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Untold story of how FG sunk N67 billion into NTA in 10 years

NTA has long become a shadow of itself despite huge investments from the federal government over the years.

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Untold story of how FG sunk N67 billion into NTA in 10 years

“I, Prince Jegede Shokoya, the son of the soil, and by the grace of God, the only young millionaire in the whole universe”

The above is a quote from the character Prince Jegede Shokoya (played by Claude Eke) addressing Chief Zebrudaya (Played by Chika Okpala). The occasion was “Apolina’s birthday, and the programme was New Masquerade, a popular sitcom which aired on NTA between the 80s and the early 90s.

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By the early nineties, the New Masquerade had become one of the major programmes pulling viewers to the channel, particularly because of ‘Zebrudaya, the character which had become famous for the interesting and peculiar use of the English language. Other family programmes like Tales by Moonlight, and Superstory were also popular among viewers, across different generations.

The Village Headmaster in the 80s was famous for its resounding gong which served as a summons to inform viewers that the soap opera was about to commence.

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Though characterised by the occasional blue screen and the fluctuating frequencies that came with analogue transmission; these programmes pulled men away from the bars and lured children from the playground. Was this due to love for the channel and its productions, or due to an obvious lack of options?

However, those times are long gone and NTA has long become a shadow of itself despite huge investments from the federal government over the years. Once known for its classic and captivating content, NTA used to be the one-stop point for all family sitcoms, educational programmes and news updates, but this might have all been due to the dearth of competition at the time.

READ: NTA-StarTimes declares no N200 billion missing, says it is open to forensic audit

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The beginning…

The Nigerian Television Authority came into being in May 1977 through Decree 24 of 1977 which had a retroactive effect from April 1976.  By the Decree, all existing regional television Stations established in the country between October 1959 and 1974 came under the umbrella of the NTA, which became the only body empowered to handle television broadcasting in the country.

Shortly after, in 1976, funding of the stations became the sole responsibility of the federal government, at about the same time broadcasting started its transition from white and black to coloured, and networking of news started via domestic satellite.

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From 12 stations in the 70s, NTA has now grown to about 100 stations spread across the country, with presence in every state capital and senatorial district; but how much growth has been achieved outside the number of stations?

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Subsequent amendments since then have moved NTA from being a public service and non-profit activity funded by the government to a Public Service partly funded by Government and partially commercialized to operate in line with the public service guidelines, the broadcasting code and civil service structure.

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Did this change make the structure better, or did it only introduce confusion into the system?

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Even though its vision as stated on its website reads; “To be a world-class television network” and its mission “To provide excellent television service world-wide and project the true African perspective”, how much of its services can really be said to be excellent or of a global standard?

READ: Most privatized Nigerian companies are dying

News and programmes

One of the core mandates of the NTA right from inception is creating News and programmes for transmission as a public service. Programmes like The Village Headmaster, New Masquerade, Cock Crow at Dawn and the likes were transmitted in the 80s and early 90s.

Most of these programmes have evaporated over the years, some probably due to non-profitability, and others due to loss of some key characters, or in some cases, the competition took over the market.

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One time Ex-Director of programmes, Peter Igho said that the problem started with a single directive forbidding NTA staff from acting in the drama and entertainment programmes. Despites protests from the staff, the management at the time insisted that channels such as BBC did not have its staff participating in its drama or documentary programmes, and so any staff of the authority that wished to continue acting should resign his job and focus on acting.

“I protested against the directive for several reasons. It was cheaper and easier to use the staff for the production. Also, if a staff member is cast in the production, he knows he has to show up since his job is on the line, so they were generally easier to manage. Since the staff were not willing to resign for the singular purpose of acting, we had to rest programmes like Village Headmaster and several others,” Igho explained in the interview.

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The stop of these programmes created a vacuum which was soon filled with Mexican and South American soap operas which were just becoming popular. Before long, NTA that was known for its original and exclusive local content became a home for foreign contents.

The few of such programmes still being aired on NTA, are also streamed on private channels and viewers definitely opt to go for where they can have a better viewing experience. Super Story, for instance, still airs on NTA, but is now also being streamed on WAP TV. Both channels are available on the StarTimes decoder for subscribers so viewing experience is the determining factor at the end of the day.

The reach

In 2010, NTA entered a partnership with Startimes, the graduation to Digital Broadcasting ahead of the 2015 global deadline given by the ITU. Courtesy of that partnership, NTA News 24, NTA Sports 24, NTA Knowledge, NTA Hausa, NTA Igbo, NTA Yoruba and NTA Entertainment are hosted at no cost on the NTA/Startimes bouquets.

