revenue to cover their operating costs and support this level of capex over the medium term. When this is not done, operators are likely to cut back on either capital or operating expenditures or both, it said.
“This results in a shrinking sector which leads to subscribers receiving a poorer quality of service and delays in coverage expansion,” it explained.
GSMA noted that telcos will not be able to pay as much tax in the short term and that digital adoption in the country will slow down in the medium term.
Angela Wamola, head of Sub-Saharan Africa at the GSMA, said: “High-speed connectivity is the bedrock of any digital nation… Future policies should be geared towards reducing the cost and complexity of infrastructure rollout to encourage investment and boost the adoption of mobile broadband.”
The slowdown in capex by the telcos may exacerbate network quality in the country, which has not been at its best. Everyday, Nigerians on X complain about network quality.
To improve connectivity, especially access to fast internet, the Federal Government believes it needs $3 billion to fund an additional 120,000km of fibre optic cables. As of the end of 2023, only 78,676km of fibre optic cables have been deployed in the country, and broadband penetration stood at 43.53 percent.
Nigeria’s plan to achieve 75 percent of fibre optic cable target by 2027 and increase broadband penetration to 90 percent is also now being threatened.
In his remarks at the GSMA event, Karl Toriola, MTN Nigeria’s chief executive officer, noted that the telecom sector was faced with numerous challenges, including insecurity, high operation costs, and taxation.
He said: “The return in the telecommunication sector is poor, and there are no dividends for investors, but on the contrary, other sectors are declaring bumper profit, we are continuously investing massive amounts on infrastructure.”
Gbenga Adebayo, Chairman of the Association of Licensed Telecom Operators of Nigeria, noted, “The industry can only be sustained if we have a continuous flow of investments. As we speak, people are cautious to invest because of the many challenges that we have had from currency devaluation to high cost of business.”
To combat rising prices and other challenges, telcos are currently asking the Nigerian Communication Commissions for permission to raise their tariffs, the first such increase in about a decade.
“The industry is not sustainable, we need a tariff hike, other other sectors are increasing theirs, we are the only ones restricted and it is placing us in a very difficult space,” Toriola, MTN’s CEO declared.
Adebayo, ALTON’s chairman, argued that a price review should be a simple regulatory process and that the government should not use the sector as a palliative to solve people’s problems. “We must price right to sustain the industry; we must price right to have the right investment,” he said.
GSMA also recommended that Nigeria remove retail tariff price control regulations, allow periodic tariff reviews, or set a competitive price band for telcos.
Bosun Tijani, minister of communication, innovation and digital economy, argued that rising tariff prices is not the singular solution to mobile operators’ problems.
“There are tons of other things that we must do to ensure that the business environment is conducive for the investors in this space. And the government is active, including in the tariff conversation,” he said.
[Businessday]
President Bola Tinubu has congratulated the President-Elect of the Republic of Chad, Mahamat Déby, on his election victory.
Ajuri Ngelale, Special Adviser to the President on Media and Publicity, in a statement, said the successful conduct of elections in Chad underlined the commitment of the government and the people to democracy and orderly transitions in the region.
He said, “The president assures President-elect Déby that Nigeria will continue to work closely with the Republic of Chad, as both countries seek to enhance peace, security, and shared prosperity for the mutual benefit of their peoples.
“The president also calls for sustained, friendly cooperation between both nations, while wishing the President-Elect success as he undertakes this noble service to the people of Chad.”
[DailyTrust]