Business News
Foreign reserves to rise by $150 billion
The Executive Director/CEO of NEPC, Olusegun Awolowo disclosed that Nigeria plans to increase its foreign reserve by $150 billion over the next 10 years.
Nigeria plans to increase its foreign reserve by $150 billion over the next 10 years. This was disclosed by the Executive Director/Chief Executive Officer of the Nigeria Export Promotion Council (NEPC), Mr Olusegun Awolowo.
The NEPC boss revealed that the zero oil plan could improve the nation’s foreign reserve by $150 billion over the next decade if successfully executed.
Awolowo made this statement yesterday at the Policy Development Facility Phase 11 (PDF 11), Non-Oil Export Conference and Awards, which was held in Lagos. He said that the zero oil initiative could create at least half a million additional jobs annually and remove no fewer than 20 million Nigerians from poverty, in line with the United Nations Sustainable Development Goals (SDGs).
According to his statement at the event, “Nigeria has run a mono-product economy for too long. We have been left vulnerable to oil price shocks, the latest of which we are seeing now with the outbreak of the Coronavirus.”
[READ MORE: Foreign reserves drop by $4.45 billion in 2019)
He said that NEPC developed the zero oil plan in response to the 2016 economic recession, which was as a result of a crash in oil prices. While offering more insight into the plan, he disclosed that it is a strategy aimed at boosting the country’s foreign exchange through the non-oil sector.
Awolowo explained that it is important for the government to roll out export policies for 22 major products that could generate about $30 billion annually in foreign exchange, all in a bid to prepare Nigeria for a world in which crude oil is less relevant.
He said, “The Zero Oil Plan will add an extra $150 billion minimum to Nigeria’s foreign reserves cumulatively from non-oil exports over the next 10 years.
“It will create at least 500,000 additional jobs annually, due to an increase in production and export activities, helping to contribute to SDG 8, which is, Decent Work and Economic Growth.
“Lastly, the zero oil plan will lift at least 20 million Nigerians out of poverty.”
He said that the Federal Ministry of Finance, Budget and National Planning had integrated the zero oil plan as a very important component of the Economic Recovery and Growth Plan (ERGP).
He also pointed out that NEPC had witnessed improvement in the non-oil export performance over the last few years just as data from the International Trade Centre in Geneva shows that non-oil export of products rose from $1.17 billion in 2016 to $3.16 billion in 2018.
Hospitality & Travel
Just-in: Air Peace to recall some sacked pilots after Minister’s intervention
Air Peace had trained over 80 pilots, giving its staff the best remuneration package.
Air Peace would soon recall some of the pilots that were sacked recently. This coming after the Minister of Aviation, Hadi Sirika had intervened.
This was disclosed by the Ministry of Aviation via its Twitter handle on Tuesday.
The recall was the fall-out of an intervention meeting called by the Minister between the airline management and the leadership of the National Association of Airline Pilots and Engineers (NAAPE) held in his office on Tuesday.
Back story: Nairametrics reported as Nigerians woke up to the news that Air Peace had sacked about 70 pilots under its employment across its fleet and also reduced staff salaries by 40%. The airline said the exercise was due to the devastating impact of the Coronavirus pandemic on its business.
It added that the move was made to protect the majority of the existing jobs and the possibility of creating new ones in the future, as well as ensuring the survival of the airline.
In the verbal agreement, Chairman, Air Peace, Chief Allen Onyema acceded to the Minister’s appeal for the recall of the maximum number of pilots that the airline can accommodate without going under.
Chairman, NAAPE, Galadima Abednego explained that as a union it was a painful thing to see a large number of their members thrown into the labour market, and further appealed to employers of labour to see the union members as partners, and not adversaries.
On his own, Onyema expressed his sadness and disappointment over what he called the ingratitude of some of the airline’s pilots after everything is done to make them comfortable on their jobs.
He recalled how Air Peace had trained over 80 pilots and an equal number of aircraft engineers, giving its staff the best remuneration package within the sector only for them to disappoint at a time their understanding was needed.
He however commended Senator Hadi Sirika for providing the required leadership to the industry and promised his full cooperation in ensuring the growth of the aviation sector in Nigeria.
