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Viral Setback to Global Thinking

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FBNQuest Merchant Bank

By Gregory Kronsten

The first duty of our rulers is to protect our security. So, they declare war, mobilize armies and negotiate peace on our behalf.

Now, however, they face an enemy they cannot see and do not understand. Being human, they make mistakes. In most cases we have elected them to look after us, and are angry when they fall short.

The recriminations and name-calling have barely started.

Government A was at best reluctant to share its experience of the virus with other countries. Government B did not support the struggling states by the sea to its south. Government C was slow to introduce lockdown. Government D initially made light of the virus that had already devastated many other countries. Government E has kept its collective head down and left second-tier officials to tackle the threat (and take the brickbats).

Three of the five are G7 members and the other two prominent among the BRICS (remember them). For all countries, the question is whether Covid-19 will bring us closer together or teach us to look after ourselves first.

The international financial system is disbursing monies to support the post-Covid recovery at national level: to fund healthcare, ease the burden of external debt service and shore up the balance of payments.

While we hear the mantra that the global crisis requires a global solution, our hunch is that governments will initially veer towards looking inwards. Having seen selective export bans applied to personal protective equipment and testing equipment, they will produce or at least stockpile their own.

Having seen splits within their trade and political groupings, they will be wary of depending on their partner members.

The faultlines of the EU have again been exposed and would it not be surprising now if African governments tempered their expectations of the African Continental Free Trade Area? They may want to move on from reciting the size of the new market and it’s combined GDP as if the numbers guarantee the success of the project.

The closing of national borders might have helped to contain the virus although in some instances the horse had already bolted. Advocates of visa restrictions and immigration controls have been emboldened.

Behavioural scientists may have a different take but the virus will have dented the confidence of many people. It would be a shock if, having been subject to lockdown, they quickly rediscover the joy of travelling to exotic destinations. When the flight is short-haul, the issue of social distancing still arises.

Quite apart from the general level of domestic demand, some industries will be particularly wary of their prospects post-virus. Travel agencies, holiday operators, airlines serving leisure destinations, retail parks targeted at tourists and educational establishments dependent upon foreign students all spring to mind.

It may be that, once we have a vaccine for Covid-19, we will forget the deaths it has caused, the fear it has created and the economic dislocation it has brought. This is unlikely. However, government, household and personal finances have all been hammered by the virus. So, even if we have outgrown the virus, we may well not have the funds for the flight and the holiday.

Gregory Kronsten is the Head, Macroeconomic & Fixed Income Research at FBNQuest

Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan. Mr Olowookere can be reached via [email protected]

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How We Rescued Ex-Lagos CP’s Wife from Kidnappers, Recovered N10m Ransom, Others—Police

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hakeem odumosu

By Modupe Gbadeyanka

The wife of a former Commissioner of Police (CP) in Lagos, Mr Hakeem Odumosu, Mrs Folashade Odumosu, has been rescued from the kidnappers’ den.

Mrs Odumosu, whose husband retired as an Assistant Inspector General of Police (AIG), regained freedom in the earlier hours of Thursday, January 23, 2025, after some police detective launched an attack on her abductors.

She was forcefully picked up by the suspects on Thursday, January 16, 2025, at about 9:45 pm from her car outside her residence in the Arepo area of Ogun State allegedly by four masked gunmen.

Immediately after the incident, police operatives attached to the Ogun State Command began surveillance for her rescue, which finally happened a week later.

In a statement issued by the police spokesman, Mr Olumuyiwa Adejobi, narrated that the Ogun State police operatives engaged in extensive surveillance of the creeks surrounding Arepo, gathering crucial information to track down the assailants.

It was stated that their efforts culminated in a raid today after an intelligence-led operation took the police to a creek in the swampy area of Ikorodu where the kidnappers were reportedly planning their next attack.

Upon arrival, the operatives encountered the kidnappers, who opened fire. In the ensuing confrontation, two of the gunmen were neutralized, while four others fled the scene, abandoning their operational weapons.

The victim, Mrs Odumosu was rescued within the swampy creeks during the operation, unharmed. She is currently undergoing medical evaluation as a precautionary measure and has since been reunited with her family.

The police also recovered four AK-47 rifles, three locally made single barrel rifles, ammunition of various calibres, and the sum of N10 million ransom previously demanded by the kidnappers, further ensuring that justice is served.

