NIGERIANS expereince Fuel scarcity as oil workers strike

Fuel scarcity spread across Nigeria on Monday as oil workers  brace for showdown with the Federal Government over various unresolved labour issues.

The oil workers, under the aegis of the Petroleum and Natural Gas Senior Staff Association [PENGASSAN] and their counterparts in the National Union of Petroleum and Natural Gas Workers [NUPENG], commenced their nationwide strike on Monday.

The decision to strike is sequel to  the expiration of the notice to government for the resolution of some labour issues affecting their members as well as other national issues affecting the operation of the petroleum industry.

SPAM MAIL with Subject ANNUAL AWARDS/ DINNER PARTY

Email spam, also known as junk email or unsolicited bulk email, is a subset of electronic spam involving nearly identical messages sent to numerous recipients by email. Clicking on links in spam email may send users to phishing web sites or sites that are hosting malware.

There is a SPAM mail going around now with the above header and the mail body simply reads:

FYA, you are cordially invited.

Regards

Please do not open it or download the attachment. Simple delete the mail. The mail is a SPAM set to Piggy back on your contact list, forward the same mail to all your contacts and continue the loop. 

Again please disregard the mail.

However, if you have been a victim of this attack already a password change is recommended immediately.

Ajibola Aderonke is an auditor at professional services firm Ernst & Young (EY). She previously worked another Big 4 accounting firm PwC. She can be reached at ajibolaaderonke@gmail.com for ideas and suggestions. The post above and its ensuing comments, if any, is purely the opinion of the writer.

Fuel Scarcity Mar Christmas Celebrations

Fuel scarcity has hit Lagos and some parts of Osun and Ogun State, as long queues resurfaced across the states.

Major Oil Marketers Association of Nigeria (MOMAN) has said that this would be triggered by refusal of the Petroleum Products Pricing Regulatory Agency (PPPRA) in releasing the approval for the first quarter fuel importation.

Long queues are visible in almost all the petrol stations that were selling the products while many remained under locks and key.

Forte Oil petrol station at Igbosere and Total petrol station at Okesuna, all on Lagos Island,

AXA acquires majority stake in Nigeria’s Mansard Insurance for N43bn

AXA has acquired majority stake in Nigeria’s Mansard Insurance in a deal concluded on Friday for €198 million, equal to N43 billion.

The French company, AXA, announced it had entered into an agreement to acquire 100 percent of Assur Africa Holdings (AAH), which holds a 77 percent stake in the composite insurance company Mansard Insurance plc.

Under the terms of the agreement, the total cash consideration payable at closing would amount to €198 million. AXA would include the acquired operations within its Mediterranean and Latin American region.

Mansard is the fourth largest insurance provider in Nigeria, with operations in both property

Nigeria overnight rate spikes, naira stabilises as CBN curbs liquidity

Nigeria’s overnight lending rate spiked to 30 percent on Friday while the naira stabilised, after the central bank drained liquidity from the banking system as part of efforts to support the currency, hit by falling global oil prices.

The central bank withdrew around 300 billion naira ($1.7 bln) from the system this week to reinforce monetary tightening introduced last week, pushing the interbank overnight lending rate up to 30 percent, from 12 percent a week ago, dealers said.

The central bank is struggling to prop up the naira, which has taken a beating over the past few months as falling oil prices have shaken confidence in the assets of Africa’s leading energy producer.

As the bank has been forced to tighten monetary policy to defend the currency, it also risks hurting Africa’s biggest economy as high interbank rates will constrain credit growth and could create bad loan problems for lenders.

Dwindling Oil Price: CBN devalues naira, raises lending rate

The Central Bank of Nigeria, CBN, has announced a new official naira-to-dollar exchange rate, forcing down the Nigerian currency by 13 naira, as the country struggles to reshape its fiscal policies in response to dwindling oil price.

The bank devalued the naira at its monetary policy committee, MPC, meeting on Tuesday in Abuja, where it also reviewed Nigeria’s monetary policy rate from 12 per cent to 13 per cent.

