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  • Inflation Hits 18.17% In March

    Inflation Hits 18.17% In March

     

    Nigeria’s galloping inflation hit a new high of 18.17 per cent in March from 17.33 per cent in the previous  month(February)

     

    According to the recently released data by The National Bureau of Statistics (NBS),  the increase  was 0.82 per cent points higher than the rate recorded in February 2021 (17.33 per cent), adding however, that food index rose by 22.95 per cent in March 2021 compared to 21.79 per cent in February 2021.

     

    According to the document,  the  corresponding 12-month year-on-year average percentage change for the urban index is 15.15 per cent in March 2021.

     

    “This is higher than 14.66 per cent reported in February 2021, while the corresponding rural inflation rate in March 2021 is 13.99 per cent compared to 13.48 per cent recorded in February 2021. “Increases were recorded in all Classifications of Individual Consumption According to Purpose (COICOP) divisions that yielded the headline index.

     

    On month-on-month basis, the headline index increased by 1.56 per cent  in March 2021. This is 0.02 percentage points higher than the rate recorded in February 2021 (1.54 per cent).

     

    NBS attributed the rise in the food index to increases in prices of bread and cereals, potatoes, yam and other tubers, meat, vegetable, fish, oils, fats and fruits.

     

    Similarly, core inflation was further fulled by the highest increases recorded in prices of passenger transport by air, medical services, miscellaneous services relating to the dwelling, passenger transport by road, hospital services, passenger transport by road and pharmaceutical products.

  • Coca-Cola Promotes Environmental Sustainability With “Cash 4 Trash” Initiative In Lagos

    Coca-Cola Promotes Environmental Sustainability With “Cash 4 Trash” Initiative In Lagos

    Coca-Cola Nigeria has launched its “Cash 4 Trash” initiative in Lagos, as the leading total beverage company partnered with Initiative for the Advancement of Waste Management in Africa (W.A.S.T.E Africa) and Mental and Environmental Development Initiative for Children (MEDIC) which formally kicked-off operations on Friday, April 9th, 2021 at the Badore Jetty, Lagos.

     

    This development follows the official launch ceremony which was held in August 2020 where The Coca-Cola Foundation, the philanthropic arm of The Coca-Cola Company, partnered with W.A.S.T.E AFRICA to launch its novel “Cash 4 trash” initiative in 5 communities across Abuja, FCT. This bold initiative is targeted at promoting a waste-free world through waste recovery, recycling, and economic development.

     

    In her opening remarks, Director of Public Affairs, Communications & Sustainability, Coca‑Cola Nigeria, Nwamaka Onyemelukwe said, “A greener environment remains a priority area for Coca-Cola as evidenced by the numerous initiatives launched and supported by The Coca-Cola Foundation. The Cash 4 Trash initiative presents an opportunity for us to ensure a reduced carbon footprint across Nigeria and an improved attitude towards waste management”.

     

    “Cash 4 Trash is an initiative that not only ensures our streets are clean, but also provides monetary rewards to individuals. The incentivised nature of the project will ensure buy-in from all stakeholders and reconcile the best interests of all parties involved”, she added.

     

    Also, speaking at the event, the Founder of MEDIC, Doyinsola Ogunye remarked, “It is a pleasure working with The Coca-Cola Foundation and W.A.S.T.E Africa to directly impact the lives of women and youths. We believe that with this initiative, even young children will imbibe the culture of waste management within the community. With the Cash 4 Trash Initiative, the whole community has a role to play in ensuring the economic and environmental wellbeing of the society”.

     

    Present at the launch event were the Secretary Eti-Osa East LCDA, Hon. Sanni Saheed; Supervisory Counselor Chieftaincy and Community Affairs Eti-Osa East LCDA, Hon. Agbalaya Abiodun; Founder EMR Consult, Wunmi Ogunde; Founder MEDIC, Doyinsola Ogunye; and Director of Public Affairs, Communications & Sustainability, Coca‑Cola Nigeria, Nwamaka Onyemelukwe amongst others.

     

    Cash 4 Trash is a recycling scheme designed to empower communities while ensuring cleaner environments. This initiative will also be executed by leveraging cutting edge technology using the Pakam app, through which recyclers will request pick-up of plastic waste collected. With the continuous funding of recycling initiatives in Nigeria and smart waste collection, Coca-Cola continues to work towards its goal of building a World Without Waste.

