Business
International Banks Suspend Operations In Cote d’Ivoire
Two large international banks suspended operations in Cote d‘Voire on Monday as a power struggle following a disputed presidential election tightened its grip on the economy of the world’s top cocoa grower.
French bank BNP Paribas’s Ivorian unit, the second biggest banking operation in the country, was closed due to security concerns, an official said.
Citibank also said it would be closed on Monday, giving no official reason but saying it would continue to monitor the situation.
BNP Paribas and number one Societe Generale between them have around two thirds of the Cote d‘Voire market.
Citibank is a smaller operation with no retail arm but is the largest corporate finance for Cote d’Voire‘s oil and gas operations, the main creditor of its 80,000 barrel a day refinery and the third biggest cocoa exporter financer.
The West African nation has been in turmoil since a disputed November 28, presidential election between incumbent Laurent Gbagbo and rival Alassane Quattara.
Gbagbo’s planning minister condemned the bank closures and said they were breaking the law.
UN-certified election commission results named Quattara the winner, but the result was reversed by a pro-Gbagbo legal body and the incumbent remains in power despite international sanctions and threats of military force.
“The entire BICICI network is closed until further notice.
“The head office in Paris informed us of this decision yesterday at around 2300 (GMT). I’m staying home today,” the official, who could not be named because of death threats against other banking staff, told Reuters.
A spokesperson for Citi in Paris said the bank was closed on Monday and the bank was monitoring the situation.
The power struggle has hit the banking sector as Quattara, backed by western nations and regional bodies try and cut Gbagbo’s access to funds to force him from power.
West Africa’s monetary union last month cut off his access to state accounts at West Africa’s BCEAO central bank.
“It was becoming very difficult for those banks to operate in Cote d `Voire because they can’t use the BCEAO platform any more,” Standard Bank analyst Samir Gadio told Reuters.
Gadio said that procedures that usually took an hour were now taking up to eight days, added that there was a “reputational risk if they continue to operate in Cote d`Voire (and are) seen as allowing Gbagbo’s regime to survive”.
Western nations have slapped travel bans and sanctions on a range of individuals and organisations backing Gbagbo.
Cocoa exporters have stopped registering new beans for export as a result of the sanctions, and a ban called for by Quattara.
Cocoa futures touched their highest levels in over a year on Monday as fears grew the ban, initially put in place on January 24, for one month, would be extended.
But Ouattara remains trapped in a lagoon-side Abidjan hotel, protected by UN peacekeepers while Gbagbo, who has the backing of the military, remains in control of government buildings.
“The government condemns the illegal character of this decision by proceeding with their closure, BICICI and Citibank are seriously contravening their obligations under banking law
“(We) will not tolerate these acts of defiance,” budget minister Kone Katinan said on state TV.
After being cut off from the regional bank, Gbagbo sent soldiers to seize its Abidjan unit and appropriate local reserves, forcing the bank to close its Cote d‘Voire operations completely and causing problems with liquidity and cheque clearing.
Banking sources say the military has since intimidated banks into participating in a new clearing system set up in the building Gbagbo seized and some have received death threats.
“Gbagbo is not going to leave just because the banking system has shut down he will leave the day his life is at stake.
“But this is going to speed up the endgame. I don’t see how the salaries are going to get paid,” said Gadio.
The Nigerian Communications Satellite Limited (NIGCOMSAT), the country’s satellite operator, has called for immediate promolgation of policy action that will enable the country to harness the potentials of Artificial Intelligence (AI).
NIGCOMSAT, also warned that Nigeria risks missing out on Africa’s projected $1.2trillion share of the global AI economy by 2030.
Managing Director of NIGCOMSAT, Nkechi Egerton-Idehen, disclosed this in a statement issued at the weekend following her participation in the Meeting of the National Council for Communications, Innovation, and Digital Economy.
“Artificial intelligence is reshaping industries, economies, and societies worldwide, with projections that it will contribute up to $15.7trillion to the global economy by 2030. Africa stands to gain $1.2trillion of this if the right policies and innovations are in place”, Idehen said, citing a PricewaterhouseCoopers report.
The NIGCOMSAT MD underscored the transformative potential of AI in agriculture, highlighting its applicability in Benue State, widely regarded as Nigeria’s “food basket.”
According to her, machine learning tools could revolutionize agricultural practices by improving pest detection and optimizing planting schedules using satellite imagery.
“AI offers us the chance to not only flourish economically but also to achieve food security. However, we must ask ourselves if we are prepared to manage this technology responsibly”, she added.