The Inspector-General of Police (IGP), Mr Kayode Egbetokun, commended the Ogun State Commissioner of Police, Mr Lanre Ogunlowo, and his operatives for the successful operation, saying it exemplifies the dedication and resilience of police officers.

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Telco Tariffs Hike: FCCPC Promises to Ensure Compliance

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FCCPC

By Adedapo Adesanya

The Federal Competition and Consumer Protection Commission (FCCPC) has said it would ensure compliance with the new telecommunications tariff adjustment.

Earlier this week, the Nigerian Communications Commission (NCC) allowed for a 50 per cent hike in tariffs for the first time since 2013.

Although stakeholders have expressed dissatisfaction with the level, the law establishing the policy will have to be followed.

While the telcos have silently expressed that the 50 per cent level was too low for the sustainability of the industry; consumers want a lower threshold with an association protecting customers saying it will approach the courts.

Speaking on how it will ensure compliance, the Director of Corporate Affairs of FCCPC, Mr Ondaje Ijagwu, said the commission was working with the NCC to ensure consumers are not infringed upon during the transition period and beyond.

He urged telecom operators to prioritise visible and measurable improvements in network reliability, speed, accessibility, and customer service as part of any tariff adjustment, saying that consumers’ interest is paramount.

According to him, it is crucial that tariff adjustments directly translate into demonstrable and tangible service enhancements for consumers, commending the NCC for adopting a deliberate and measured approach by rationalising the tariff adjustment and linking it to commensurate improvements in service quality.

”Operators are now required to disclose all key details upfront, including the cost, validity period, and the specific inclusions of a plan.

“Consumers can also expect a mandatory disclosure table from their service providers, enabling them to make informed decisions without worrying about unexpected charges or surprises,” he said.

Mr Ijagwu said the Memorandum of Understanding (MoU) signed between the FCCPC and NCC would provide a unified framework to oversee the implementation of the tariff adjustment in a manner that met the needs of consumers, encouraging consumers to report any unfair practices or concerns through the agency’s official channels to ensure effective resolution.

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Rough, Smooth Ride for Motorists, Commuters on Lagos-Abeokuta Expressway

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By Emmanuel Udom

The 81-kilometre Lagos-Abeokuta Expressway seems to be taking shape both for good and bad, as the Minister of Works, Mr Dave Umahi, works tirelessly to fix major roads and expressways in Nigeria.

Checks by Business Post in the last week revealed that from the Lagos end of the expressway, motorists and commenters seem to be having a smooth ride and rough from the Ogun State end, especially after the Toll Gate area, as pointed out by a commercial bus driver plying the Lagos-Abeokuta route, Mr Segun Abayomi.

He lamented on Thursday that from Toll Gate inward Ogun State, most of the terrible and dilapidated points and bus stops have been neglected by the government, though repairs are ongoing, according to our correspondent, who plied the road from Ewekoro in Ogun State to Iceman in Lagos State today.

It was observed that caterpillars and bulldozers, as at the time of filling this report, were busy fixing the roads at major bus stops and points from Toll Gate inward Ogun State, precisely around Joju, Corn-oil area, Omiyale, Pakoto, Vulcanizer, Bungalow, and U-Turn near Mountain of Fire Church in Ifo, Ogun State.

A female trader, returning from Oshiodi, lamented while boarding a commercial bus, of the health hazard caused by the dust raised by the workers in tiling the roads. She said the dust was affecting commuters, motorists and others.

This was confirmed by this newspaper, though efforts are being made to water the ground around Omiyale, near The Apostolic Church Convention ground and parts of Aiyede, to address this issue.

Recall that some weeks ago, Business Post that the government was doing a quick fix on the road to ease the hardship citizens playing the expressway go through daily.

The road connects Lagos to the capital of Ogun State, Abeokuta, and is one of the busiest inter-state and intra-city routes in Nigeria, covering more than 250,000 PCUs daily and constitutes one of the largest road networks in Africa, according to Wikipedia.

In 2017, the Lagos State government announced plans to put a BRT lane on the Lagos-Abeokuta Expressway in two phases, with the first from Oshodi to Abule Egba, and the second from Abule Egba to Toll Gate, the boundary area between Lagos and Ogun States.

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