Connect with us
nairametrics

Business News

Here are reasons Lagos may not reverse Okada ban

Mixed reactions have continued to trail the announcement of the Lagos State Government’s decision to ban motorcycles (Okada) and tricycles (keke) in major highways in Lagos.  

Published

on

Should Gokada, Max be afraid of OPay?, Nigeria Weekly Update: Naira interest rate and foreign exchange

The Lagos State government’s ban of ride-hailing business took another dimension today, as the operators of motorcycle, tricycle, and ride-hailing took to the streets in a protest against the directive of the Governor Babajide Sanwo-Olu’s administration.

Since the announcement, commuters of commercial motorcycles and tricycles have expressed panic and apprehension as they rely on these means of transportation to move within the state to avoid being stuck in traffic for several hours. 

Riders Protest: Ahead of the February 1st enforcement date, Riders of the OPay and Gokada bike-hailing services staged a peaceful protest on Friday to protest the ban at the Lagos state House of Assembly. 

The riders, who carried placards with inscriptions lamented that the ban would not only take their means of livelihood but also render them jobless. They have submitted a petition to the lawmakers who came out to address them afterward. 

This protest cames after Nairametrics reported that the Gokada and Max NG platforms appealed to the government to reconsider the ban, terming it insensitive as they called for regulation stating that they were compliant with the 2012 traffic law. They had also spoken about the negative impact made by the ride services in terms of job creations and investments. 

GTBank 728 x 90

READ MORE: Lagos bans Gokada, ORide, others from 15 local governments 

No going back – Lagos

It appears the state government is not moved as it made moves that depict it is not going back on the decision.

Coronation ads

Instead of inviting the operators for a meeting, the government reacted to the questions and observations from commuters and operators via its Twitter handle

When asked why Gokada, Max.NG and OPay were affected despite complying to the rules of the Lagos Traffic Law, the response was; 

They have also been found to be part of the problem. The truth is that Okada, no matter what fanciful name it is called, is not part of the Greater Lagos which we have embarked. Our youths no longer learn the trades we used to be proud of – tailoring, bricklaying, printing, painting, and others. Now we get artisans from neighbouring countries. Okada is not enduring trade.  

Another major question that has been on the mind of users is why alternatives were not worked upon before the ban. To this, the Lagos state government said that it was because of the crucial rate in which accidents were occurring due to the bikes, therefore there was a major need to stop the “bloody encounters immediately. 

On how the young people affected by this ban would cope in the labour market, the Lagos state government said its trust fund is readily available to help young people to start businesses. 

Jaiz bank ads

It stated, “The government has programmes for the unemployed. The Lagos State Employment Trust Fund (LSETF), is very active, helping many to set up their businesses with cheap funds. The Ministry of Women Affairs and Poverty Alleviation has also been doing so much training young women in various and giving them some money to set up. Civic engagement has empowered many to start small scale businesses.” 

Stanbic IBTC

Lastly, to thquestion of how the ban would decrease crime as opposed to its increase due to the fact that many people would be left jobless and move to crime as the alternative. The response was  

“No, it won’t. Okada has been used by criminals to rob and terrorise innocent citizens. Police figures are scary. When it was banned in Kano and Edo, for instance, crime rates dropped. The law enforcement agencies are ready to fix anybody who wants to take to crime because he has lost his okada job,” it added. 

Chidinma holds a degree in Mass communication from Caleb University Lagos and a Masters in view in Public Relations. She strongly believes in self development which has made her volunteer with an NGO on girl child development. She loves writing, reading and travelling. You may contact her via - [email protected]

13 Comments

13 Comments

  1. Bos topes

    February 1, 2020 at 1:42 pm

    Am for total ban of Okada. However Okada business is the failure of successive administration in Lagos state to fix public transportation and expand road infrastructure in Lagos state. Instead of reducing the rural-urban drift, they are encouraging it by concentrating Government infrastructures and development to Lekki-Ajah linked to Epe axis, Victoria Island, Ikeja axis only. On job creation through LSETF, this government is just a scam. 90% of beneficiaries of LSETF are political party members and faithfuls. Lagos requires an holistic solution.