The monetary policy rate highlights lending rate for the country’s economy.

The naira will now exchange officially at N168 to a dollar, and no longer N155, the bank said.

Central Bank of Nigeria (CBN), Ministry of Petroleum Resources, Ministry of Power and the Nigerian Electricity Regulatory Commission (NERC) sign MoU on the CBN-Nigeria Electricity Market Stabilization Facility (NEMSF)

The Central Bank of Nigeria (CBN), in what has been described as an uncommon collaboration with the Ministry of Petroleum Resources, Ministry of Power and the Nigerian Electricity Regulatory Commission (NERC), has opened a new vista in Nigeria’s power sector with the signing of Memoranda of Understanding (MoU) on the CBN-Nigeria Electricity Market Stabilization Facility (NEMSF).

In his welcome remarks at the epoch event held at the Abuja Hilton Hotel on Tuesday, November 18, 2014, the CBN Governor, Mr. Godwin Emefiele, CON, said the facility would kick-start the electricity market in order to ensure that the power sector delivers tangible improvements in power supply for the benefit of all Nigerians.

According to him, the CBN, in partnership with Deposit Money Banks (DMBs) in Nigeria, would provide the facility to address shortfalls in power sector revenues caused by needed adjustments in electricity tariff basic gas debt and in the process reset the economics of the power sector. He added that the facility would be repaid in the life-time of the rest electricity tariff.

CBN devalues Naira now 168 to the US dollar

The Monetary Policy Committee of the Central Bank of Nigeria (CBN) on Tuesday devalued the naira from N155 to N168 to the US dollar.

The MPC tightened the apex bank’s monetary policy by allowing some flexibilities in the exchange rate to stem speculative activities and depletion of reserves.

The announcement was made by the CBN Governor, Mr. Godwin Emefiele, while briefing journalists shortly after the MPC meeting   at the bank’s headquarters   in Abuja.

Nigerains React: Naira Hits N186 to $1 in Abuja Black Market

The exchange rate for the dollar in Abuja “black market’’ on Wednesday stood at between N182 and N186, an investigation by a News Agency of Nigeria (NAN) correspondent found.

This is against the new official exchange rate N168 announced on Tuesday by the Governor of Central Bank of Nigeria (CBN), Godwin Emefiele.

The NAN correspondent, who checked near the Sheraton Hotel, Zone 4, Abuja, the rendezvous for most black market operators, found that the closest naira exchange to the official exchange rate was N182.

Massive Rail Deal Gives China's Push Into Africa a Major Win:Chinese train company closes $12bn deal in Nigeria

The China Railway Construction Corporation's eye-popping $12 billion deal to build an 870-mile railroad in Nigeria is the biggest single overseas contract in Chinese history and will boost the country's manufacturing sector just as its overall economy shows some signs of slowing. That's not the only upside for China, however: the deal will also give Chinese firms more of a foothold in Africa's biggest economy.

The contract to link Lagos with Calabar, a city in eastern Nigeria, is of a part with China's headlong rush into Africa, where it has built or proposed tens of billions of dollars in infrastructure projects, partly to secure needed supplies of natural resources.

But this process is not without growing pains, both because some Africans object to a second kind of colonialism and because those infrastructure projects have been dogged by persistent questions about quality control and environmental concerns.

ICAN Constructs 250-Capacity Lecture Theatre In Kano North-West University

The Institute of Chartered Accountants of Nigeria, ICAN, has laid foundation for the construction of a lecture theatre with a capacity for 250 at the permanent site of the North West University, Kano, a newly established state-owned university.

In his address at the construction site in Kabuga/BUK road, yesterday, the president of the institute, Mr. Chidi Ajaegbu said ICAN was partnering the university in accountancy education more than any other existing universities in the country.

Former FCT Minister El-Rufai Tweets “Sad State of a Nation! '”

Ex FCT Minister, Nasir El-Rufai is not happy about the state of the nation.