But how is the wider reach improving content quality?

According to GeoPoll an international media research institution, as at June 2014, NTA which was the largest and oldest stations in Nigeria, had the most viewers with a total of over 3.355 billion views over the course of the month, well ahead of AfricaMagic, AIT, SuperSports and Channels Television.

However, by Q1 2017, Channels TV had taken over the position while NTA was nowhere to be found on the chart. AIT was second on the chart, followed closely by Silverbird Television, CNN, Galaxy, TVC, Africa Magic Yoruba, and three other channels. Note that most of these terrestrial stations are being viewed through paid subscriptions.

From 2017, the viewership has dwindled even further as other private stations move further up the chart.

How much has been invested over the past decade?

The usual thinking is that funding could be a challenge responsible for the uncompetitive nature of the channel. However, with documents available from the Budget office show in the last 10 years (2020 excluded), the federal government has invested a total of N67 billion, with about N58 billion going into personnel costs, N4.5 billion going into capital projects, N4.4 billion into overhead costs.

The 2020 approved budget reveals that NTA is to receive N6.6 billion allocation from the federal government for the year, with personnel costs taking a whopping N6.1 billion, capital project to get N303.8 million, while overhead costs would gulp about N195 million.

This is nothing compared to the N564.68 million which DAAR communications invested in the acquisition of assets, plant and equipment for its stations in 2018, N564.34 million in 2019 and N223.01 million in H1 2020.

And even more money…

Just in February, the Federal Government requested to borrow the sum of N1.92 trillion, out of which N181.5 billion ($500 Million) was proposed to digitize NTA.

The loan, according to Minister of Information and Culture Lai Mohammed, will enable NTA compete with the likes of Cable News Network (CNN), as it would be deployed to “establish the media and culture industry centre, digitize all NTA stations, and at the same time construct integrated television services to infuse on network, which is the signal distributor and essential component of the digitization project”.

In addition, it would also help Nigeria meet the digitisation deadline of June 17, 2020, as given by the International Telecommunication Union (ITU), after several shifts in dates.

Recall that when the International Telecommunications Union (ITU) commemorated the switchover from analog to digital terrestrial television broadcasting in June 2015, then Director-General of NTA, Mr Sola Omole, requested a sum of $15 million (N5.5 billion) to complete its digitization programme and another N6 billion for total restructuring across Nigeria.

In September 2016, President Muhammadu Buhari approved the release of 10 Billion Naira to the National Broadcasting Commission (NBC) for the Digital Switch-Over, and this sum was used to carry out the Digital Switch-Over in Abuja alone.

But somehow, these monies have not made the desired impact in the output.

Almost three years ago, Senator Ben Murray Bruce, who also happens to be a former Director-General of NTA, expressed concerns over the ‘over-bloated nature of the budget’ of some government agencies and ministries including National Orientation Agency (NOA), Federal Radio Corporation of Nigeria (FRCN), Nigeria Television Authority (NTA), and Voice of Nigeria (VON).

According to him, these agencies had become a burden to the government and are better off sold to the staff.

“If you look at the budget, you will see some agencies, they get recurrent expenditure, they pay salaries, they get houses, computers, cars but they have no money to do any work. No money to do any work, we pay salaries. Some agencies are so bloated it defies logic but these agencies exist. Let us look at agencies that make no sense. FRCN sells it to the staff. FRCN has eight thousand workers sell it to them. Sell NTA to the staff, Voice of Nigeria, who listens to Voice of Nigeria? Sell it. If the staff wants to buy, let them buy it. Set up a cooperative like Awolowo did, sell it to them.

“They have no use right now. If we spend seventy-one percent on recurrent expenditure, we will never get out of this predicament we find ourselves,” he said.

In response to his stand, there were insinuations that the Senator, who became popular with his common-sense propositions, was a part of the problem NTA has had in the past.

Popular Twitter verified user, Kayode Ogundamisi had said in a series of tweets that the, “N8 billion refurbishment of equipment” carried out under Brice’s tenure could hardly justify the quality of the audio and visual output on the channel.

“Let’s start with N8 billion refurbishment of NTA equipment. As a former DG do you think what we get from NTA is worth what did you know?

“After you left NTA as a DG we witnessed ‘midas touch’ in Silverbird TV, Galleria, expensive Restructuring of Rhythm FM. I am particularly worried we could not get to the bottom of the N8 billion NTA refurbishment scandal. Please let’s revisit,” Ogundamisi tweeted further.

