T he Group Managing Director, Odu’a Investment Company Limited, Mr Adebayo Jimoh, has said that the Sketch Newspaper is not ‘dead’ but only resting and waiting for the mes- siah to raise it up, just as he prom- ised to implement the recommenda- tions of the Odu’a/Ex-staff of Sketch Reconciliation Committee. Mr. Jimoh disclosed this dur- ing a formal presentation of the re- port of Odu’a/Ex-staff of Sketch Press Limited Reconcilia- tion Committee to him at the Cocoa S KETCH IS NOT “ DEAD BUT RESTING ” AN OUTLOOK ON THE NATIONAL INFLATION ODU’A INVESTMENT COMPANY LIMITED Economic & Business Monitor Volume 1, Issue 15 April 2013 FIRST QUARTER 2013 EDITION INSIDE THIS ISSUE Global economic 2 update Domestic Economy 3-4 update An Outlook on the 5 National Inflation Business update on 6-7 Subsidiary/ Associate Companies Macro Economic 8 Indicators House, Ibadan, on March 19, 2013. He said that the Management of Odu’a was only waiting for the right investor, which he believed would come very soon, to invest in the defunct Sketch Newspaper T he nation’s first quarter (Q1) 2013 economic review may have shown a mixture of strength and weakness, with inflation level at single digit being sustained in the period. Available data showed that inflation stayed put in single-digit through the quarter, starting at a four-year low of 9.0% in January and rising minimally to 9.5 per cent in February, then down to 8.6 per cent for March. Nigeria’s fiscal deficits as a percentage of Gross Domestic Product (GDP) also re- mained below the recommended international benchmark of 3.0% Provisional growth in GDP is put at 7.1 per cent, a feat in the right direction to achieve National Bureau of Statistics’ 6.75 per cent growth projection for 2013. According to the report from PearMutual Consulting Limited, “there was a notewor- thy increase in the nation’s foreign reserves from the previous quarter; closing at $48.57 billion (+9.9 per cent) from $44.18 billion in fourth quarter of 2012 and +24 per cent over Q1 of 2012.” Continue on page 6 Continue on page 5
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T he Group Managing Director,
Odu’a Investment Company Limited,
Mr Adebayo Jimoh, has said that the
Sketch Newspaper is not ‘dead’ but
only resting and waiting for the mes-
siah to raise it up, just as he prom-
ised to implement the recommenda-
t ions of the Odu’a/Ex -s taf f
of Sketch Reconciliation Committee.
Mr. Jimoh disclosed this dur-
ing a formal presentation of the re-
p o r t o f O d u ’ a / E x - s t a f f
of Sketch Press Limited Reconcilia-
tion Committee to him at the Cocoa
SKETCH I S NOT “DEAD BUT REST ING”
Domestic economic update
AN OUTLOOK ON THE NAT IONAL INFLAT ION
ODU’A INVESTMENT COMPANY LIMITED
Economic & Business Monitor
Volume 1, Issue 15
Apr i l 2013
FIRST QUARTER 2013
EDITION
INSIDE THIS ISSUE
Global
economic 2
update
Domestic
Economy 3-4
update
An Outlook
on the 5
National
Inf lat ion
Business
update on 6-7
Subsidiary /
Associate
Companies
Macro
Economic 8
Indicators
House, Ibadan, on March 19, 2013.
He said that the Management of Odu’a was
only waiting for the right investor, which he
believed would come very soon, to invest in
the defunct Sketch Newspaper
T he nation’s first quarter (Q1) 2013 economic review may have shown a mixture
of strength and weakness, with inflation level at single digit being sustained in the
period.
Available data showed that inflation stayed put in single-digit through the
quarter, starting at a four-year low of 9.0% in January and rising minimally to 9.5 per
cent in February, then down to 8.6 per cent for March.
Nigeria’s fiscal deficits as a percentage of Gross Domestic Product (GDP) also re-
mained below the recommended international benchmark of 3.0%
Provisional growth in GDP is put at 7.1 per cent, a feat in the right direction
to achieve National Bureau of Statistics’ 6.75 per cent growth projection for 2013.
According to the report from PearMutual Consulting Limited, “there was a notewor-
thy increase in the nation’s foreign reserves from the previous quarter; closing at
$48.57 billion (+9.9 per cent) from $44.18 billion in fourth quarter of 2012 and
+24 per cent over Q1 of 2012.”