     

    Since its launch in 1984, The Coca-Cola Foundation’s donations to sustain local communities around the world has reached $1 billion. The Foundation offers community support programs that have led to the improvement of the quality of life of people and communities across the world.

  • FG Finally Bows To ATCIS’ Pressure, Lifts Ban On Activation of New SIMs

    FG Finally Bows To ATCIS’ Pressure, Lifts Ban On Activation of New SIMs

     

    In line with the persistent agitations by the Association of Telephone, Cable and Internet Subscribers, ATCIS, the Federal Government has lifted the ban on new Subscribers Identification Module (SIMs) card registration, as it fixed Monday, April 19, 2021 as the effective date for implementation.

     

    The latest development was contained in revised National Digital Identity Policy for SIM Card Registration approved by President Muhammadu Buhari.

     

    The government however placed NIN registration as mandatory for registering new SIM cards.

     

    A statement by Technical Assistant (Information Technology) to Minister of Communications and Digital Economy, Dr Femi Adeluyi, reads in part: “The implementation of the Policy will commence on Monday, 19th of April 2021.

     

    “The issuance of New SIMs and other suspended activities will resume on the same date, as long as verification is done and the guidelines are fully adhered to.

     

    “The Minister has also directed NCC and NIMC to ensure that the provisions of the Policy are strictly followed by all operators and subscribers.

     

    “The Policy includes Guidelines on New SIM Acquisition and Activation, SIM Replacement, New SIM Activation for Corporates and Internet-of-Things/Machine-to-Machine (IoT/M2M), amongst others.

     

     “The possession of a National Identity number will be a prerequisite for each of these categories. For the Corporate registration, institutions will be required to appoint a Telecoms Master (at the minimum of an Executive Management level) to provide the operational Primary NIN representation.

     

    “The Telecoms Master will also be responsible for ensuring that the users provide their NINs to serve as a Secondary NIN.

     

    “For IoT/M2M activations, SIM security protocols would be implemented on the SIM profile to ensure that SIMs can only be used for point to point data services specific to the URL they are working with. All other services will be barred.”

     

    Reacting to the development, the ATCIS National President, Hon Sina Bilesanmi lauded the federal government for listening to the voices of the subscribers by ending the ban which he said would also go a long way in ending the suffering of Nigerian youths.

     

    The association, he noted, had written several memos to the Ministry of Communications and Digital Economy on the need to reverse the ban as the suspension of new SIM cards registration had in the last four months rendered over two million youths jobless across the country thereby worsening the security challenges the government was trying to address.

     

    While reiterating that more than 10 billion in revenues have been lost by the telecoms partners in last four months, Bilesanmi noted that over 1 billion in VAT and withholding tax has also been lost by the Federal Government due to the policy.

     

    Specifically, several Nigerian citizens have been subjected to hardship due to miscalculated policies of the NCC as majority of the telecoms business partners, staff and the agents are within the age bracket 20 to 40 years, while income in the value chain is determined by the number of activations /SIM registration carried out within every month, hence leaving them jobless for too long.

    .

    The ATCIS President also reiterated his call on the Federal Government especially the Ministry of Communications and Digital Economy to always invite the association to meetings before critical decisions are taken.

     

    “It is very important for the minister to always call us to meetings. We are the representatives of the Nigerian subscribers. Our inputs are also critical to the development of the ministry especially in terms of digital economy,” Bilesanmi said.

     

    Meanwhile, the ATCIS President said due to the latest development whereby the registration and activation of new SIM cards is expected to commence on Monday, April 19, 2021, the association’s Success Stories Press Conference earlier scheduled to hold on same day in Lagos, has been postponed.  

     

    According to him, the ATCIS Success Stories Press Conference would now hold on Monday May 3, 2021.

     

    The ATCIS is the umbrella body of telephone, cable and internet subscribers in Nigeria cutting across the six geographical areas of the nation.

     

    Speaking on determination of the association to continue speaking and fighting for the rights of Nigerian telephone and cable subscribers, Bilesanmi said over the years, in its sustained effort in protecting the interest and right of telecoms subscribers in Nigeria, ATCIS has spent about N367million since 2014 till 31st January, 2021which has basically been on self-sponsored by members without government agency like NCC, NBC and NIMC input.