Bruce, however, responded to this accusation saying he founded Silverbird with a N20,000 loan from his father in 1980, an evidence that one needs not steal to prosper in Nigeria. He asked his accusers to provide evidence to back their allegations that he enriched himself from NTA coffers while he was DG, insisting that it was under his tenure that NTA moved from 6-hour daily broadcast to 24-hour daily broadcast.

Veteran broadcaster, Mr Oyinlola Ademola joins voice with Bruce in his suggestion that NTA be disbanded. In a phone interview, Ademola said the enabling law setting up NTA set it up as a monopoly and not to compete with other stations.

“NTA was set up to propagate the programmes and policies of the government of Nigeria. They cannot function outside this. They cannot do critical reporting of stories especially when it goes against the government of the day,” he averred.

Ademola, who worked with the NTA for about a decade before resigning some 30 years ago to go into the private sector media, recalls that the station has good talents but they are mostly constrained from performing the ‘watchdog’ role of the media due to the ownership factor.

Could NTA be having a problem of human capacity?

Another possibility is that the quality of NTA’s output is a reflection of its staff quality. However, this is not a position that many agree with. Being over four decades old, NTA has produced several veterans who are making impacts across other stations.

John Momoh, before founding Channels Television, worked as a news anchor, senior reporter and senior producer for Federal Radio Corporation of Nigeria (FRCN) and the Nigerian Television Authority (NTA). Several other journalists from NTA have left over the years and are heading privately owned channels in different capacities.

About capacity, Ademola said; “Staff of NTA barely had enough room to practice professional journalism, in fact there are several story ideas you see your contemporaries in private media doing, but you dared not suggest it at the editorial board meeting.

“Even now, if I am given NTA to head on a platter, I will not take it because the structure will not allow one function professionally”.

He adds that unless the politics is separated from the business, NTA will not be able to compete with any of the private stations. The current structure is one that places professionals in charge as figurehead leaders, even though they still have to do the bidding of the political heads who have appointed them.

Since the channel depends solely on the government for funding, they cannot say certain truths about the government of the day, however obvious it may be. Critical news stories that unearth ills may also be overlooked, especially if the government of the day is fingered in any of such findings. For instance, even when other media tried to report the wrongs of the Abacha-led administration, NTA continued to report the government in a positive light.

Findings in recent years have now shown how biased those reports were, as the present government has repatriated billions of naira allegedly siphoned by the Abacha administration.

Why is no one watching NTA?

At the helm is the Director General (CEO) and his EDs, as well as the seven-member board headed by a part-time Chairman, all directly or indirectly appointed by the government.

On the other hand, most of the NTA’s competitors are privately run, and this means that they are very conscious of the competition and do everything to stay ahead of the game. NTA on its part relies on the government for yearly budget allocations and are not as profit-driven.

A survey conducted to know some reasons why Nigerians do not like watching NTA, fingered the lack of transparency as a key factor. Nigerians know for a fact that watching NTA means that they will only be hearing what the government wants them to hear as the piper cannot play against the dictates of its paymaster.

In a phone chat, Augustine Atabor, 37 years old says while growing up, “NTA was all we had so we had to watch it even though we knew that their reports could not be objective”. However, the deregulation of the broadcast industry has brought independent and privately-owned media players into the space which viewers have come to prefer, because they know they can expect a more objective report.

“The feeling for me is that the government has not earned my trust so I don’t watch their news channels because I know they will not tell the truth,” he said.

At a time like this when people watch television channels on a paid-subscription basis, it is very unlikely that people would want to spend money and time watching reports that only project the government in a good light, even when the reality says otherwise.

Bok, another respondent in her 40s says she has long stopped watching the channel due to poor content, poor quality, and seeing the same faces. Cyril Stober, for instance, had spent over 30 years as a broadcaster on the station anchoring the news at 9 pm on NTA network and NTA prime time news. Even after retiring in 2019, she noted, he still anchors regular NTA network programmes, an indication that they either lack new hands or simply choose to recycle the same old hands. The video and audio quality of their productions is also way behind the times.

“Times are changing, and people want to watch something different,” she explained.

An NTA staff who preferred to be unnamed stated that it will be practically impossible to separate government influence on the reports and programmes, in any government-owned media in the world.

“Irrespective of the person heading the authority at any time, there is already a tradition in place and nothing perceived to be anti-government can even make it past the newsroom,” she explained.