  2. Godwin onah

    February 2, 2020 at 10:40 am

    I personally ask Lagos state government to help us or give us time small because of our family know how to derive a car or bus but I don’t have the money to buy a buy or car, ask for today now I have four children and my wife is pregnant, if I have anhappyy body to buy bus or car for me i would be great and happy,know body, will the beginning the Lagos state government

  3. Godwin onah

    February 2, 2020 at 10:48 am

    I personally ask Lagos state government to help us or give us time small because of our family,i know how to derive a car or bus but I don’t have the money to buy a buy or car, ask for today now I have four children and my wife is pregnant, if I have any body to buy bus or car for me i would be great and happy,know body, will the begin the Lagos state government to help us oooooooo, my name is Godwin onah

  4. Anonymous

    February 3, 2020 at 7:31 am

    Well it unfair what the government decision on okada ban, they are robbing the people their means of survival, who said the crime rate will decrease, wad there any jobs created before the ban on okada

  5. Abdullahi muhammed

    February 3, 2020 at 10:21 am

    Comment:well I love the atmosphere of lagos right now but its not safe like this we need more and more security because of some stone heart..
    Lagos state government need to provide other means of transportation fast to help citizens of d state. Thank you

  6. Anonymous

    February 3, 2020 at 12:20 pm

    This is rubbish, banning them without providing an alternative for them to earn a living.

  7. John

    February 3, 2020 at 12:52 pm

    The OKADA BAN in Lagos State has positive and negative effects on Lagos State residents. Yes, it’s no doubt it will lessen the risk of encountering accidents, but with the amount of traffic jam that occurs in Lagos, motor bikes have helped people a lot in reaching their destinations on time. So I hope the Lagos State Government removes the ban and find a way to improve their Traffic regulation system in other to reduce accident occurrence. I blog often and truly appreciate your content. The article has really gotten my interest. I am going to bookmark your blog and keep checking for new details every week. Follow the link below to reach my website and check out its contents. Please let me know if this okay with you. Many Thanks!

  8. yohana zadaku

    February 3, 2020 at 2:01 pm

    Comment: my own idea is let the government of the state create something for those okada rider BC you cannot destroy and not bringing the solution for the matter and failure to do so god is watching you people

  9. Anonymous

    February 3, 2020 at 3:05 pm

    I don’t really understand what the governor want this okada riders to do….instead they will be more joblessness…… Biko please help the poor cox this is the only means of feeding the family

  10. Anonymous

    February 3, 2020 at 4:46 pm

    I total support the government on this one. These bike riders are serial killers, it appears no one is noting the influx of strange faces on the street if Lagos posing as okoda riders.
    God save us

  11. Asuquo

    February 4, 2020 at 4:55 pm

    My question is that? For stressing their lives would it ends the crime others dubious things that are going on in Lagos?
    Nigeria Government have human felling for once. Government should consider the fact that there is no Alternative
    Way for their living hood. Perhaps some of them are jobless,

  12. Oluwatoni

    February 7, 2020 at 4:14 pm

    The honest truth is that government does not have good structure.They just pretend that they have the people at heart while they do things in their selfish interest.All the roads are bad which is one of the major causes of traffic in Lagos state.They banned both Okada and Maruwa without providing alternative means for the masses.Even if you want to do this,Maruwa should be left out while you provide alternative means for the citizen.Is this the solution to our problems ?If the goverments have cotinuity in their plan,they would have put so many things in place before the situation get to this stage.
    Go to Cotonu,the Okada riders obey traffic light and other rules of riding their bikes.What stops Nigerians Okada riders from obeying traffic light and other rules in riding their bikes ?There should be a strigent policy to put a check to these people instead cutting their means of livelihood suddenly.Things are just going kinda turpsy turvy.

