Business News
₦5trn AMCON Debt: FG sets up committee to recover debt
The Federal Government has set up an inter-agency committee for the purpose of recovering the N5 trillion debt owed AMCON.
The Federal Government has set up an inter-agency committee for the purpose of recovering the N5 trillion debt owed the Asset Management Corporation of Nigeria (AMCON).
The committee was inaugurated by Vice President Yemi Osinbajo according to a statement released by his Senior Special Assistant on Media and Publicity, Laolu Akande.
[READ MORE: AMCON sets to publish names of prominent Nigerians owing N5 trillion]
The Details: Members of the committee include heads and representatives of agencies like Nigerian Financial Intelligence Unit; the ICPC; Central Bank of Nigeria (CBN); Nigeria Deposit Insurance Corporation; the Federal Ministry of Justice; AMCON, and the Economic and Financial Crimes Commission (EFCC).
The Vice President gave the committee targets and expected to receive reports of their progress.
“One of the terms of reference is for the committee to prepare a report, giving us a sense of what the timelines will be. About 67% of the outstanding N5 trillion debt is said to be owed by just 20 individuals/entities,” the statement said.
[ALSO READ: UPDATED: Donald Duke reaches agreement with AMCON over N537 million debt]
The backstory: Over 350 Nigerians are said to be responsible for more than 80% of the N5 trillion debt profile of AMCON. The huge debts have lingered for several years.
- AMCON was set-up by the Federal Government in 2010 to acquire non-performing loans from banks in order to ensure the viability of the country’s financial sector.
- FG, through the operation of the Central Bank of Nigeria, conceptualized the idea for the establishment of a body that would prevent financial crisis in the country.
- In October 2018, the corporation published about 20 names of corporations and agencies who hugely contributed to the debt.
- AMCON has also threatened to publish the full list and released a documentary on prominent Nigerians who are still owing the corporation. IH
- Recently, President Muhammadu Buhari assented to a new Act that gives AMCON more power to enforce recovery of debt from prominent Nigerians and corporate organisations.
The bottom line: In the meantime, AMCON has reiterated that if the debt is not recovered, Nigeria’s financial sector may be heading towards another era of high non-performing loans which will affect the economy.
[READ FURTHER: AMCON boss wants courts to have debt recovery powers]
Business
Hyundai and Kia to set up an assembly plants in Ghana by 2022
The automobile giants will join Toyota-Suzuki, Nissan, Kantanka, Volkswagen, and Sinotruck who already have plants in Ghana.
Few weeks after Twitter announced its plans to open its first African office in Ghana, Hyundai and Kia have also concluded plans to set up an assembly plants in Ghana by 2022. The automobile giants will join Toyota-Suzuki, Nissan, Kantanka, Volkswagen, and Sinotruck who already have plants.
Ghana’s Minister for Trade and Industry, Alan Kyerematen announced this on Twitter.
Pleased to announce that Hyundai & KIA are set to establish assembly plants in Ghana by the end of 2022 to join Toyota-Suzuki, Nissan, Kantanka, Volkswagen & Sinotruck. The Ghana Auto Development programme = 3,600 assembly & 6,600 manufacturing parts jobs in Ghana. #InvestforJobs pic.twitter.com/JMHAmlM5VI
— Alan John Kyerematen (@AlanKyerematen) April 22, 2021
READ: This is the New Tarrif Structure For Importing Tokunbo & Brand New Cars
“Pleased to announce that Hyundai & KIA are set to establish assembly plants in Ghana by the end of 2022 to join Toyota-Suzuki, Nissan, Kantanka, Volkswagen & Sinotruck. The Ghana Auto Development program = 3,600 assemblies & 6,600 manufacturing parts jobs in Ghana.
“The local assembly of vehicles, 3,600 direct and indirect jobs would be created in Ghana, and the addition of components and parts manufacturing will also add about 6,600 direct and indirect jobs.”
READ: Toyota snubs Nigeria as it moves to establish assembly plants in Ghana, Ivory Coast
Why this matters
More foreign companies are shunning Nigeria in favour of Ghana. Recently, Nairametrics reported that Amazon is set to situate its African Headquarters in South Africa, a multi-billion dollar investment that is projected to create over 20,000 jobs both directly and indirectly.
Following its move to Ghana, Twitter CEO, Jack Dorsey cited a number of human rights-related reasons for the choice of Ghana over Nigeria. Added to this are rising insecurity, stifling government regulations and the gapping infrastructural deficit bedevilling Nigeria. Consequently, our nation is steadily losing opportunities to attract foreign companies that could be very instrumental in bridging its unemployment gap which is currently over 30%.
Business
Passports: Backlog of undelievered passports to be fixed before May 31st – Minister
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