British public service broadcaster,  British Broadcasting Corporation (BBC) despite being owned by the government, still produces standard content, with the audio and visual quality matching that of CNN and any other privately-owned media. How balanced their reports are, however, is totally a matter of perspective as there are still hundreds of reviews online suggesting that the station is biased and unbalanced in its reportage.

Final BBC market impact assessment conducted and published by Oliver & Ohlbaum Associates Ltd and Oxera Consulting LLP in February 2016, showed how a shift in BBC’s mainstream services could impact the commercial market and net market impact. According to the report, a change in the positioning of the BBC’s popular music and news/sport radio services to emphasise music, hard news and lower profile audience, could reduce BBC’s share of measured radio audiences to below 50 per cent, while at the same time having a positive net market impact and increasing commercial ad-funded income by £22m to £38m annually.

Similarly, the report estimated that a shift from softer news stories towards more in-depth analysis and explanation would both increase news page views and increase commercial revenue anywhere between £3.2 million to £8.2 million annually

“A more differentiated BBC strategy could also bolster pay income across TV and online news and information and possibly music and speech audio on-demand,” the report read.

TV ratings carried out during the lockdown shows that several channels under the South African Broadcasting Corporation (SABC), gathered viewers in excess of 4 million both in news, presidential address and other entertainment content.

While nothing is said about balance or objectivity in its content, it is clear that the viewers enjoyed something about the channels and programmes, hence the spike in viewing.

The South African Broadcasting Corporation [SOC] Ltd (SABC) Corporation plan 2020-23 shows that, just like every other public broadcaster, is facing challenges in its service delivery. The ubiquity of OTT platforms that allow people access content when, where and how they want has made the competition even tougher.

Despite the presence of the OTT options, about 96 percent of South Africans still watch television with adults watching about four hours of television daily, while people under 34 watch about three and half hours of television daily.

The implication of the growing multichannel and multi-content options is that viewers no longer have the patience for repeat broadcasts which seem to be characteristic with public broadcasters, hence SABC’s declining share of television ratings.

In spite of these, a survey conducted on viewers of NTA Calabar and NTA Benin city shows minimal complaints about the quality of content output and quality.

The lack of competitiveness and innovation are also other issues raised which NTA seems far from addressing. Shuaibu Augustine, another respondent in the FCT Abuja, says that he found better and more reliable sources of current news and programmes.

Till date, viewers could tune in to NTA and experience poor audio quality (echoing voices or no sound at all), and it could go on for long minutes without any correction.

The video quality, a reflection of the camera and video equipment used cannot compare with rival channels, even though it is better than the heydays. This, according to Ademola, is a reflection of the government factor where contracts are awarded to friends of the government without close monitoring.

In a recent tweet, Jason Njoku, founder of IrokoTV stated after watching NTA for the first time in years, that the station is in need of a bailout. “Nigerians, NTA needs us. She needs a bailout. These graphics look bad in 1970,” he stressed, volunteering N500,000 for a rebranding of the station and its graphics.

In an era where viewers have hundreds of alternatives to tune into, with some of them being free-to-air, this is definitely a terrible oversight showing a lack of professionalism or absence of any monitoring body.

The National Broadcasting Commission is a parastatal established to regulate and control the broadcast industry by ensuring ethical compliance. This is carried out through occasional sanctions and fines. Interestingly, there is no record of NTA being sanctioned by this body. Almost every other channel has at some point or the other been penalised or at least received a letter of warning over some misconduct or the other.

Efforts to reach the Director-General, NTA, Yakubu Muhammed, for reactions to the allegations above and plans to rebrand the network were abortive. Enquiries made were not responded to.

Could it be that in spite of all its shortcomings, NTA is playing by the industry standards, or playing by government rules? Perhaps, it is time someone called the attention of the NBC to more important tasks like fixing the loops in NTA, and giving Nigerians a national channel worth watching, rather than the recent witch-hunting activities the commission favours against the likes of Rok, DSTV, NETFLIX and other platforms that are actually providing premium and quality content.

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Nigeria’s high recurrent costs, low revenue and escalating debt numbers

Nigeria continues to face issues of poor revenue generation and a lack of will to efficiently manage its expenditure.

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Debt, Fitch downgradesS&P downgrades Nigeria, Nigeria’s credit rating faces downgrade by Fitch, Oil price crash, Coronavirus: The trouble that lies ahead for Nigeria, Avoiding 2016: What Nigeria should do to fight the coming economic storm, Fitch downgrades, federal government (FG)

In the recently released Q3 2020 debt report by the National Bureau of Statistics, the total public debt was N32.22trn as of 30 September 2020, with local debt making up 62.18% of the total public debt in the period while external debt made up 37.82%.