     

    The association has made over 630 newspaper publications, both local and international as well as online news publication, Radio and National Television Station Interviews with about 95 landmark achievements so far.

     

  • SIM-NIN Linkage: Obey Court Orders, Stop Threatening Subscribers, ATCIS Warns Pantami

    SIM-NIN Linkage: Obey Court Orders, Stop Threatening Subscribers, ATCIS Warns Pantami

    By Adejuwon Osunnuyi

     

    The Minister of Communications and Digital Economy, Isa Ali Pantami, has been told to stop issuing threats to Nigerian subscribers who are yet to get their SIMs linked to a National Identity Number (NIN).

     

    The National President of the Association of Telephone, Cable and Internet Subscribers, ATCIS, Hon. Sina Bilesanmi gave the warning while speaking with The Business Bells on Wednesday.

     

    Bilesanmi’s warning is coming on the heels of recent statement by the minister telling Subscribers to verify their NINs before the new deadline, May 6 or face comeuppance.

     

    While warning defaulters of government’s imminent actions, based on what he called sponsored reports published about him by some media outlets, Pantami, had in a series of tweets, said no amount of intimidation will stop him from implementing the good policies of President Muhammadu Buhari on security.

     

    “If you are yet to verify your SIM using NIN, do it very soon, before our next action. Criminals are feeling the heat,” he said.

     

    He further noted there was no going back on the issue of NIN-SIM Verification to fight insecurity.

     

    “On the issue of NIN-SIM verification to fight insecurity, there is no going back. Our priority as government based on the provision of our constitution 1999 (as amended) Section 14(2)b is security, not just economy. For sure, no going back at all. Let’s the sponsors continue,” he stressed.

     

    However, according to the ATCIS President; the minister should stop issuing subscribers threat but rather ensure he obeys the court order baring government from deactivating subscribers over failure to link their SIMs.

     

    Recall that a Federal High Court sitting in Lagos State had ordered the federal government to extend the deadline following a suit filed by a former National Vice-President of the Nigerian Bar Association and human rights lawyer, Mr Monday Ubani, on behalf of subscribers, challenging the legality of the timeline.

     

    The court also barred the federal government from deactivating people’s lines by April 6.

     

    “What we are telling the minister is that enough of threatening Nigerians. I believe this is the right time for him (Pantami) to obey the court order rather than threatening to block the lines of Nigerians subscribers over their inability to link their NINs basing his action on insecurity.”

     

    Bilesanmi noted that the court order of March 26 extending the deadline of SIM linkage from April 6 by another two months subsist and superior to government’s to extend it by only one month.

     

    According to him, the one month extension by the government runs contrary to court order which directed that the NIN registration be extended by two months from March 23 when it gave the verdict.

     

    “I believe what they ought to do now is to do the needful as a responsible government by proving jobs for their citizens to avert insecurity.

     

    According to Bilesanmi, unemployment is one of the most serious problems facing Nigeria which the government must address holistically if they want insecurity to abate.

     

    “No doubt, the rising level of unemployment in the country can be attributed for the increase in security challenges in the country.

     

    “Many school leavers and employable adults are unable to secure jobs and the government is unable to act fast enough in finding a solution to this problem.

     

    “Definitely, the high rate of unemployment in the country is directly responsible for the increasing security challenges in Nigeria. For sustainable development to be achieved, the government must urgently address the unemployment crisis facing the country so as to be able to adequately tackle its security challenges.”

     

    “Insecurity is not caused by the subscribers. The issue at hand is for the government to fix unemployment. “

     

    The ATCIS president said the minister should refrain from using President Mohammadu Buhari’s policy which he has continued to  quote in deceiving Nigerians.

     

    According to him, the so called Buhari’s policy should be on how fix Nigeria.

     

    “All the noise the minister has been making is not the way forward. The way forward is to call a round table meetings of stakeholders including ATCIS which is the subscribers’ association body. Pantami has failed to call such stakeholders meetings.”

     

    He noted that the minister is just a single person and therefore cannot be singlehandedly making decisions on over 200 millions subscribers.

     

    “This should be a warning to Pantami. If he fails to do the needful, the whole Nigerian subscribers would call for his removal as a minister,” Bilesanmi submitted.