  13. Adimorah Nzube

    February 16, 2020 at 11:20 am

    I don’t understand the whole issue with Okada when they’re not making plans for alternatives. Besides, there’s were never a warning prior to the ban… Nigeria and Lagos State government need to do better. We all own this country…

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Business News

Unilever announces the completion of its Group legal structure

Unilever PLC has announced the completion of the unification of its Group legal structure

Published

on

Unilever Overseas increases stake in Unilever Nigeria Plc

Unilever, the parent company of Unilever Nigeria Plc, has announced the completion of the unification of its Group legal structure under a single parent company, Unilever Plc.

According to the press release issued by the company, from today, 30th November 2020 and for the first time in its history, Unilever now trades with one market capitalisation, one class of shares, and one global pool of liquidity, whilst also maintaining the Group’s listings on the Amsterdam, London, and New York stock exchanges.

What they are saying

Nils Andersen, Chairman of Unilever, said: “This is an important day for Unilever and we would like to thank our shareholders for their strong support of our Unification proposals, which gives us greater flexibility for strategic portfolio change, remove complexity, and further improve governance.

There will be no change to the operations, locations, activities or staffing levels in either the Netherlands or the United Kingdom as a result of Unification. The headquarters of Unilever’s Foods & Refreshment Division will continue to be based in Rotterdam and the Home Care and Beauty & Personal Care Divisions will continue to be headquartered in the United Kingdom.”

What to expect

This development has no impact on the going concern of Unilever Nigeria Plc, the shareholding structure, as well as the free float shares of the company on NSE, which totals 1,491,985,247 — representing 25.97% of the ordinary shares of the company issued and fully paid for by investors.

GTBank 728 x 90

(READ MORE: Q1 2020 Unaudited Report: Unilever Nigeria records N13.3 billion revenue) 

However, upon the completion of the unification of the Group’s Legal Structure, Unilever overseas under this structure remains in control of the 74.03% ordinary shares of the Nigerian subsidiary.

What you should know

  • For investors on the London Stock Exchange, Euronext Amsterdam, and the New York Stock Exchange, dealings in new Unilever Plc shares commenced today, as the new Unilever Plc shares will be admitted to the Premium Listing segment of the Official List of the UK Financial Conduct Authority (“FCA”) and to trading on the London Stock Exchange’s Main Market for listed securities, with the ticker “ULVR”.
  • Unilever Plc shares will also be admitted to listing and to trading on Euronext in Amsterdam under the ticker “UNA” today. It is expected that Unilever Plc ADSs will be admitted to trading on the New York Stock Exchange this afternoon.
  • Following the issue and allotment of 1,460,713,122 new Unilever Plc shares pursuant to Unification, which represent 55.56% of the total number of Plc shares, Unilever Plc’s total issued ordinary share capital today consists of 2,629,243,772 ordinary shares of 3 1/9 pence each.
  • As part of Unification, Unilever NV ceased to exist yesterday, 29 November 2020, which means there has been no dealings and there will be no further dealings in any Unilever NV securities (including Unilever NV shares on Euronext in Amsterdam).

Coronation ads
Continue Reading

Appointments

May & Baker announces the appointment Patrick Ajah as Managing Director

May and Baker Nigeria Plc has announced the appointment of Mr. Patrick Ajah, as the Managing Director.

Published

on

Senator Danjuma, May and Baker Plc

The Board of Directors of May and Baker Nigeria Plc has announced the appointment of Mr. Patrick Ajah, as the Managing Director of the company, with effect from 1st January 2021.

This disclosure was made in a notification issued and signed by the Company’s Secretary, Mrs. Adetoun Abiru.

According to the notification, Mr. Ajah would be replacing Mr. Nnamdi Nathan Okafor as the Executive Director and Managing Director of the Company, with effect from 1st December 2020.