This is similar to the country’s debt structure in the same period of 2019 when domestic debt made up 68.45% of total public debt and external debt made up 31.55%. Whilst debt to GDP ratio remains within the acceptable threshold, we are increasingly concerned about the nation’s ballooning debt service to revenue ratio.

READ: U.S. budget suffers a deficit of $3.1 trillion in 2020, as pandemic slams the economy

Recall that the Federal Government of Nigeria following a series of revisions to the 2020 appropriation bill arrived at a fiscal deficit of N4.98trn. Based on the finance ministry data, an aggregation of debt monetization (N2.86trn) and New borrowings (N3.28trn) was used to finance the deficit.

READ: Heads of defaulting revenue generating agencies will be severely sanctioned – Buhari

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The 2021 appropriation bill forecasts a budget deficit of N5.60tn which would be financed mainly by borrowings of N4.69tn, privatization proceeds of N205.15bn and project linked bilateral & multilateral loans of N709.69bn. The country’s financing structure is of concern when one considers that the budget is tilted more towards recurrent expenditure than capital expenditure and raises questions on the sustainability of the current fiscal practices.

READ: FG directs the suspension of NIMC staff involved in extortion of NIN applicants

The significantly higher recurrent component of the budget continues to drag the country’s economic growth, resulting in poor infrastructural development. Spending more on capital projects can promote industrialization, improve local purchasing power and help the federal government’s diversification drive.

READ: NEM Insurance CEO/MD purchases 4 million additional shares worth N9.2 million

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Nigeria continues to face issues of poor revenue generation and lack of will to efficiently manage its expenditure. No significant cuts have been made to its overheads and statutory spending has continued to rise. Nigeria’s growing debt stock with little to show for it in terms of capital expenditure remains a major concern.

READ: Nigeria’s total public debt stock increased by N2.381 trillion in 3 months


CSL Stockbrokers Limited, Lagos (CSLS) is a wholly owned subsidiary of FCMB Group Plc and is regulated by the Securities and Exchange Commission, Nigeria. CSLS is a member of the Nigerian Stock Exchange.

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How Africa’s youth contribute to the African society

The growth of technology has created an opportunity for several African youths to come up with new innovations.

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Africa has been called a lot of names – dark continent, the savage, the continent of Safaris, third world, emerging market continent and more recently, Sh**hole, but it is hardly called the Continent of Youths.

It is not a secret that the youths are the future of the African continent. They are already emerging and will be the next thought leaders, creators and innovators that will help galvanize the African continent to greater heights.

According to the United Nations in 2015, Africa has 226 million youth aged 15-24 and one-fifth of the world’s youth population. This means that one out of every five youth on earth is from Africa. The African Youth population is forecasted to grow by 42% by 2030. There should be a new focus on the youth in Africa, as we examine how much they contribute currently to the continent.

One area where youth are thriving well in Africa is in the tech sector. The sector has become an interesting source of Foreign Direct Investments and in 2019 accounted for close to half a billion-dollar raked into the continent. In 2020, – the Paystack/Stripes deal brought in about 200 million dollars. The growth of technology has created an opportunity for several African youths to come up with new innovations, which are even more helpful in the current fledging economic and social climate affected by the pandemic.

There are several examples of many African youths using technology to start new ventures. Mike Endale, an Ethiopian American based in Washington, D.C, who is the principal at BLEN Corp, an information technology firm that leads the Ethiopia COVID-19 Emergency Tech Volunteer Task Team and assists Ethiopia’s Ministry of Health. During the pandemic, they have recruited over 1,700 software engineers and have even created an Africa COVID-19 response toolkit.

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Temie Giwa-Tubosun, the founder of LifeBank in Nigeria, is another African youth making strides in the tech scene. Since its establishment in 2016, it helps to deliver 22,830 units of blood, according to Next Billion, to hospitals in Nigeria, which help connect donors to blood banks. Next Billion also stated that LifeBank conducts drive through COVID-19 testing and supply oxygen to health centers. The Lifebank recently expanded in East Africa. In December 20280, the US- Africa Business Center of the US Chamber in conjunction with the American Business Council Nigeria in recognition of the great impact of start-ups in the wake of the Pandemic, inaugurated a digital entrepreneurship competition.

