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PPP and NDDC Examples

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Lauretta Onochie

By Jerome-Mario Chijioke Utomi

It is a time-honoured belief that for an average Nigerian leader, once a direction is chosen, instead of examining the process meticulously and setting the right course, one that will allow us to overcome storm and reach safety before we can progress and achieve our goals, many obstinately persist with the execution of such plans regardless of a minor or major shift in circumstance.

While the above scenario partially explains why Nigeria as a nation still has its head stuck in the mud of underdevelopment, there are, however, hopeful signs that not all public officeholders or government agencies in the country approach public service with such a mentality or leisurely approach.

The recently inaugurated board/management of the Niger Delta Development Commission (NDDC), a federal government agency saddled with the sole mandate of developing the oil-rich Niger Delta, is a typical example of a group that has to do far discharged constitutionally assigned responsibility not for private gain but for the purpose of the greater good for the greater number- and practised public leadership laced in principle and international best practices.

Aside from the visible departure from the old leadership order,  the recent passionate plea for government-private sector collaboration for sustainable development and signing of a Memorandum of Understanding (MoU) with the United States Consulate and a United States-based firm, Atlanta Global Resources Inc., AGRI, to build a railway network that will connect the nine states of the Niger Delta region, further underscores my assertions.

Essentially, participants at a one-day summit put together by the new board/management were unanimous that for the sustainable development of the Niger Delta region to be achieved, partnership and collaboration must be at its centre. It was clearly stated that the scale and ambition call for smart partnerships, collaborations, ecosystem thinking, co-creation and alignment of various intervention efforts by the public and private sectors and civil society. The summit, which had the theme “Rewind to Rebirth,” was held on Tuesday, April 25th, 2023, at the Eko Convention Centre, Eko Hotels & Suites, Victoria Island, Lagos.

The event was, among other goals, aimed at finding creative and innovative ways by all strata of the society-public and private sector -to promote sustained and inclusive economic growth, social development and environmental protection of the Niger Delta region.

Different speakers present at the event brought to the fore the reality of the infrastructural deficit facing the Niger Delta region and the government’s helplessness in this regard, justifying as imperative NDDC’s calls for partnership with the private sector.

Still ruminating on this whole thought of partnership and sustainability as discussed by the gathering, it has dawned on me that the new NDDC board/management has not only brought a shift in the nation’s public leadership paradigm but set a sterling leadership example that other government agencies, commissions, ministries and in fact the incoming administration must study and adopt as a dashboard to correcting the nation’s leadership challenge which is gravitating to a culture.

Very profound the NDDC board/management recognition that inadequate funding ranks very high among the numerous challenges of the Commission and the use of the Public Private Partnership model to provide an alternative funding source for key development projects and programs is, in my view, in alignment with the Goals 17, of 2030 Sustainable Agenda, a United Nations initiative and successor programme to the Millennium Development Goals (MDGs)- with a collection of 17 global goals formulated among other aims to promote and carter for people, peace, planet, and poverty. It currently preaches partnership and collaboration at its centre and clearly specifies that the scale and ambition of this agenda call for smart partnerships, collaborations, ecosystem thinking, co-creation and alignment of various intervention efforts by the public and private sectors and civil society.

Like the new NDDC board and management that have demonstrated passion for their purpose, practised their values consistently and lead with their hearts as well as their heads, this piece believes that this time is auspicious for our government at all levels to switch over to a leadership style that is capable of making successful decisions built on a higher quality of information.

As a nation,  it is important for the incoming administrations at both state and federal levels to openly admit and adopt both structural and managerial changes in ways that welcome approaches and impose leadership discipline than conventional, and create government institutions that are less extractive but more innovative in operation. This shift in action is important as we cannot solve our socio-economic challenges with the same thinking we used when we created it.

Even as this piece celebrates and postures the NDDC board/management as a people that are desirous of ushering growth and structural change in the Niger Delta region, with some measures of distributive equity, modernization in social attitudes and improvement in health and education of the people, there exists yet, some steps that the board/management must take to catalyze sustainable development of the area that will guarantee the security and comfort of the present and future generations of Deltans.

First and very fundamental, the new partnership between the government and private sector in the race for massive infrastructural development calls for a higher level of transparency on the part of the government (NDDC). Transparency will remain the cornerstone as it will increase the confidence expected by these interventionists’ private sectors as well as the civil society groups who may not be disposed to invest in an environment that is devoid of transparency and accountability.

Very instructive also; finding a solution to the societal problems vis-a-vis youth unemployment in the region and developing a climate of sustainable future and innovation is another part of the goal that needs disciplined attention from NDDC. Talking about youth unemployment in Nigeria, a report recently puts it this way: “We are in dire straits because unemployment has diverse implications. Security Wise, a large unemployed youth population, is a threat to the security of the few that are employed. Any transformation agenda that does not have job creation at the centre of its programme will take us nowhere”.

