General
Survey Lists Major Challenging Issues for Nigerian Businesses
By Adedapo Adesanya
The frequent power outages have been identified as one of the most pressing challenges for Nigerian businesses, forcing many firms to depend on alternative energy sources, the latest survey by the Nigerian Economic Summit Group (NESG) shows.
The NESG-Stanbic IBTC Business Confidence Monitor (BCM) is the flagship survey-based report of the NESG, supported by Stanbic IBTC.
The report showed that businesses faced significant growth challenges in the month under review, with inadequate power supply, insecurity, limited access to financing, and the complexity of multiple tax regulations topping the list.
Despite these constraints, businesses in Nigeria recorded a modest improvement in performance during the month, reflecting a seasonal uplift in the business environment.
As a result, the current Business Performance Index for December 2024 came in at +0.77, reflecting a rise in business activities and a moderate improvement compared to -2.74 in November 2024.
These constraints contributed to weak positive outcomes in the general business situation (+23.13) and production levels (+17.80).
Other challenges include the high exchange rate of the local currency against global trading currencies which escalated import costs, adversely affecting profitability and pricing strategies.
Businesses also lamented limited access to financing, which remained a persistent structural obstacle, further hindering business growth throughout the month.
A sub-sectoral analysis for December revealed broadly subdued outcomes, with a negative performance recorded in Manufacturing (-2.43), Services (-3.46), and Trade (-5.59).
Conversely, weakly positive results were observed in the Agriculture (+13.93) and Non-manufacturing (+5.80) sectors in the reviewed month.
It was established that structural challenges in Nigeria’s business environment intensified, restraining growth despite higher seasonal demand. Elevated inflation and exchange rates drove up operational costs and consumer prices.
The Cost of Doing Business Index rose sharply by +50.32, underscoring mounting pressures. Access to credit improved slightly (+8.25) driven by response to expanding business activities typical of this period.
Amid this, businesses identified the high cost of financing as a critical barrier to current performance and future growth expectations.
The most significant negative impacts were seen in reduced investment (-31.46) and declining price levels (-30.86), which severely hampered overall business activity and demand conditions.
General
Senate Directs Service Chiefs to Probe Military Attacks in Borno
By Adedapo Adesanya
The Senate has directed the Chief of Defence Staff (CDS), General Olufemi Oluyede, and other service chiefs to carry out a comprehensive operational and logistical audit following recent attacks on military formations in Benisheikh and Monguno, Borno State.
The resolution, passed during plenary on Wednesday, mandates an in-depth review of the circumstances surrounding the assaults, including an assessment of equipment adequacy and adherence to rules of engagement.
The lawmakers also called on the Armed Forces to address any gaps identified in the course of the audit.
The Senate also urged the military to investigate allegations of civilian harm during operations, with a view to ensuring accountability and preventing future occurrences.
These decisions followed a motion raised by Mr Tahir Monguno, a Senator representing Borno North, on the urgent need to curb attacks on military formations by Boko Haram insurgents.
Presenting the motion, the lawmaker expressed deep concern over recent incidents that resulted in the deaths of several personnel, including Brigadier General Oseni Braimoh, Colonel Mohammed Isya, Captain A.M. Esmat, Lieutenant Kelvin Festus, and 13 other soldiers.
Mr Monguno noted that repeated attacks on Monguno, described as a strategic garrison town, and Benisheikh, a key location along the Damaturu–Maiduguri highway, indicate a deliberate effort by insurgents to weaken military operations and disrupt vital humanitarian and commercial routes.
Lawmakers acknowledged the sacrifices of the Nigerian Armed Forces in the ongoing counter-insurgency campaign, highlighting the loss of personnel in the latest attacks.
They warned that the resurgence of violence against both military installations and civilian communities threatens national security, food systems, and ongoing efforts to resettle internally displaced persons in Borno State.
The Senate underscored the importance of protecting civilians, noting that it remains a fundamental obligation under both national and international humanitarian law and is critical to maintaining public trust.
As part of its resolutions, the chamber condemned the continued attacks by Boko Haram and observed a minute of silence in honour of fallen military personnel and affected civilians.