African youths are also thriving in the entertainment sector, particularly in the music business.  The Afrobeats genre continues to rule the music world and the likes of Burna Boy, Davido, Mr. Eazi and Omah Lay, who are still in their 20’s, spearhead and remain the face of the genre. The international recognition of Afrobeats has given artists more visibility on the global forefront. This was the case for Davido, Mr. Eazi and Tiwa Savage, who were featured on the cover of the Billboard magazine. Music remains of significant importance and the youths are a big factor to the success of the industry.

In Nigeria, the music revenue grew from $26 million in 2014 to $34 million dollars in 2018, according to Statista. The music revenue in Nigeria is expected to increase to $44 million by 2023 as reported by Statista.

Africa’s youth are also flying high in the area of sports, particularly in soccer. Wilfred Ndidi and Kelechi Ihenacho of Nigeria (both players at Leicester City in the English Premier League) come to mind. Also, Percy Tau, a South African soccer player, who was with R.S.C Anderlecht in Belgium, will now be returning to his parent club, Brighton & Hove Albion in the premier league. Tau plays in a forward position and he is expected to make his debut for the seagulls (Brighton & Hove Albion) in the 2020-21 season of the premier league.

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Lastly, youths in Africa have also been influential on the activism forefront, especially in the last couple of years. This was evident in October of 2020, when several Nigerian youths took to the streets to fight against police brutality in the End SARS protests. In Uganda, Musicians like Bobi Wine’s foray into Politics first as a parliamentarian and presidential candidate is attracting more youth to get into politics.

Other youths like Christelle Kwizera, founder of Water Access Rwanda, have been involved in helping communities with access to water. According to Global Citizen, Kwizera’s plan is to eradicate water scarcity and to provide clean water for people in local communities. Currently, her organization has supplied 70,000 people in Rwanda with clean water. Kwizera’s efforts earned her the Cisco Youth Leadership Award at the 2020 Global Citizen Prize.

African youths definitely have a lot to offer in several sectors and this would be vital to the growth of the continent. African governments need to understand this and invest meaningfully and in a sustainable way on the youth population to reduce the migration drain.

The enthusiasm, the work rate, and efforts are why the current children of Africa have an opportunity to be wonderful leaders of tomorrow. With the right nurturing environment in place, Africa’s future is in safe hands.

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Written by Paul Olele

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World Bank’s global outlook amid COVID-19 surge

The World Bank’s projection for Sub-Saharan Africa (SSA) is expected to grow by 2.7%, while the expected growth for Nigeria is set at 1.1% in 2021.

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Recently, the World Bank published its January 2021 global economic prospects. The bank expects global growth to expand by 4% in 2021 from an estimated 4.3% contraction in 2020.

In the report, the World Bank expressed concerns about the recovery phase of many economies, especially the emerging and developing economies except policymakers can put in place robust and comprehensive policy framework to improve the existing frail business and economic environment caused by the unprecedented coronavirus pandemic.

The bank’s growth projection for advanced economies (AEs) and emerging & developing economies (EMDEs) including China was 3.3% and 5.0% in 2021 respectively. Sub-Saharan Africa (SSA) is expected to grow by 2.7%, while the expected growth for Nigeria is set at 1.1% in 2021.

The World Bank appears less optimistic about the growth prospects across the globe including Nigeria as many countries are enfeebled as a result of the ripple effect of the pandemic causing elevated debt levels, rising unemployment and with the new strain of Covid-19 in many countries resulting in renewed lockdowns and restrictions, growth estimates may not be met. The bank stresses that quicker vaccination process across the world would aid faster economic growth which could step up to 5%, while a possible delay in rollout of vaccines amid rising infections could hamper growth expansion to 1.6% in 2021.

The prospect of quick vaccination appears a little bleak to us at this time. To give perspective, according to the Center for Disease Control (CDC) a few days ago, only 6.7 million Americans had received at least the first dose of the vaccine and that is roughly 2% of America’s population in 2 months.

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The bank extended its weakened optimism to Nigeria as the country faces severe pressures from dwindling oil revenues, weak private investments, eroding consumer spending power and declining foreign investor participation.

In our opinion, restoring the economy to the path of sustainable growth requires government’s conscious efforts in addressing structural challenges impeding growth in the economy.


CSL Stockbrokers Limited, Lagos (CSLS) is a wholly owned subsidiary of FCMB Group Plc and is regulated by the Securities and Exchange Commission, Nigeria. CSLS is a member of the Nigerian Stock Exchange.

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