A few hours ago, he posted a pictorial depiction of his thoughts about Nigeria, titled “Litany of Confusion.”

Ajibola Aderonke is an auditor at professional services firm Ernst & Young (EY). She previously worked another Big 4 accounting firm PwC. She can be reached at ajibolaaderonke@gmail.com for ideas and suggestions. The post above and its ensuing comments, if any, is purely the opinion of the writer.

University of Edinburgh Study: High Blood Pressure Puts One in Four Nigerians at Risk

High blood pressure, already a massive hidden killer in Nigeria, is set to sharply rise as the country adopts the western lifestyle, a study from Edinburgh University suggests.

Researchers who conducted the first up-to-date nationwide estimate of the condition in Nigeria warned that this would strain the country’s already-stretched health system.

They therefore stated that increased public awareness, lifestyle changes, screening and early detection are vital to tackling the increasing threat of the disease.

High blood pressure, also known as hypertension, is twice as high in Nigeria compared with other East African countries and less than 20 per cent of Nigerians are aware that they have the condition. Hypertension, the study said, put people at risk of heart disease, kidney disease and stroke.

China to boost trade with Nigeria via import of agricultural produce

The Chinese government has said it is interested in boosting its annual trade with Nigeria now worth about 13 billion U.S. dollars through increased import of agricultural produce from Nigeria.

The Chinese Ambassador to Nigeria, Mr Gu Xiaojie, said this recently at the Forum of the News Agency of Nigeria (NAN) in Abuja.

Xiaojie said China mainly imported oil from Nigeria, which accounted for one billion U.S. dollars of the annual trade volume, adding that China was eager to diversify its imports from Nigeria.

“Nigeria is the biggest producer of crude oil in Africa and exports a lot of oil to other

Farmers in Benue record bumper harvest, says AFAN

An assessment by the Benue chapter of All Farmers Association of Nigeria (AFAN), indicated that farmers in the state recorded bumper harvest this year.

Secretary of AFAN in the state, Mr Sam Kwa’na, who disclosed this in an interview with the News Agency of Nigeria (NAN) in Makurdi on Monday, said the yields recorded this year surpassed that of last year by about 50 per cent.

He said that apart from the bumper harvest recorded in his personal farm, other farmers also recorded similar success.

He explained that AFAN had carried out assessment of yields recorded this year, involving

Eastern railway line to commence operation soon -- Tukur

The Chairman of the Nigerian Railway Corporation, Alhaji Bamanga Tukur, has said that train services in the Eastern Railway District will commence before the end of the year.

Tukur made the announcement in Enugu on Monday while inspecting ongoing projects on the Port Harcourt-Enugu railway.

The board chairman expressed satisfaction with the work so far done, hoping that train services might commence before the end of the year.

“I believe with what I saw on ground, train services may commence before the end of this year so that Nigerians will begin to enjoy what we used to have before now.

“Our railway has come alive again; the Bridge No.15 which nature brought down has been rehabilitated.

Ekiti without electricity for months- Fayose

Governor Ayo Fayose of Ekiti State on Wednesday in Abuja said that protracted poor power supply to the state was militating against the economic and social growth of the state.

Fayose made the call during a courtesy visit on the Chairman of Nigerian Electricity Regulatory Commission (NERC), Dr Sam Amadi.

He, therefore, appealed to the commission to liaise with Benin Electricity Distribution Company (BEDC) whose operations cover the state to help in restoring power supply to the state.

Fayose said that most parts of the state had been in blackout for over 10 months. “Ekiti has been in blackout since I came in as governor. All that I want is a solution to the blackout that has persisted in the state,” he said.

According to him, some communities in the state have protested the continued blackout by destroying property and beating up workers of the electricity distribution company.

“Members of the communities have to block highways preventing people from going about their businesses but following my intervention they re-opened the roads,” he said.