It also urged the Armed Forces to strengthen compliance with rules of engagement and international humanitarian law, including enhanced training on civilian protection.
Other lawmakers like Mr Abdul Ningi called for the suspension of political activities in Benue, Niger, and Sokoto, among other North East states, until the security situation improves.
General
Lagos Free Zone, CEVA to Enhance Integrated Logistics in West Africa
By Modupe Gbadeyanka
A strategic joint venture agreement has been signed between the Lagos Free Zone (LFZ) and CEVA Logistics. The deal will advance integrated logistics solutions in Nigeria and West Africa.
Under the agreement, a warehouse will be put in place within Lagos Free Zone, home to Nigeria’s Lekki Deep Sea Port. This facility positions importers to seamlessly access West African markets, particularly multinational manufacturers serving the region.
Importers leveraging the free zone warehouse facilities at Lekki Port will benefit from duty-free exports to the Economic Community of West African States (ECOWAS) markets, creating a streamlined and cost-effective logistics solution.
Because the logistics journey to this region requires a deep understanding of trade lanes, local port operations, and customs procedures, CEVA Logistics stands the chance to use its experience to deliver quality service to customers.
The JV will enable businesses to focus on their core operations while ensuring a seamless journey for goods from global origins to West African destinations.
According to the Vice President of Air and Ocean Product at CEVA IMEA, Jean-Baptiste Rambaud, the partnership will mark a new phase of enhanced logistics solutions, leading to a seamless journey for global trade in West Africa, a region with its dynamic and youthful population that represents a key growth market for global manufacturers, especially in the FMCG sector.
“Our targeted investments in Nigeria reflect our commitment to providing uninterrupted logistics services to our global clients exporting to West Africa, including ECOWAS.
“This free zone warehouse is the final piece in creating a seamless logistics journey for goods and products from around the world to West Africa,” Rambaud stated.
Also commenting, the chief executive of LFZ, Ms Adesuwa Ladoja, said, “By integrating Lekki Port, reliable industrial infrastructure, and efficient logistics solutions, we are building a logistics hub for West Africa. Collaborating with CEVA, a global leader in logistics, strengthens our ability to deliver on this vision.”
It was learned that the JV has been approved by the Federal Competition and Consumer Protection Commission (FCCPC) of Nigeria, with CEVA Logistics to hold a majority stake in the newly established entity.
General
Court Affirms FCCPC Authority to Investigate Consumer Complaints
By Adedapo Adesanya
The Federal High Court in Abuja has affirmed the powers of the Federal Competition and Consumer Protection Commission (FCCPC) to receive complaints, assess matters brought before it, and take appropriate lawful steps, including investigation where necessary.
In a judgment delivered on Monday by Justice James Omotosho, he dismissed the suit filed by Air Peace Limited challenging the commission’s authority to investigate consumer complaints and issue summons in the exercise of its statutory mandate.
Justice Omotosho affirmed the organisation’s powers under the Federal Competition and Consumer Protection Act, 2018 (FCCPA) to receive complaints, assess matters brought before it, and take appropriate lawful steps, including investigation where necessary.
Welcoming the decision, the chief executive of the FCCPC, Mr Tunji Bello, said the judgment provided useful clarity on the importance of regulatory oversight in protecting consumers and promoting fair market practices.
He noted that the matter arose from complaints relating to unrefunded ticket fares, cancelled flights, and other service concerns affecting passengers.
Mr Bello reiterated that consumers, who pay for services, were entitled to fair treatment, transparency, and redress in accordance with applicable law.
He further described investigation as an administrative process intended to establish facts and determine whether further action is warranted. It does not amount to a finding of liability or wrongdoing.
According to him, the commission is committed to engaging all market participants in a fair, professional, and transparent manner, while ensuring due process at every stage of its proceedings.
He encouraged businesses operating in Nigeria to cooperate with lawful regulatory processes and to maintain effective complaint resolution systems that address consumer issues promptly and fairly.
The FCCPC will continue to act within its statutory mandate to protect consumers, promote competitive markets, and strengthen confidence in essential service sectors, including aviation.
The Federal Competition and Consumer Protection Commission is Nigeria’s primary competition and consumer protection authority established under the Federal Competition and Consumer Protection Act, 2018.
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