The Aviation Minister called for the understanding of everyone, especially the Labour unions, of the prevailing situation in the aviation industry, saying it was not the time for unnecessary upheavals.
AIR PEACE TO RECALL SOME SACKED PILOTS, AS SIRIKA INTERVENES
Respite has come the way of some of the pilots recently sacked by the management of Air Peace, as many of them would soon be recalled to their jobs.
— Federal Ministry of Aviation, Nigeria (@fmaviationng) August 11, 2020
He commended Chief Onyema for his enormous contributions in developing the industry, but appealed to him to recall the maximum number of the sacked pilots that the airline can comfortably accommodate in the prevailing circumstances to which airline operator agreed.
Coronavirus
WHO gives condition for approving Russia’s COVID-19 vaccine as the vaccine gets a name
Russia has named its first approved COVID-19 vaccine, Sputnik V for the foreign markets.
The World Health Organization (WHO) said that any form of approval of prequalification of the Russian vaccine will require rigorous review and assessment of all required safety and efficacy data.
This disclosure was made by the spokesman of the WHO, Tarik Jasarevic, during a United Nations briefing in Geneva about clinical trials.
He said that the UN health agency and the Russian health authorities are currently discussing the process for possible WHO prequalification for its newly approved COVID-19 vaccine.
Tarik Jasarevic, during the UN briefing in Geneva said, “We are in close contact with Russian health authorities and discussions are ongoing with respect to possible WHO prequalification of the vaccine, but again prequalification of any vaccine includes the rigorous review and assessment of all required safety and efficacy data.”
Meanwhile, in a related development, Russia has named its first approved COVID-19 vaccine Sputnik V and it is available for foreign markets. The name references the world’s first satellite, which marked a symbolic accomplishment for the USSR during the cold war and space race era. Now, the Russian Government basks in its success at becoming the first country to approve a vaccine for COVID-19.
The head of Russia’s Direct Investment Fund (RDIF) pointed out that Russia had already received requests from more than 20 countries for 1 billion doses of its newly registered COVID-19 vaccine.
Nairametrics had earlier reported today the announcement of the registration of the first COVID-19 vaccine in what could be described as a step ahead of other vaccine developments. The Russian President, Vladimir Putin, who made the disclosure during a televised government meeting, said that Russia had become the first country in the world to grant regulatory approval to a COVID-19 vaccine after less than 2 months of human testing.
However, the speed at which Russia is moving to roll out the vaccine has prompted some western countries and international scientists to question whether the Russian government is putting national prestige ahead of solid science and safety.
Business
Nigeria signs African Trade Insurance Agency agreement
The African Trade Insurance Agency was launched to provide risk solutions for investors.
President Muhammadu Buhari has signed the instrument of accession agreement for Nigeria for the establishment of the African Trade Insurance Agency. This was announced by the Federal Government on Monday night.
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President @MBuhari has signed the instrument of accession of the agreement for the establishment of the African Trade Insurance Agency; sequel to the directive of the Federal Executive Council (FEC), that the instrument be prepared and forwarded for execution.
— Presidency Nigeria (@NGRPresident) August 10, 2020
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The agreement is coming after the Federal Executive Council ordered that an instrument be prepared and forwarded for execution.
The African Trade Insurance Agency was launched in 2001, to provide risk solutions for investors, after the East African economic Union (COMESA) executed a World bank funded study to discover why Africa does not attract more Foreign Direct Investments.
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The organization said it added credit insurance to its portfolio in 2006 after its members identified global trade as a major pillar of growth in the continent which has seen it grow as a market leader for risk mitigation in Africa. The ATI also attracts funding from the African Development Bank and World Bank
Nigeria joining the agreement would provide Nigeria with the necessary insurance financing to increase investment inflows into the country and improve economic productivity.
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Stanley
March 6, 2020 at 5:06 pm
I hope this is not another avenue to squander the little resources left, on utopian projections and projects for which we have shown consistently, a lack of discipline to execute thoroughly.
Olugbenga
March 7, 2020 at 1:46 pm
Stanley this really should be the only plan in town and at worse the cornerstone of any plan or reform to our economy. Because ERGP did not give non Oil exports the importance it deserves the coming crash in oil price we are headed for another recession.