Fayose said that as soon as he gets back to the state, he would redeem the pledge of N5 million he

Strike by health workers unnecessary, unjustifiable – FG

The Federal Government says the planned strike by the Joint Health Sector Union (JOHESU) is unjustifiable, unnecessary and unfortunate.

The Supervising Minister of Health, Dr Khaliru Alhassan, stated government’s position at a news conference in Abuja on Wednesday.

Alhassan said the decision of JOHESU’s executive to embark on strike from 12:00 a.m. on Nov. 13 was unnecessary because of ongoing negotiations between the union and government.

The minister said the call for strike suggested that there could be more to incessant strikes by the union than what it was clamouring for.

“The strike is unexpected because it is against the rules governing the relationship between the ministry and the workers.

“It is most unnecessary because there is ongoing dialogue which has been very successful at various stages whereby most of the demands of JOHESU have been met.

“The last meeting between JOHESU and government on Nov. 6 ended amicably with some

Mixed Reactions Trail Dangote Cement Now 1000 Per Bag (Value Added Tax, VAT Exclusive)

Leading cement manufacturer, Dangote Cement Plc., recently announced drastic reduction of the prices of its cement.

The new price regime announced by the Group Managing Director/Chief Executive Officer, GMD/CEO, of Dangote Cement, Mr. Devakumar Edwin, pegged the Dangote 32.5 cement grade at N1,000 per 50 kg bag, while the higher 42.5 grade would sell for N1,150 per bag.

Reactions have since trailed this announcement, with industry watchers expressing concerns over the sincerity of this action.

Some observers see this move as politically engineered with comments such as; “We enjoy

ICAN : APPOINTMENT OF UHY MAAJI & CO AS JOINT AUDITORS WITH PWC FOR THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA

As part of its strategies to enhance the technical capacity of small and medium-sized practices (SMPs) and by extension, the quality of financial reporting in the country, the Council of the Institute through its 50TH and Golden Jubilee President  in a press release dated 28th Aug, 2014 addressed to its members expressed that the Institute is championing the concept of joint auditors for corporate entities. 

Joint audit involves the appointment of a lead audit firm and a support audit firm by a client

WHAT IS FIRS PRE-OPERATIONAL LEVY

Pre-Operational Levy is a levy imposed on companies which fail to commence business within six months after their incorporation. The levy is N 25,000 in the first instance and N 20,000 for any other year, if it still has not commenced business. It is to be levied when the taxpayer applies for current Tax Clearance Certificate (TCC). Pre-operational levy should not be imposed

Public Notice On Altered/Faked/Forged Tax Clearance Certificates (Tcc)

This is to draw the attention of all Revenue Staff, Tax Practitioners, Consultants, Tax Payers and the General public, particularly all those agencies of governments, embassies, banks and corporate organizations required by law to request for Tax Clearance Certificate (TCC), to the prevalence of altered, faked, forged Tax Clearance Certificates (TCC) in circulation.

INTRODUCTION

In view of the ugly development with regards to altered/faked/forged tax clearance certificates (TCC) the Federal Inland Revenue Service (FIRS) wishes to clarify as follows:

It is simple and easy to obtain a genuine TCC. It is issued free of charge within two weeks of the demand for it, provided taxes assessed on the profits or income of the applicant have been paid.

An altered, fake, forged T.C.C. is one which has not been issued by a relevant tax authority,

Getting a Tax Clearance Certificate (TCC) In Nigeria - Federal Inland Revenue Service (FIRS)

A Tax Clearance Certificate is a written confirmation from Revenue that a person's tax affairs are in order at the date of issue of the Certificate. In some instances a Certificate may be issued to a customer who has tax arrears provided such arrears are covered by an installment arrangement that has been agreed with Revenue.

The requirement to produce a Tax Clearance Certificate usually arises in the context of a person seeking State money (e.g. Government contracts, grants) or obtaining licences (e.g. excise licence, road transport licence) but can also arise in other cases (e.g. the Standards in Public Office Act, 2001 applied tax clearance requirements to persons elected to the Dail or Seanad, judicial appointees and senior office appointees). Apart from situations where a person is legally required to produce a Tax Clearance Certificate, Revenue is also prepared to issue a Certificate to any customer whose tax affairs are in order.