The board disclosed that this is according to the resolution passed at the Board Meeting of May & Baker Nigeria Plc, which held on Thursday, 26th November 2020 at the Muson Centre, Onikan, Lagos, after it had confirmed the retirement of Mr. Nnamdi Nathan Okafor as Executive Director and Managing Director of the Company.

(READ MORE: NIPC grants tax holiday to Honeywell, Savannah Sugar, 4 others with N175.28 billion investments)

GTBank 728 x 90

The statement said that Mr Ajah “is a passionate and visionary leader with over two decades of progressive experience and responsibility in a variety of business environments; from Pharmaceuticals to FMCG, Telecoms and Manufacturing.”

Continue Reading

Financial Services

CBN issues subtle warning explaining how domiciliary accounts should be used

The CBN has issued a new circular explaining how domiciliary accounts should be used.

Published

on

parallel market, Covid-19: N3.5 trillion disbursed as stimulus package for the Nigerian economy, CBN Vs NESG: Waving the white flag for the benefit of Nigerians, Exchange Rate Unification: CBN devalues official rate to N380/$1, Nigerian banks have written off N1.9 trillion impaired loans in past 4 years, CBN sandbox operations, Stirling Trust Company Limited, Key highlights of the October 2020 Business Expectations Survey Report, A Total of N3.5 trillion was disbursed in the wake of the COVID-19 pandemic, in addition to several other interventions to reflate the economy - CBN, BOFIA 2020: Steps forward or backwards for Nigerian banks, Total credit to the economy rose to N19.54trillion – CBN Governor

The Central Bank of Nigeria (CBN) issued a circular on Monday clarifying how domiciliary accounts will be operated in the country. According to the CBN, domiciliary accounts used to deposits export proceeds (inflow from exports of goods and services from Nigeria) can only be used for business operations.

The directive also allows any extra funds remaining in the domiciliary accounts to be sold in the Investors and Exporters (I&E) Window, suggesting that the CBN is warning exporters not to sell their foreign proceeds in the black market.

This disclosure was made in a circular dated November 30, 2020, issued by CBN to all authorized dealers and the general public and signed by its Director for Trade & Exchange Department, Dr O.S. Nnaji.

On Export Proceeds

These accounts will continue to be operated based on existing regulations which allow account holders use of their funds for business operations only, with any extra funds sold in the Investors & Exporters window.’

GTBank 728 x 90

On other domiciliary accounts

“Where accounts are funded by electronic/wire transfer, account holders will be allowed unfettered and unrestricted use of these funds for eligible transactions. Where accounts are funded by cash lodgments, the existing regulations will continue to apply.”

The CBN also claimed it was issuing these clarifications in view of its “vastly improved capabilities of the CBN to monitor transactions, forestall money laundering and prevent the adverse effect of dollarization in Nigeria’s economy” which the CBN has frowned upon for years.

Coronation ads

The CBN’s statement also alluded to the use of BVN in tracking compliance with its guidelines.

What this means

The latest regulations from the CBN appears to be directed at clarifying widespread information that there are plans for a clampdown of domiciliary accounts.

  • For export proceeds, this circular appears to be warning exporters to use their forex proceeds for “legitimate” transactions and sell the rest in the I&E window instead of selling it in the black market.
  • On Domiciliary accounts, the CBN is basically saying that inflows through electronic wires will be allowed for use by Nigerians for transactions deemed eligible. This means, if you received a foreign transfer into your account, you can use it to pay for transactions such as e-commerce payments or transfers to anyone at any time.
  • However, for dollar cash deposits into your accounts, the central bank is reiterating that there will be restrictions on how that money used such as restricting it from direct transfers or even using it to pay for e-commerce transactions. These rules have existed for some time.
  • Currently, a limit of $10,000 applies when you want to utilize foreign currency cash deposits.
  • The central bank is basically dissuading the black market purchase of forex by limiting the number of dollars that can be purchased on the streets where forex is sold in the black market. However, the majority of black market transactions, particularly in dollar value are traded using wired transfers.

Continue Reading