  • ATCIS, Subscribers Frown At New USSD Charge, Threaten To Go To Court

    ATCIS, Subscribers Frown At New USSD Charge, Threaten To Go To Court

     

    Nigerian subscribers have expressed dissatisfaction with the new Unstructured Supplementary Service Data service charge of N6.98 as they have threatened to take legal action as soon as the new USSD service charge takes effect.

     

    The Central Bank of Nigeria and the Nigerian Communications Commission had announced that USSD services for financial transactions would be charged at a flat rate fee of N6.98 per transaction.

     

    This followed threats by the Mobile Network Operators to withdraw the USSD services from the banks due to an outstanding debt of over N42bn.

     

    The Association of Telephone, Cable TV and Internet Subscribers, ATCIS has expressed displeasure over the new USSD service charge.

     

    The ATCIS National President, Sina Bilesanmi, said the charge was unacceptable and must be rejected by every bank account holder.

     

    “It is exploitative and this dictatorial act must stop forthwith. I am amazed that the same CBN that was initially opposed to the unjustified increase in USSD service charge in 2019 now made the announcement of the hike,” Bilesanmi said.

     

    The ATCIS president called for the immediate reversal of the USSD service charge.

     

    “If the Central Bank of Nigeria and telecommunication companies did not revert to the previous rate, we shall institute a legal action against them,” he added.

     

    Speaking in the same vein, the President, National Association of Telecoms Subscribers of Nigeria, Deolu Ogunbanjo, also described the charge as a step back from financial inclusion.

     

    According to him, it was unacceptable that the quarrel between the banks and the telecom operators was resolved by taxing subscribers

     

    He said the banks should have rather been charged.

     

    “Everything in telecoms that’s meant to put smiling faces on subscriber faces is now being eroded. Why should they increase the USSD transaction fee? It’s appalling and condemnable, and we’ll take it up with them,” Ogunbajo said.

     

    He stated that the group would take the banks to court if the charge gets implemented.

     

    Analysing the N6.98 fee’s impact on financial inclusion, financial expert, Tunji Andrews, said the fee would be a major deterrent to using the channel.

     

    He noted that though the fee structure was cheaper on the average, it was a real time cost which meant customers would see it as a standalone debit.

     

     “This may not go down too well with the majority who use the service. It is unlikely to increase the use of the USSD channels as it realistically does not hold a drastic change for users. It can however reduce the use of USSD, if not properly managed,” he said.

     

    Andrews was also of the opinion that banks should have borne the charge instead of the subscribers.

     

    He stated that, “It is still a banking transaction, enabled by the USSD service. I’m sure telcos would like to run a banking transaction similar to M-Pesa (mobile money transfer service in Kenya) but ours is a bank led environment that puts the power and most of the profit in the hands of the banks.

     

    “The banks should have carried the fee, especially if the goal is financial inclusion. USSD is meant to be a sunk cost, an enabler to bringing more of those without smartphones into the fold.”

     

    However,  the National Coordinator, Alliance for Affordable Internet, Olusola Teniola said the N6.98 USSD charge is a fair fee and could be viewed as a lower cost of using the USSD platform to interact with financial services.

     

    Teniola stated, “I think this is just a way forward. It would improve the financial inclusion that the country needs to move it from its current position to 80 per cent financial inclusion.”

     

    “We always were seeking an amicable resolution to the debts that are outstanding

     

    And I believe that’s certain to happen now that there has been an intervention by the minister.”

  • Nigerian Breweries Recorded Increased Sales Volume in 2020 Despite COVID 19 Pandemic

    Nigerian Breweries Recorded Increased Sales Volume in 2020 Despite COVID 19 Pandemic

     

    The foremost brewing company, Nigerian Breweries Plc recorded significant growth in sales volume in the 2020 financial year despite the impact of the COVID-19 pandemic on businesses.

     

    This was disclosed by Managing Director, Nigerian Breweries Plc, Mr Jordi Borrut Bel at the Pre-Annual General Meeting media briefing of the company held in Lagos on Wednesday, April 7.

     

    Borrut Bel stated that despite the challenges of the COVID-19 pandemic and economic recession, the company recorded an improved performance, primarily driven by robust sales volume growth.

     

    According to him, the significant increase in sales for the 2020 financial year (despite the challenges of COVID-19) could be attributed to the company’s quest for innovation, adoption of e-commerce and other digital best practices to drive sales as well as the hard work and commitment of its staff.