In this discourse I am going to take you through a practical way of obtaining a tax clearance certificate from the Federal Inland Revenue Service. It’s not a one size fits all solution but large enough to help a Small Company (XYZ an Hypothetical company).

These days’ government agencies and companies require long list of documentation before

Ebola: Family of dead Nigerian nurse on the run

The husband and children of the Nigerian nurse who died after getting infected with the Ebola virus are on the run, the health officials in the country have said.

Nigeria is the fourth West African country to be hit by the Ebola outbreak since it first emerged in March in Guinea.  The virus entered the country when Patrick Sawyer, who was suffering from the disease arrived by plane late last month in Lagos.

Sawyer, who worked for the Liberian government in Monrovia and had a wife and three young daughters in Minnesota, was on a business flight to Nigeria when he fell ill.

The nurse, the only Nigerian fatality from the disease which has killed over 900 people in four West African countries, was exposed to the virus at a health facility Sawyer was taken before his death.

The nurse’s family were not the first to flee from quarantine. In Sierra Leone, 

10bn Capital Base for Development Finance Institutions- CBN

In its bid to strengthen financial institutions in the country, the Central Bank of Nigeria (CBN) has released operational guidelines for development finance institutions (DFIs) stipulating a minimum capital of N10 billion minimum capital for Wholesale Development Financial Institutions (WDFI) N5 billion for Retail (RDFIs).

According to the Exposure Draft Regulatory and Supervisory Guidelines for Development

FG to sell N100 billion in bond

The Federal Government plans to auction N100 billion ($617 million) in bonds with tenors ranging from three to 20 years at auction next Wednesday, the Debt Management Auction (DMO) has said.

The DMO Click Here said Thursday that it will offer 15 billion naira in three-year, 50 billion naira in 10-year and 35 billion naira in 20-year debt.

All the bonds are re-openings of previous issues.

Ajibola Aderonke is an auditor at professional services firm Ernst & Young (EY). She previously worked another Big 4 accounting firm PwC. She can be reached at ajibolaaderonke@gmail.com for ideas and suggestions. The post above and its ensuing comments, if any, is purely the opinion of the writer.

World Bank Approves U.S. $495.3 Million to Boost Agriculture in Northern Nigeria

The World Bank on Friday June 20, 2014 said it had approved 495.3 million dollars (about

N80.7 billion) to boost agriculture in Northern Nigeria. This is contained in a statement issued by Mr Bamidele Oladokun, Communications Associate to the World Bank, in Abuja.

The statement said that the bank’s executive directors approved the money to improve farmers’ access to irrigation and drainage services.

It stated that the money was also to strengthen institutional arrangements for integrated water resources management. “The board also intends to enhance delivery of agricultural services in selected large-scale public schemes in the Northern Nigeria.

“This will be done through a project, ”Transforming Irrigation Management in Nigeria (TRIMING).The TRIMING aim is to improve access to irrigation and drainage services and to strengthen institutional arrangements for integrated water resources management and agriculture service delivery in selected large scale public schemes in Northern Nigeria.

Project: Transforming Irrigation Management in Nigeria (Source:http://www.worldbank.org)

FGN-Idle Coal Block Licenses to be revoked

The National Council on Privatisation (NCP) has threatened to revoke all idle coal bloc licenses in the country. The threat was issued after a meeting of the NCP presided over by its Chairman, Vice President Namadi Sambo at the Presidential Villa in Abuja.

FG Threatens to revoke ideal coal block Licenses

The Minister of Mines and Steel Development, Mr Musa Sada, told newsmen that the decision was to ensure that all privatised coal blocs were operational.

Musa said there were 15 coal blocs in the country out of which nine were allotted to private investors while six were reserved for the coal-to-power programme.