Idehen also noted that internet access remains a significant barrier to AI adoption in Nigeria.
“For AI tools to be effective, basic digital infrastructure is essential. Addressing this gap must be a priority.
“AI is happening. We have the opportunity to manage this technology revolution responsibly, both in Africa and globally, through innovation and governance”, she said.
In August 2024, the Federal Ministry of Communications, Innovation, and Digital Economy released a draft National Artificial Intelligence Strategy, aiming to position Nigeria as a global leader in AI.
Corlins Walter
The Chairman of Emohua Local Government Council, Chief David Omereji, has said the council has so far spent over N1 billion for the electrification of communities in the area.
Omereji said this while addressing staff of the council at the council headquarters recently.
He said the move was part of his administration’s resolve to ensure peace and development of the LGA.
According to him, the Council spent about N29 million on monthly basis for the maintenance of the Emohua Local Vigilante group known as OSPAC, with each member being paid a stipend of N100, 000 monthly.
He diaclosed that 11 out of the 14 wards are currently enjoying electricity, while efforts are on to light-up the remaining ones.
“I also want to use this opportunity to inform the political class for purposes of records and for the understanding of the people that the Council under my watch have done more than enough”, he said .
The Emolga boss explained that all that have been achieved were through the personal effort of the Council, without support from anybody as rumoured in some quarters.
Omereji further reaveled that a number of other projects, including roads, fencing of schools, hospitals, courts premises, and reconstruction of some abandoned buildings at the Council Headquarters are being undertaken by his administration.
He enjoined the people of the area to support his administration’s drive to bring purposeful development to the LGA.
The Emohua Council boss, who reiterated his hatred for noise making, stated that his works would speak for him, and solicited the support of staff of the council and the entire people of the area.
He noted the fact that some people may not be happy with his achievements, saying that he would remain focused, while advising critics of his government to do so constructively with facts and figures.
King Onunwor
The Movement for the Survival of the Ogoni People (MOSOP) has raised some ethical questions over a Financial and Technical Services Agreement (FTSA) between Sahara Energy and West African Gas Limited (WAGL), an affiliate of the Nigerian National Petroleum Company (NNPC).
MOSOP said the agreement was not done in good faith, not in the interest of the Nigerian people, and did not follow due process.
Foremost Ogoni born activist and MOSOP leader, Fegalo Nsuke, who made this known in Abuja, weekend, described the Sahara-WAGL deal as fraudulent, deceptive and an insult on the intelligence and integrity of the Nigerian nation.
Nsuke called on President Bola Ahmed Tinubu to cancel that FTSA between Sahara Energy and WAGL, noting that the agreement is fraught with irregularities and deceptive.
“What Sahara and the NNPC did in the FTSA between Sahara and WAGL is shameful and depicts high level corruption in public service of our country.
“WAGL is an affiliate of Sahara and the NNPC. How then can Sahara go into an agreement with its own affiliate? It’s as good as going into an agreement with itself. This is deceptive and fraudulent”, Nsuke said.
He continued that “Sahara Energy is certainly not a company the Ogoni people want on their soil and we are calling on Mr. President, Bola Ahmed Tinubu, to terminate any deal between the NNPC and Sahara Energy over OML 11, and to allow for an inclusive arrangement that considers a fair treatment of the Ogoni people in the distribution of revenues from natural resource extraction on Ogoni soil.
“The last Ogoni Congress has been unequivocal on the Ogoni demand for justice and has given a clear path to resolve the three decade old conflict between all critical parties.
“It will be good to explore this path to peace and development for Ogoni and for our country”.
Nsuke accused Sahara Energy and the NNPC of frustrating the progress made by MOSOP to achieve a permanent solution to the Ogoni problem.
He urged a presidential intervention with deep consideration for a fair treatment of the Ogoni people in order to permanently address the problem.
He noted that Sahara Energy should give up on the Ogoni area to allow for an engagement in the interest of the country and the people.
Recall that MOSOP and Sagara Energy have recently been engaged in a row in what MOSOP describes as an unholy relationship between Sahara Energy and the NNPC over OML 11.
MOSOP expressly rejected Sahara Energy and called for a fair treatment of the Ogoni people in natural resource extraction in Ogoni.
It noted that Ogoni people, led by MOSOP, paid the sacrifice to take the oil from Shell, hence “the position of MOSOP must be taken into consideration in decisions relating to resumption of oil production in Ogoni”.