    L-R: Marketing Director, Nigerian Breweries Plc, Emmanuel Oriakhi; Reporting and Accounting Manager, NB Plc, Marcus Alves; Corporate Affairs Director, NB Plc, Sade Morgan and Company Secretary/Legal Director, NB Plc, Uaboi Agbebaku during the Pre-Annual General Meeting media briefing held in Lagos Tuesday

    Borrut Bel listed some of the innovations to include the introduction of Eco-friendly labels for NB non–alcoholic brands; category penetration with premium propositions through the launch of new Desperado Brand (Beer flavoured with Tequila), the launch of two new Maltina variants (Pineapple & Vanilla), change in package designs for some of our existing brands (Legend, Star Radler, Amstel Malta and Life ) to deepen consumer affinity; Introduction of new pack formats and SKU’s extension, product line extensions.

     

    While noting that innovation will remain a major driver for growth in the beer industry, he reaffirmed NB’s commitment to remaining a leader in this field, introducing new products and ideas to drive market demand and meet the yearning of its consumers.

     

    The Managing Director assured stakeholders that the company remains committed to not only keeping its balance sheet strong but ensuring that the health, safety and welfare of its employees, customers and partners are protected.

  • Brand Spur Partners Gerety Awards, Hosts 2021 Jury Panel in Lagos

    Brand Spur Partners Gerety Awards, Hosts 2021 Jury Panel in Lagos

     

    Gerety Awards has been billed to honour Nigerian creatives and in its usual practice, the organizer of the awards has selected a set of jurors who are big names in the Nigerian advertising and marketing communications landscape to judge the entries for 2021 and is also partnering with Brand Spur Nigeria as its main media partner in Nigeria.

     

    The Gerety award is an event that rewards the highest and purest of creative excellence in advertising and communications; created to redefine Advertising and Communications by setting a new benchmark in global creative awards with its all-female power jury.

     

    This award has taken place in notable cities such as Paris, Singapore, Toronto, Budapest, Santiago, Los Angeles (L.A), London, Milan, Berlin to name a few and it is finally happening in Lagos.

     

    The Grand Jury and Executive Jury for this year’s award consists of some of the best creatives, strategists, and media planners in the world of advertising and marketing Communications. The Executive Jury boasts of leading Nigerian women with years of experience building brands across different sectors.

     

    Brand Spur Nigeria will partner with Gerety awards to host the Lagos jury panel, an event which is scheduled to hold in the second week of June after the judging has taken place to enable everyone to understand the factors that influenced the choice of the selected winners of the awards and what is expected to produce award-winning creatives from the lens of the jury.

     

    This partnership comes off Brand Spur’s capability as an enabler for brands and communication activities across Nigeria and globally and the team is excited to be part of this global movement which #choosetochallenge the status quo and see creatives from the balanced view of the female.

     

    In the words of Bolaji Esan, the Editorial Director at Brand Spur Nigeria, “We are excited to be the media partner for the Gerety Awards, an award set out to recognize the impact of female voices in the creative industry while celebrating creativity, talent, innovation and resilience. We see this as a global movement to enable the conversation and further use our platform to build opportunities for women.”

     

    According to Banji Ade-Ajayi, Brand Spur’s Marketing Lead, “The partnership with Gerety Awards is a testament to Brand Spur’s desire to oppose gender-based bias and discrimination against women as this award will further show the intelligence, power and ability of women and how creative they are.”

     

    Co-Founder of the Awards Joe Brooks says, “We are thrilled to spotlight Nigerian creativity with this panel, the work discussed will set a benchmark for the industry through the female vision, and will be a great predictor for all other award taking place later this year”

     

    These Gerety categories are called Cuts (like a diamond) all types of media can be entered to be judged by Innovation, Media, Craft, Communication, Works for Good, Health, Pharma, Entertainment, and Experience. Specifically, for Nigerian Agencies, there is a category called the Portfolio CUT which is where the Nigerian Agency of the year will be chosen from by the Nigerian jury.

     

    The Gerety Awards is named after Frances Gerety, the copywriter who coined the slogan “A diamond is forever” in 1948. The Gerety Awards marks the first time that a jury has been brought together to select the best in advertising — all advertising, not just advertising made for women — through the female lens, creating a benchmark that is relevant to the market reality, all while redefining the standard to which advertising has traditionally been held.

