Economy
Alleged Paris Loan Diversion: SERAP Gives FG 7 Days to Sue States
By Dipo Olowookere
An interest group called the Socio-Economic Rights and Accountability Project (SERAP) has given the Federal Government seven days to initiate legal action against states that allegedly diverted and mismanaged the N388.304 billion London/Paris Club loan refunds.
In the open letter dated February 17, 2017 and signed by SERAP executive director, Mr Adetokunbo Mumuni, the group said it strongly believes that passing on information on the spending by states of N388.304 billion London Paris Club loan refunds to the Attorney General of the Federation and Minister of Justice Abubakar Malami (SAN) and bringing a case against the states that have allegedly diverted and mismanaged funds meant for payment of salaries and pension is rational, and would be a powerful tool to deter corruption in the states of the federation.
SERAP urged the Accountant-General of the Federation, Mr Ahmed Idris, to urgently pass on information to Mr Malami (SAN) so that he can take steps to initiate legal action against the states that allegedly diverted and mismanaged the funds.
“We request that you take this step within 7 days of the receipt and/or publication of this letter, failing which SERAP will institute legal proceedings to compel the discharge of duty in this matter,” the group said.
“Pursuing such action will also send a strong message that President Muhammadu Buhari would not tolerate corruption in the disbursement of funds by his government no matter who is involved.
“Such legal action will be deemed incidental to the power of the federal government to achieve effective implementation of anticorruption legislation such as the ICPC Act, which is applicable in all states of the federation, and will not amount to interference with activities within the states involved.
“The Accountant General of the Federation ought to be decisive in this matter and pass on the information on the release and spending of the funds, especially given the fact that the current economic problem and recession is largely attributable to widespread corruption and abuse of power, and that foreign countries generally regard and treat Nigerians as corrupt people.
“To do otherwise is to limit the scope of the anticorruption agenda of the federal government, and encourage impunity for alleged corruption and mismanagement within these states.
“SERAP is seriously concerned about allegations of corruption and mismanagement of funds by several states including under-declaration of refunds; diversion of some of the loan funds; curious payment of service charge to some consultants and tracing of some of the cash to personal accounts of some governors.
“Rather than spending the funds to pay all outstanding salaries of workers and provide targeted social assistance schemes for pensioners, several states have allegedly diverted and mismanaged the funds.
“SERAP is also concerned that allegations of corruption and mismanagement of in the spending of N388.304 billion London Paris Club loan refunds have undermined the human dignity of workers and pensioners facing difficult circumstances that deprive them of their capacity to fully realize their internationally recognized economic and social rights.
“The allegations of corruption in the spending of the London Paris Club loan refunds have also exacerbated poverty, social exclusion, and violated the government’s obligation to use its maximum available resources to fully realize the right of all persons especially workers and pensioners who are the most vulnerable sectors of the population.
“Allegations of corruption and mismanagement in the spending of N388.304 billion London Paris Club loan refunds by states are of utmost national concerns, as they affect the body politic of the country, and undermine constitutional authority of the federal government to fight corruption and abuse of power under enabling legislation.
“Legal action your office is also wholly consistent with the aim of the Constitution to wipe out corrupt practices, as entrenched in section 15(5) of the1999 Constitution (as amended) which provides that “the state shall abolish corrupt practices and abuse of power.
“Under section 10(2) of the Interpretation Act, the constitution and the Corrupt Practices and Other Related Offences Act, which confer power to do any act, “shall be construed as also conferring all such other powers as are reasonably necessary to enable that act to be done or are incidental to the doing of it.
“SERAP notes that President Muhammadu Buhari has promised that his government will take corruption and abuse of power regardless of who is involved, and underscored the fact that there can be no sustainable development where corruption is the norm.
“SERAP therefore asks you to release the information on the funds to Mr Malami so that he can take steps to pursue appropriate legal action against states that allegedly diverted and mismanaged the London Paris Club loan refunds with a view to seeking from the state publication of the following including on a dedicated website: a. Detailed information on the total amount of the London Paris Club loan refunds that have been spent by each state; b. Details on the total amount of the funds spent on outstanding workers’ salaries and pension as well as other projects as appropriate.
“According to SERAP’s information, the Federal Government released N388.304billion of the N522.74 billion to 35 states as refunds of over-deductions on London-Paris Club loans. The amounts received by the states are as follows: Akwa Ibom N14.5bn; Bayelsa N14.5bn; Delta N14.5bn; Kaduna N14.3bn; Katsina N14,5bn; Lagos N14.5bn; Rivers N14.5bn; Borno N13,654138,849.49; Imo 13bn; Jigawa 13.2bn; Niger N13.4bn; Bauchi N12.7bn and Benue N12.7bn.
“Other states Anambra N11.3bn; Cross River N11.3bn8; Edo N11.3bn; Kebbi N11bn; Kogi N11.2bn; Osun N11.7bn; Sokoto N11.9bn; Abia N10.6bn; Ogun N10.6bn; Plateau N10.4bn; Yobe N10bn; and Zamfara N10bn. Other states are: Adamawa N4.8bn; Ebonyi N3.3bn; Ekiti N8.8bn; Enugu N9.9bn; Gombe N8.3bn; Kwara N5.4bn; Nasarawa N8.4bn; Ondo N6.5bn; Oyo N7.2bn and Taraba N4.2bn,” the letter read in parts.