Continue on page 6
Continue on page 5
GLOBAL ECONOMIC UPDATE Volume 1, I ssue 15 Page 2
Global economic conditions have slight-
ly improved during the past three
months. Advanced economy policymak-
ers successfully defused two of the big-
gest short-term risks to global activity—
the threat of a euro area breakup and a
sharp fiscal contraction in the United
States. Financial markets have rallied in
response, and financial stability has
improved, according to the IMF’s latest
World Economic Outlook (WEO).
The United States of America
U.S. had mounted an impressive re-
bound from last year's slowdown — real
GDP expanded by a 2.5% annualized
rate in the first quarter of 2013 — build-
ing upon a consumer and business re-
vival supported by the recovery in hous-
ing activity and industrial orders. A virtu-
ous cycle of improving employment con-
ditions and rising home prices helped
boost household wealth and under-
pinned consumer spending. However,
even with the rebuilding effort in the
wake of Hurricane Sandy,
the U.S. momentum faded
by the end of the quarter.
Increasing uncertainty
surrounding a myriad of
p o t e n t i a l l y g r o w t h -
dampening international
developments, a deterio-
ration in net trade as imports bested
exports, and rising taxes alongside in-
creasing federal spending restraint
combined to drag on the pace of overall
economic activity.
China
Similarly, China's output growth expand-
ed by a relatively solid 7.7% y/y in
13Q1, but it was unable to sustain the
pick-up in activity recorded in the final
three months of 2012. The contribution
from net exports has been reduced
against the backdrop of much slower
the euro zone intact, has fallen out of
fashion. The conundrum is that there
is no easy or definitive course of reme-
diation. Austerity adjustments, heavier
on tax hikes and lighter on spending
cuts, have depressed growth because
the euro zone nations have had to rely
primarily on internal devaluation, not
currency devaluation, to realign com-
petitiveness and to eventually restore
a current account surplus.
Other Advanced Economies
Underlying weakness in the U.K. per-
sists, while Japan is posting marginal
gains. Subdued economic activity in
the once growth leaders of Canada,
Singapore, and South
Korea has become
more visible. Gains in
India and Brazil remain
lacklustre and well
below recent potential.
Even the twin locomo-
tives of the global
economy, the U.S. and
China, underper-
formed in the first three months of this
year, registering gains that were good
but below expectations.
The critical issue confronting the
global economy is the inability to
generate and sustain a stronger
pace of growth. There are many
reasons — fiscal restraint in the
advanced economies, structural
adjustments in many of the emerg-
ing market economies, ongoing
consolidation and re-regulation in
the financial sectors hardest hit by
recession and capital losses, indus-
trial restructuring to boost competi-
tiveness, weather-related disrup-
tions, or the caution induced by
recurring geopolitical risks.
www.imf.org, www.businesday.com
www.scotiabank.com
global growth and the rising trend in
imports. In addition and more fundamental-
ly, a changing competitive landscape re-
flects rising wage and other domestic pro-
duction costs that are constraining export
earnings. Other restraining factors include
the uncertainty surrounding the political and
economic handover to the new Chinese
leadership, as well as a reluctance to ag-
gressively inject more stimulus. Even so,
China's global growth-leading performance
continues to benefit from the continuing
buoyancy in consumer spending, housing
activity and infrastructure expenditures.
Euro Zone
The flashpoint, however, is the euro zone,
where a growing backlash to
'austerity-heavy' policies is gain-
ing momentum. Even though
there are some incremental
signs of economic progress in
the beleaguered region — the
re-emergence of a primary
budgetary surplus in Italy and
considerable progress in Portu-
gal and Greece, declining unit labour
costs that are helping
to boost competitive-
ness, and a revival in
goods exports in
Greece, Italy and
Spain — persistent
recessionary condi-
tions and the steady
rise in unemployment are increasing the
degree of social distress and unrest. The
recent election in Italy and leadership losses
incurred by the austerity-leaning techno-
crats, and the plummeting opinion poll re-
sults of elected officials in other countries,
highlight the growing public backlash. The
'short-term pain for long-term gain' policy
prescription favoured by the IMF, the EU,
and Germany (the region's benchmark for
fiscal probity), which had been implemented
along with other measures to resolve the
sovereign debt crisis and keep the euro and
GLOBAL ECONOMY: BETTER BUT STILL
BUMPY AND DIVERGENT AS AT Q1
2013
DOMESTIC ECONOMIC UPDATE NIGERIA SIGNS MOU WITH CHINA ON
SKILLS, TECHNOLOGY TRANSFER
T he Federal Ministry of Trade
and Investment and Sanshui
District Bureau of Economy, Science
and Technology Development Pro-
motion in China have signed a
Memorandum of Understanding,
MoU to facilitate the transfer of
skills and technologies.