  • Controversies Trail Disbursement of N10bn Covid-19 Bailout To Auto Industry

    Controversies Trail Disbursement of N10bn Covid-19 Bailout To Auto Industry

     

    The N10bn Covid-19 bailout as intervention fund to operators in the Nigeria’s auto industry which is expected to rescue ailing companies and firms to reposition the sector seems to be shrouded in controversy.

     

    Findings by the Nigeria Auto Journalists Association (NAJA) showed that the huge fund is causing ripples as some operators are alleging that they were side-lined in the disbursement.

     

    It was learnt that among the operators who have been asked to submit documents for verification were the interstate luxury bus operators under the aegis of the Public Transport Owners of Nigeria Association (PTONA).

     

    NAJA learnt that having lost billions of naira due to the 98-day lockdown due to the Covid-19 pandemic, they had expected they would deploy the palliative to beef up their business but up till today they are yet to benefit.

     

    In a letter dated March 28, 2021 addressed to the Honourable Minister of State for Transportation, Federal Ministry of Transportation and signed by the Deputy President, Emeka Mamah, the group pleaded for the verification of two key issues as it concerns the fund.

     

    First, PITONA pleaded to the Minister to correct apparent confusion in treating the N10 Billion covid-19 palliative fund approved for Road Transporters as MSME Survival fund domiciled with the Federal Ministry of Industry, Trade and Investment.

     

    The group also asked for immediate disbursement of the N10bn Covid-19 palliative fund to their members to prevent imminent collapse of interstate passenger transport companies in Nigeria.

     

    According to PITONA, efforts made to secure an appointment to pay a working visit to the Honourable Minister to discuss issues relating to the inordinate delay in disbursing the fund to road Transporters proved abortive, as it was not granted.

     

    “However, in your reply to our letter dated 3rd March, 2021 (a copy is attached) our request for the visit was neither approved nor rejected. On the contrary, you simply advised our Association to redirect its inquiry regarding the fund to the Federal Ministry of Industry, Trade & Investment since the intervention fund for the transport sector had been released to the ministry by the Federal Government”, the group stated in the letter.

     

    Lamenting further, PITONA insisted that the N10Billion Covid-19 Palliatives Fund approved by the Federal Government is totally different from an aspect of the N60Billion MSME Survival Fund domiciled with the Federal Ministry of Industry, Trade and Investment, adding that “the N10Billion Covid-19 Palliative Fund was meant to assist road transporters to resuscitate their businesses that were on negative income throughout the 14 weeks that the country was on complete lockdown for all interstate passenger movement due to Covid-19 Pandemic”

     

    On the other hand, an aspect of the N60Billion MSME Survival Fund domiciled with the Federal Ministry of Industry, Trade and Investment is a one-off grant designed to support vulnerable Micro Small and Medium Enterprises in meeting up their salary obligations under the Federal Government’s National Economic Sustainability Plan (NESP)”, PITONA added.

     

    PITONA had earlier in 2020 estimated a loss of about N200bn in revenue just in 10 weeks of the lockdown

     

    Another major operator who spoke under anonymity told our correspondent that when they approached the Federal Ministry of Transportation, they were directed to go and enquire from the Ministry of Industry, Trade and Investment.

     

    On getting to the Ministry of Industry, Trade and Investment, the source disclosed that they were told that the money had been disbursed to Keke-Napep riders

     

    In addition, another transport body, Road Transport Employers Association of Nigeria (RTEAN) also claimed it has not benefited from the fund.

     

    Confirming their position, the National President of RTEAN, Alhaji Musa Muhammed said he was not aware of the fund.

     

    “I am not aware of any N10bn palliative. We have not seen anything. The only money which some of our members got was the N30,000 MSME fund and not many people got the money, Muhammed said.

     

    Efforts made to reach the Director of Press in the Federal Ministry of Transportation, Mr. Eric Ojiekwe proved abortive as he did not pick nor return our call. Also a text message sent to him was not replied.

  • Banks Lift Blockage of USSD Transactions on MTN

    Banks Lift Blockage of USSD Transactions on MTN

     

    Commercial banks have reconnected MTN customers earlier denied access to the unstructured supplementary service data (USSD) payment channels.

     

    In a letter seen by TheCable, on Sunday, Karl Toriola, Managing Director And Chief Executive Officer of MTN Nigeria, announced a decision to revert discount offered to banks on airtime sales to 4.5 percent commission.