By Adedapo Adesanya
The Federal Competition and Consumer Protection Commission (FCCPC) is set to investigate leading cement manufacturers over allegations of price manipulation in the Nigerian cement market.
The anti-trust agency has formally issued a Notice of Commencement of Investigation and Summons to Produce to major manufacturers in Nigeria’s cement industry following preliminary findings from a three-month cross-border study conducted by its Anticompetitive Practices Department. Some of Nigeria’s manufacturers include Dangote Cement, BUA Cement and HBM Nigeria, previously known as Lafarge Africa.
The investigation, according to a statement signed by the Director of Corporate Communications at FCCPC, Mr Ondaje Ijagwu, was initiated in response to persistent public complaints over the rapidly rising cost of cement.
The commission’s preliminary 40-page field report revealed a sharp increase in retail prices during the first half of 2026, where a 50kg bag selling for between N9300 and N9700 in January escalated to between N13,000 and N15,000 in several regions by July.
The FCCPC noted that Nigeria maintains an installed production capacity exceeding 60 to 65 million metric tonnes annually against an estimated domestic demand of roughly 25 to 30 million metric tonnes, creating a situation of significant excess installed capacity where downward price pressure would ordinarily be expected.
It also stated that cross-border comparative metrics across Sub-Saharan and North African markets revealed that retail prices in Nigeria remain significantly higher than in countries such as Kenya, Tanzania and Togo despite Togo lacking natural limestone deposits.
“Of particular concern to the commission is that this level of production capacity has not resulted in the downward pressure on domestic prices that might ordinarily be expected in a competitive market with substantial excess capacity,” the agency said.
While cement manufacturers have pointed to macroeconomic headwinds, including persistent Naira depreciation, rising energy expenses, transport logistics, and the inflated cost of imported industrial machinery spare parts, the FCCPC is actively auditing these claims against verified operational data.
Through the formal summons, the commission is legally requiring the affected entities to present comprehensive documentation detailing their pricing methods, factory capacity utilisation rates, export volumes, and distribution network agreements.
The UK has quickly become an excellent destination for Nigerian tech firms to scale into international markets. The bilateral trade between the UK and Nigeria reaching a record £8.1 billion per year, and Nigerian fintech companies spending more than £100 million in the UK market are clear indications that the UK is much more than just a financial centre.
If you are a Nigerian tech businessperson, the UK offers an excellent combination of opportunities to raise funds, a favourable regulatory environment, and a clear growth path. Nigerian tech businesspeople may need to hire foreign workers to expand their workforce.
They can seek guidance for companies hiring international talent in the UK, especially if they are unfamiliar with the UK immigration system. This article explains why the UK has become a trusted market for Nigerian tech entrepreneurs, the visa options available to Nigerian entrepreneurs, and other relevant details.
Why the UK Is Attractive for Nigerian Tech Startups
Nigerian Tech startups seek to open a business in UK for various reasons, including:
Access to Funding
A significant reason the UK is appealing to Nigerian tech startups is its access to capital. London, the UK’s capital, is a major global financial hub and Europe’s leading technology centre. It has an extensive range of venture capital firms, angel investors, institutional investors, and technology-oriented capital sources.
If a Nigerian startup’s expansion goal is to raise international capital, it could become much easier to establish a genuine UK presence, especially in London, and to develop relationships with investors who regularly evaluate firms operating in various regions. This can also help Nigerian tech companies build trust with their international partners and global clients.
Cultural and Legal Synergies
The cultural and legal familiarity between the UK and Nigeria makes it much easier for Nigerian tech firms to move to the country. The legal system of Nigeria is rooted in English common law, with English being the language of trade and business.
This means that Nigerian entrepreneurs will probably find certain elements of contract negotiation, documentation, and business operations much more familiar compared to doing business in an entirely different legal environment.
However, this familiarity does not eliminate the need for UK-specific legal guidance, as certain issues, including employment law, taxation, and data protection, must be understood and followed.
Government and Institutional Support
Governmental connections between the UK and Nigeria offer another reason why a Nigerian tech startup may wish to open business in the UK. The connection between the two countries encompasses collaboration on technology, investment, innovation, and trade.
Programs associated with the UK-Nigeria Tech Hub have facilitated connections among entrepreneurs, technology ecosystems, and innovation networks in both nations. This has brought about mutual respect and collaboration between the two nations, making business growth and innovation more seamless.
Nigerian Tech Companies Expanding to the UK
The UK is one of the best countries for Nigerian tech companies, as it offers economic stability, easy access to global funding, a familiar common-law system, and bilateral support mechanisms, such as the UK-Nigeria Tech Hub and the UK-Nigeria Enhanced Trade and Investment Partnership (ETIP), which reduced barriers and opened new pathways for growth in sectors such as technology, financial services, and advanced manufacturing.