The MoU includes a trade coopera-
tion agreement between many of
the factories sited at the industrial
park within the Sanshui Economic
Development Zones and Nigeria
with a promise by many of the pro-
cessing industries to open offices in
Nigeria before the end of the year.
The minister of Trade & In-
vestment has further reiterated
that plans to achieve technologi-
cally sound industrialized Nigeria
remained unwavering.
The chief facilitator of the
business meeting, Mr. Williams
Wang said: “This event is just the
beginning of activities which will be
held by “Africa Investment Net” this
year to promote investment in Nige-
ria
DAWN OF A NEW ERA AS NIGERIA
EMBRACES MOBILE NUMBER PORT-
ABILITY
It is official now that telecom sub-
scribers on the four GSM networks
in Nigeria can change their numbers
every 90 days. Following the flag off
of the mobile number portability
scheme by the National Communi-
cations Commission (NCC). At a cer-
emony in Lagos featuring the tele-
com firms. Members of the National
Assembly, NCC officials as
implement the National Building Code, which prescribed standards for professional
practice. The Chairman Cement Manufacturers Of Nigeria (CMAN) Mr. Joe Makoju,
an engineer, who made the charge at a one-day applications and cement standard
seminar, stressed that knowledge about the professional practice among the prac-
titioners would aid high quality building and construction in the country Makoju
noted that inspite of some outstanding concrete works done by leading construc-
tion companies in the country that the neglect to em-
brace the best professional practice which remains a
challenge in the industry .He also noted that all over the
world the regulatory authorities and practitioners in the
building and construction industry develops standard and
codes to guide construction professionals in effective
specification of concrete grades and selection of cement
type thus ensuring some degree of uniformity in the appli-
cation of concretes in their countries.
C oncerned that buildin and con-
struction industry has not embraced
good professional practice to ensure
sound quality and durable construc-
tion materials, cement producers
have urged stakeholders to
Volume 1 , i s sue 15 Page 3
KONICA MINOLTA TARGETS NIGERIA’S
MARKET WITH LOW-COST DIGITAL
PRINTING SOLUTION
Recognizing the potential of Nigeria’s
enterprise market, Konica Minolta, A
global digital print solutions company,
has introduced new printing products
and solutions in the country. The com-
pany, which recently made enroute into
the country and Ghana, said its prod-
ucts could cut cost of printing by 70
percent. At a two-day media unveiling
of its products in Lagos at the week-
end, the Area Manager, Central Asia,
Middle East & Africa, Konica Minolta,
Mr. Mark Oldfield, emphasized that the
firm’s products would save users up to
70 per cent on printing expenses, while
ensuring quality print production and
colour accuracy, among others. Regard-
less of the evident challenges in the Nige-
rian economy, Konica Minolta has a
promise to deliver cost-effective ma-
chines, overly efficient after sales service
and the cheapest consumables possible.
It is surely going to boost the Nigerian
economy,” he said. The Konica Minolta
range are acclaimed to be the most inno-
vative, cost-effective, safest and easy-to-
operate printing solutions, according to
him. Products include the Bizhub PRESS
c8000, Bizhub PRO c7000, Bizhub PRO
951 and a range of other machines,
which come with the full range of online
finishing options, staple finisher, saddler
stitcher, perfect binder, punch kit and
folding options
CEMENT PRODUCERS URGE EN-
FORCEMENT OF BUILDING STAND-
ARDS
well as the referee – Interconnect
Clearinghouse Nigeria Limited – the
NCC said all was now in place to
make the MNP scheme work
in Nigeria. Two days ahead
of the formal launch, leading
telecoms service provider
Airtel Networks, had extend-
ed its welcome to subscrib-
ers by affirming the exist-
ence of network capacity to take in
additional subscribers.Airtel at a me-
dia briefing at the Lagos Sheraton
was spent mainly on upgrading and opti-
mizing its network as well as preparing
for more subscribers. CEO Airtel Nigeria
Segun Ogunsanya said the
Airtel network
has capacity for double its
current subscription number
of 25 million.Ogunsanya cited
the latest NCC audit of telcos
that showed Airtel outperforming all oth-
er operators on criteria set by NCC.