Youths challenge cuts across regions, religions, and tribes and have led to the proliferation of ethnic militia as well as youth restiveness across the country. This may, in turn, hamper the peace needed in the region if handled with levity. Particularly,  this threat is more pronounced in the oil-rich region of the country, with a chunk of the proponents spearheaded by the large army of professionally trained ex-militants currently without a job. It is only by engaging these teeming youths through employment creation that the incessant youth restiveness can be abated.

Secondly, the current NDDC board/management must not fail to remember that going by the Act establishing the Commission, its scope of coverage extends to roads, jetties and waterways, health, education, employment, industrialization, agriculture and fisheries, housing and urban development, water supply, electricity and telecommunications among others. This piece holds the opinion that none of these aspects should be abandoned for any reason.

Most importantly, the piece suggests that there is an urgent imperative for the current board/management to revisit the Niger Delta Regional Master Plan launched in 2007 for implementation over a 15-year period which was abandoned for yet-to-be-identified reasons by previous administrations.  As a people, we must remember that the Master Plan has legal backing as Section 7(d) of the NDDC Act 2000 empowers the Commission to prepare master plans and schemes designed to promote the physical development of the Niger Delta area and the estimates of the costs of implementing such master plans and schemes and therefore should not be discarded.

Finally, this piece submits that the NDDC’s new board/management is providing the Commission with the needed leadership and, therefore, should be supported by all stakeholders.

Utomi is the Program Coordinator (Media and Politics), Advocacy for Social and Economic Justice (SEJA), Lagos. He can be reached via 08032725374

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The Future of Payments: Key Trends to Watch in 2025

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Luke Kyohere

By Luke Kyohere

The global payments landscape is undergoing a rapid transformation. New technologies coupled with the rising demand for seamless, secure, and efficient transactions has spurred on an exciting new era of innovation and growth. With 2025 fast approaching, here are important trends that will shape the future of payments:

1. The rise of real-time payments

Until recently, real-time payments have been used in Africa for cross-border mobile money payments, but less so for traditional payments. We are seeing companies like Mastercard investing in this area, as well as central banks in Africa putting focus on this. 

2. Cashless payments will increase

In 2025, we will see the continued acceleration of cashless payments across Africa. B2B payments in particular will also increase. Digital payments began between individuals but are now becoming commonplace for larger corporate transactions. 

3. Digital currency will hit mainstream

In the cryptocurrency space, we will see an increase in the use of stablecoins like United States Digital Currency (USDC) and Tether (USDT) which are linked to US dollars. These will come to replace traditional cryptocurrencies as their price point is more stable. This year, many countries will begin preparing for Central Bank Digital Currencies (CBDCs), government-backed digital currencies which use blockchain. 

The increased uptake of digital currencies reflects the maturity of distributed ledger technology and improved API availability. 

4. Increased government oversight

As adoption of digital currencies will increase, governments will also put more focus into monitoring these flows. In particular, this will centre on companies and banks rather than individuals. The goal of this will be to control and occasionally curb runaway foreign exchange (FX) rates.

5. Business leaders buy into AI technology

In 2025, we will see many business leaders buying into AI through respected providers relying on well-researched platforms and huge data sets. Most companies don’t have the budget to invest in their own research and development in AI, so many are now opting to ‘buy’ into the technology rather than ‘build’ it themselves. Moreover, many businesses are concerned about the risks associated with data ownership and accuracy so buying software is another way to avoid this risk. 

6. Continued AI Adoption in Payments

In payments, the proliferation of AI will continue to improve user experience and increase security.  To detect fraud, AI is used to track patterns and payment flows in real-time. If unusual activity is detected, the technology can be used to flag or even block payments which may be fraudulent. 

When it comes to user experience, we will also see AI being used to improve the interface design of payment platforms. The technology will also increasingly be used for translation for international payment platforms.

7. Rise of Super Apps

To get more from their platforms, mobile network operators are building comprehensive service platforms, integrating multiple payment experiences into a single app. This reflects the shift of many users moving from text-based services to mobile apps. Rather than offering a single service, super apps are packing many other services into a single app. For example, apps which may have previously been used primarily for lending, now have options for saving and paying bills. 

8. Business strategy shift

Recent major technological changes will force business leaders to focus on much shorter prediction and reaction cycles. Because the rate of change has been unprecedented in the past year, this will force decision-makers to adapt quickly, be decisive and nimble. 

As the payments space evolves,  businesses, banks, and governments must continually embrace innovation, collaboration, and prioritise customer needs. These efforts build a more inclusive, secure, and efficient payment system that supports local to global economic growth – enabling true financial inclusion across borders.

Luke Kyohere is the Group Chief Product and Innovation Officer at Onafriq

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Ghana’s Democratic Triumph: A Call to Action for Nigeria’s 2027 Elections

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ghana election 2024

In a heartfelt statement released today, the Conference of Nigeria Political Parties (CNPP) has extended its warmest congratulations to Ghana’s President-Elect, emphasizing the importance of learning from Ghana’s recent electoral success as Nigeria gears up for its 2027 general elections.