Major tech startups in Nigeria, such as LemFi, Moniepoint, and Kuda, have chosen the UK as their global or strategic headquarters to grow internationally. LemFi has committed £100 million over 5 years and has positioned London as its world headquarters. Moniepoint aims to reach 100 employees in London by the year-end of 2026.
Kuda Bank wants to double its representation in the UK, while 7 Nigerian banks operating there support at least 1,000 jobs. Zenith Bank has opened a new branch in Manchester and has been considering a potential listing on the London Stock Exchange in 2027.
These scenarios mean that Nigeria is becoming a net exporter of financial services expertise and capital. In light of this, when Nigerian tech companies move to open a business in UK, they will be entering an environment that is welcoming to African innovation and where their fellow Nigerians have had success.
UK Visa for Nigerian Entrepreneurs
The Innovator Founder visa is a crucial pathway for Nigerian entrepreneurs seeking to establish a technology venture in the UK. The pathway is intended for entrepreneurs who wish to set up an innovative, viable, and scalable business within the United Kingdom.
In contrast to the previous Innovator pathway, there is no mandatory minimum investment threshold. Nevertheless, Nigerian entrepreneurs must obtain endorsement by a specified UK endorsing body.
Nigerian entrepreneurs need to meet other eligibility criteria, including Innovator Founder visa English requirements, usually at the B2 level of the Common European Framework of Reference for Languages (CEFR).
Entrepreneurs must also demonstrate that they have sufficient funds to cover their personal expenses upon entering the UK. To demonstrate they have sufficient funds, they must present a bank statement showing personal savings of up to £1,270 for 28 consecutive days.
They must also have sufficient funds to cover the expenses of any dependent accompanying them to the UK. This includes an additional £285 for a partner, £315 for the first child and £200 for each additional child in the application.
Alternative Routes
There are other pathways through which Nigerian entrepreneurs can enter the UK to carry out their businesses. The appropriate route to choose depends on the business’s objectives in the UK and its expected timeframe.
A UK Standard Visitor visa would be ideal if the objective is to attend business-related meetings, conferences and negotiations. However, entrepreneurs cannot use this visa to establish and manage a UK business as a main occupation.
For existing companies in Nigeria planning to expand their businesses in the United Kingdom, the UK Expansion Worker visa (under the Global Business Mobility route) is best suited to a qualified senior employee seeking to help their company expand into the UK market.
Frequently Asked Questions
Do I Need a UK Visa If I Already Run a Nigerian Tech Company?
Yes, you need a UK visa to travel to the UK, as running a business in Nigeria does not grant you UK visa-free access. Moreover, Nigerian nationals are non-visa nationals to the UK. As such, Nigerian entrepreneurs and businesspeople must always obtain a UK visa that aligns with their purpose of travel whenever they intend to enter the country.
Do I Need a Physical Office in the UK to Register a Company?
You do not need a physical office to form a UK company, but you must have an officially recognised office in the UK where your business will be registered. This is an address which will receive government correspondence regarding the business.
How Long Does It Take to Expand a Nigerian Tech Business into the UK?
Expanding a Nigerian Tech business into the UK can take up to 3 to 6 months. This period is usually necessary for establishing an IT company operating in Nigeria before it begins operations in the UK. The time it will take entrepreneurs to incorporate such a business depends on whether they choose to establish a remote subsidiary or relocate founders through specific visas such as the Innovator Founder visa or the Global Business Mobility route.
Conclusion
The UK has become a potentially significant destination for expansion for many Nigerian tech startups seeking to open a business in the UK to access the global market. Nigerian tech startups can access funds, qualified personnel, well-developed tech networks, and solid business connections in the UK. To fully benefit from these advantages, Nigerian tech startups must move beyond a basic digital presence and execute a highly strategic, structural integration into the British ecosystem. For Nigerian tech startups to survive and grow in this circumstance, a deliberate effort in structuring and regulation is required.
By Aduragbemi Omiyale
One of the leading manufacturing companies in the country, May & Baker Nigeria Plc, has distanced itself from an investment scheme it described as “fraudulent.”
In a statement on Tuesday, the firm stressed that it has no relationship whatsoever with M&B Equity Stake investment scheme, warning members of the public to “remain vigilant and verify any purported investment opportunity or communication relating to the company through its official communication channels before taking any action.”
May & Baker disclosed that it is not currently undertaking any rights issue, public offer or other capital-raising exercise involving the solicitation of investments from the public.
It stated that any future capital-raising exercise will be formally communicated through its authorised communication channels and conducted in accordance with applicable laws, regulations and the requirements of the Nigerian Exchange (NGX) Limited and other relevant regulatory authorities.
It, therefore, advised the investing public “to disregard such communications, refrain from making any payment or disclosing personal or financial information in response to them and report any such fraudulent activity to the appropriate authorities.”
May & Baker said any person, platform, flier, message, website or other communication soliciting funds from the investing public in the name of May & Baker Nigeria Plc in connection with an M&B Equity Stake or similar investment opportunity is fraudulent, unauthorised and not issued by or on its behalf.