“The coal blocs are actually those belonging to the Nigeria Coal Corporation. In the last

Shell Pays $70bn to FG in Five Years

The Managing Director of Shell Petroleum Development Company (SPDC) and Country Chairman of Shell companies in Nigeria, Mr. Mutiu Sunmonu, has disclosed that the group contributed $70billion to the Nigerian coffer from 2009 to 2013: See Breakdown below:

Briefing journalists in Lagos on Wednesday June 25, 2014, Sunmonu stated that while SPDC contributed $44billion, the sister company, Shell Nigeria Exploration and Production Company (SNEPCo) paid $26billion.

CBN Sells Treasury Bills Worth N134.57

The Central Bank of Nigeria (CBN) on Thursday June 26, 2014 said that it sold N134.57 billion worth of treasury bills at Primary Market Auction (PMA) windows.

The Central Bank of Nigeria (CBN) posted the information on the sales of the bills on its website : Here

The CBN said that it sold N21.54 billion worth of 91-day bills, N31.84 billion worth of 182-day treasury bills and N81.19 billion of 364-day treasury bills at the PMA.

It said that the three bills had yield rates of 9.95 percent, 10.25 percent and 10.35 percent respectively.

At the PMA, the apex bank also issued N90 billion worth of one-year bills at a yield rate of 13.87 percent.

The CBN also said that it sold 190-day treasury bills worth N97.09 billion at yield rate of 10.20 percent.

The News Agency of Nigeria (NAN) reports that the bank sold N168.3 billion of the three categories of bills on June 18.

The coupon rates on the three categories of bills were 9.9 per cent, 10.38 per cent and 10.4 per cent respectively.

Ajibola Aderonke is an auditor at professional services firm Ernst & Young (EY). She previously worked another Big 4 accounting firm PwC. She can be reached at ajibolaaderonke@gmail.com for ideas and suggestions. The post above and its ensuing comments, if any, is purely the opinion of the writer.

FGN seeks bids for NITEL’s assets

The federal government is seeking buyers for the assets of distressed Nigerian Telecommunications Plc (NITEL), the state-appointed liquidator said on Monday.

The liquidator, appointed by National Council of Privatisation (NPC) , said in an advert it wanted bidders with five years of telecom experience and a net worth of at least $200 million.

It said bids must be submitted by 1600 GMT on June 30, adding that the assets would be handed over to the preferred bidder in December.

The privatisation body has said it opted for a sale method it called “guided liquidation”

Credit Suisse not too big to jail

Credit Suisse Group AG is a Switzerland-based multinational financial services holding company headquartered in Zürich that operates the Credit Suisse Bank and other financial services investments.

Credit Suisse pleaded guilty to federal criminal charges on Monday May 19 2014. The banking giant pleaded guilty to an “extensive and wide-ranging conspiracy” to help US clients evade taxes over the course of several decades and agreed to pay about $2.6bn in fines as it became the first large global bank in two decades to admit to criminal charges.

As part of the pact, the US Department of Justice will receive $1.8bn in fines and restitution. New York State’s Department of Financial Services will receive $715m, with $100m going to the Federal Reserve.

Credit Suisse said it would book an after-tax charge of SFr1.6bn ($1.79bn) in the second quarter and

BACKGROUND OF IFRS

Users of financial statements have always demanded transparency in financial reporting and disclosures. 

However, the willingness and need for better disclosure practices have intensified only in recent times. Globalization has helped Nigerian Companies raise funds from offshore capital markets. This has required Nigerian companies, desirous of raising funds, to follow the Generally Accepted Accounting Principles (GAAP) of the investing country. 

The different disclosure requirements for listing purposes have hindered the free flow of capital. This has also made comparison of financial statements across the globe impossible. An International body called International Organization of Securities Commissions (IOSCO), to harmonize diverse disclosure practices followed in different countries initiated a movement. The capital market regulators have now agreed to accept IFRS