In a statement signed by its Deputy National Publicity Secretary, Comrade James Ezema, the CNPP highlighted the need for Nigeria to reclaim its status as a leader in democratic governance in Africa.

“The recent victory of Ghana’s President-Elect is a testament to the maturity and resilience of Ghana’s democracy,” the CNPP stated. “As we celebrate this achievement, we must reflect on the lessons that Nigeria can learn from our West African neighbour.”

The CNPP’s message underscored the significance of free, fair, and credible elections, a standard that Ghana has set and one that Nigeria has previously achieved under former President Goodluck Jonathan in 2015. “It is high time for Nigeria to reclaim its position as a beacon of democracy in Africa,” the CNPP asserted, calling for a renewed commitment to the electoral process.

Central to CNPP’s message is the insistence that “the will of the people must be supreme in Nigeria’s electoral processes.” The umbrella body of all registered political parties and political associations in Nigeria CNPP emphasized the necessity of an electoral system that genuinely reflects the wishes of the Nigerian populace. “We must strive to create an environment where elections are free from manipulation, violence, and intimidation,” the CNPP urged, calling on the Independent National Electoral Commission (INEC) to take decisive action to ensure the integrity of the electoral process.

The CNPP also expressed concern over premature declarations regarding the 2027 elections, stating, “It is disheartening to note that some individuals are already announcing that there is no vacancy in Aso Rock in 2027. This kind of statement not only undermines the democratic principles that our nation holds dear but also distracts from the pressing need for the current administration to earn the trust of the electorate.”

The CNPP viewed the upcoming elections as a pivotal moment for Nigeria. “The 2027 general elections present a unique opportunity for Nigeria to reclaim its position as a leader in democratic governance in Africa,” it remarked. The body called on all stakeholders — including the executive, legislature, judiciary, the Independent National Electoral Commission (INEC), and civil society organisations — to collaborate in ensuring that elections are transparent, credible, and reflective of the will of the Nigerian people.

As the most populous African country prepares for the 2027 elections, the CNPP urged all Nigerians to remain vigilant and committed to democratic principles. “We must work together to ensure that our elections are free from violence, intimidation, and manipulation,” the statement stated, reaffirming the CNPP’s commitment to promoting a peaceful and credible electoral process.

In conclusion, the CNPP congratulated the President-Elect of Ghana and the Ghanaian people on their remarkable achievements.

“We look forward to learning from their experience and working together to strengthen democracy in our region,” the CNPP concluded.

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The Need to Promote Equality, Equity and Fairness in Nigeria’s Proposed Tax Reforms

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tax reform recommendations

By Kenechukwu Aguolu

The proposed tax reform, involving four tax bills introduced by the Federal Government, has received significant criticism. Notably, it was rejected by the Governors’ Forum but was still forwarded to the National Assembly. Unlike the various bold economic decisions made by this government, concessions will likely need to be made on these tax reforms, which involve legislative amendments and therefore cannot be imposed by the executive. This article highlights the purposes of taxation, the qualities of a good tax system, and some of the implications of the proposed tax reforms.

One of the major purposes of taxation is to generate revenue for the government to finance its activities. A good tax system should raise sufficient revenue for the government to fund its operations, and support economic and infrastructural development. For any country to achieve meaningful progress, its tax-to-GDP ratio should be at least 15%. Currently, Nigeria’s tax-to-GDP ratio is less than 11%. The proposed tax reforms aim to increase this ratio to 18% within the next three years.

A good tax system should also promote income redistribution and equality by implementing progressive tax policies. In line with this, the proposed tax reforms favour low-income earners. For example, individuals earning less than one million naira annually are exempted from personal income tax. Additionally, essential goods and services such as food, accommodation, and transportation, which constitute a significant portion of household consumption for low- and middle-income groups, are to be exempted from VAT.

In addition to equality, a good tax system should ensure equity and fairness, a key area of contention surrounding the proposed reforms. If implemented, the amendments to the Value Added Tax could lead to a significant reduction in the federal allocation for some states; impairing their ability to finance government operations and development projects. The VAT amendments should be holistically revisited to promote fairness and national unity.

The establishment of a single agency to collect government taxes, the Nigeria Revenue Service, could reduce loopholes that have previously resulted in revenue losses, provided proper controls are put in place. It is logically easier to monitor revenue collection by one agency than by multiple agencies. However, this is not a magical solution. With automation, revenue collection can be seamless whether it is managed by one agency or several, as long as monitoring and accountability measures are implemented effectively.

The proposed tax reforms by the Federal Government are well-intentioned. However, all concerns raised by Nigerians should be looked into, and concessions should be made where necessary. Policies are more effective when they are adapted to suit the unique characteristics of a nation, rather than adopted wholesale. A good tax system should aim to raise sufficient revenue, ensure equitable income distribution, and promote equality, equity, and fairness.

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