T he Odua Hall of Fame and muse-
um was commissioned in the month
of March this year. It was declared
opened by a dramatist, poet, novel-
ist, essayist, political activist and
most of all a Nobel prize winner for
literature, Professor Wole Soyinka
The museum captures the totality of
Yoruba way of life in the old days.
Pots and bronze carvings of different
sizes are displayed. The different
kinds of Yoruba drums are also ar-
ranged neatly.
Appurtenances of royalty
such as beads, horse-tail, crowns
and walking sticks are displayed at
the royalty section.the museum is the
war section where old war weapons
such as guns are on display. The
treaty that brought an end to the
Yoruba war of the 19th century ti-
tled Proclamation of Peace at Kiriji-
Mesin Battlefield was boldly dis-
played. Professor Wole Soyinka
commended the management of
O’dua Investment Company Limited
for the initiative. The museum show-
cases the beginning of Yoruba tech-
nology and the ingenuity of our fore-
fathers. According to Professor Wole
Soyinka “I want to say there is still
more to do now that an appeal has
been made to people to donate
material to enrich the arts, crafts and
antiquities contents of the museum.
Let me say that it is with a thought of
nostalgia that I return to the Cocoa
House and I must say I am very happy
with what I have seen here. Cocoa
House is one of those firsts Yoruba
recorded in Nigeria”.
The curator of the museum,
Mr. Babajide Famuyiwa, explained the
reason behind the establishment of
the museum: “It is created to show-
case the essence of the Yoruba peo-
ple, what the Yoruba call Omoluabi.
The Yoruba people have played a ma-
jor part in the economic development
of the country. They have helped in
the development of every sphere of
endeavour in the country. So in that
wise, it was decided that we should
look at these and bring them in focus.
That informed the creation of the
O’dua Museum and Hall of Fame”
Volume 1, Issue 15 Page 4
NCC SETS NEW SMS TARIFF
FOR TELECOMS
I n line with its mandate, the
Nigerian Communications Com-
mission (NCC) has set a tariff cap
of N4 per Short Messaging Ser-
vice (SMS) for all domestic off-net
SMS with effect from February 5,
2013.
NCC, which said it will not place a
price cap on international SMS
for now, disclosed that the di-
rective to this effect had been
communicated to all the opera-
tors including MTN Nigeria, Glo-
bacom, Airtel and emerging mar-
ket telecommunications service,
operating as Etisalat in Nigeria
since January 3, 2013
C oordinating Minister for the Econo-
my and Finance Minister, Dr. Ngozi Okon-
jo-Iweala, has announced a partnership
between the Federal Government and
the World Bank to develop a $300 mil-
lion mortgage financing structure for af-
fordable housing. This attempt at revolu-
tionizing Nigeria’s housing sector is seen
by experts as another bold step forward
towards making cheap funds available in
the sector. Under the arrangement, the
World Bank is to provide financial access
and liquidity to the tune of $300 million
to kick start the project, while banks in
the country will partner government to
develop mortgage vehicle that will
zmanage housing development in Ni-
geria. Government will, however, have
a small share.
Minister of Finance and Coordinating
Minster of the Economy, Dr. Ngozi
Okonjo Iweala, who briefed the Nigeri-
an media at the end of the World
Bank/International Finance Corpora-
tion (IMF) meetings in Washington DC,
said the facility will attract zero per
cent interest, 0.7 per cent commit-
ment charge, 10-years grace, and 40-
year repayment period. She said Ni-
geria’s current housing deficit of 17
million is growing at two million units
per annum.
D O M E S T I C E C O N O M I C U P D A T E C O N T I N U E D
ODUA COMMISSIONS HALL OF FAME & MUSEUM
INTERIOR PASSAGEInterior Passage - the look and feel will alsocapture the ancient indigenous concept
EXPERTS APPLAUD N4.68b FG,
WORLD BANK MORTGAGE DEAL
C o nt inu e d f r o m pa ge 1 It noted that the new posi-