     

    The mobile network operator (MNO) had reduced banks’ commission from an average of 3.5 percent to 2.5 percent, this led to a disagreement between MTN and commercial banks.

     

    “Our virtual meeting between yourself (Wigwe) and Segun Agbaje (MD of GTBank) on the one hand and myself (Toriola) and Modupe Kadri (chief financial officer of MTN Nigeria) on the other refers,” the letter read.

     

    “In an attempt to resolve the current USSD recharge impasse, given the interventions from our regulators, we hereby agree The Banks revert to the status quo of 4.5% commission.

     

    “However, the banks and MTN Communications Nigeria Plc, shall sit to agree on various options that will result in the reduction in the costs on 6th of April 2021.”

     

    Commercial banks had asked MTN to reverse its action to the old commission or would block MTN airtime recharge services in both mobile banking applications and unstructured supplementary service data (USSD) payment channels.

     

    Due to MTN’s refusal to revert back the commission percentage, commercial banks except Zenith Bank, which is connected directly to the MNO, denied customers access to the USSD platform, leaving many subscribers stranded and frustrated as they were informed to recharge their lines with physical cards.

     

    On Friday, Isa Pantami, minister of communications and digital economy, had said the issue encountered by MTN users through the USSD channel will be resolved soon.

     

    On Saturday, MTN had offered alternative channels for its subscribers to use in recharging their lines such as dialling *904# and *606#, and other electronic payment platforms.

  • Access Bank Posts Gross Earnings of N764.7bn, Profit N125.9bn In 2020

    Access Bank Posts Gross Earnings of N764.7bn, Profit N125.9bn In 2020

     

    In spite of a challenging economic and regulatory landscape, Access Bank Plc has recorded gross earnings of N764.7 billion for the financial year ended December 31, 2020.

     

    The Bank’s audited gross earnings shows a 15 per cent improvement from the N666.75 billion posted for the comparative period of 2019. While the Bank’s Profit before Tax stood at N125.9 billion, it also posted anon-interest income of N275.5 billion, a significant 112 per cent y/y growth from 2019. This is despite the cost of operating its enlarged franchise.

     

    According to the Group Managing Director and CEO of Access Bank Plc, Herbert Wigwe, the institution’s resilient performance “is testament to the effectiveness of our strategy and capacity to generate sustainable revenue.”

     

    “The strategic actions that the Bank has taken over the past 12 months evidence a strong focus on retail banking and financial inclusion, an African expansion strategy and a drive for scale for sustainable value creation. In 2020, Access Bank proudly opened its doors for business in Kenya and Mozambique, further increasing our footprints across the African Continent. Access Bank Zambia also concluded the acquisition of Cavmont Bank Limited in January 2021 and the Group recently announced the approval by relevant regulatory authorities for the acquisition of Grobank Limited, creating an inroad into the South African market in realization of the Group’s strategic ambitions.

     

    “In view of the opportunities that exist in the market, we will be transitioning to a HoldCo structure. The Bank has received the Approval-In-Principle from the Central Bank of Nigeria for the restructuring and the HoldCo will consist of 4 subsidiaries in order to tap into the market opportunities that are available in the consumer lending market, electronic payments industry and retail insurance market. Going into the fourth year of our 5-year cyclical strategy, our focus remains on consolidating our retail momentum and expanding our African footprint in a sustainable manner,” Wigwe said.

     

    Access Bank Plc recorded a consistent growth in its retail banking business, reporting a 5.8 million growth in customer sign-on during the year through our financial inclusion efforts. This increase in customer base led to a retail revenue of N177.2 billion, a 64.4per cent increase from its full year 2019 figures of N107.8bn. The Bank’s customer deposits also grew by 31 per cent to N5.59 trillion in December 2020 with savings account deposits standing at N1.31trillion. Similarly, net loans and advances grew by 18 per cent to N3.61trillion in comparison to its full year 2019 figures of N3.06 trillion.

     

    As the Bank intensified recovery efforts, undertook significant write off and leveraged its robust risk management practices, its asset quality improved to 4.3 per cent  compared to its 2019 report of 5.8 per cent and this is expected to continue to trend downwards as it strives to surpass the standard it had built in the industry prior to the merger with Diamond Bank.