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Old June 5th, 2019, 09:26 PM   #2461
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Kano, Info and Communication?
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Old June 6th, 2019, 12:11 AM   #2462
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That's the same thing I thought when I saw that. Did not expect it at all. But it's not only the largest sector in Kano, Kano Leads the sector followed by FCT and Ogun. You can go through the filters on the "State Rank per Sector" tab in the spreadsheet to see who leads what.

I guess Kano residents talk on the phone a lot.
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Old June 6th, 2019, 02:33 AM   #2463
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There's actually been some tech activities going on in Kano. The city is essentially the tech hub of the north. However, like most other northern states, a very huge part of Kano's overall economy have not been captured into official estimates.
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Old June 6th, 2019, 01:37 PM   #2464
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Quote:
Originally Posted by chaser9 View Post
That's the same thing I thought when I saw that. Did not expect it at all. But it's not only the largest sector in Kano, Kano Leads the sector followed by FCT and Ogun. You can go through the filters on the "State Rank per Sector" tab in the spreadsheet to see who leads what.

I guess Kano residents talk on the phone a lot.
EVen if that was the case, I highly doubt 'Info and communication' can surpass Trade for a state like Kano. So many aspects of the report as a whole baffles me.
Trade is the Anchor of the Kano state economy including into and with neighboring countries, as far as Sudan.
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Old June 6th, 2019, 06:39 PM   #2465
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EVen if that was the case, I highly doubt 'Info and communication' can surpass Trade for a state like Kano. So many aspects of the report as a whole baffles me.
Trade is the Anchor of the Kano state economy including into and with neighboring countries, as far as Sudan.
How much of that trade is informal. A single investment in a very formal sector like communications would put that sector ahead.
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Old June 6th, 2019, 07:22 PM   #2466
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There sure are huge gaps in data collection within the report which highlights the country's inability to capture data from informal sources. Multiple head scrathers like Education where the top three are Osun, Bayelsa, and Oyo. Even states like Zamfara and Bauchi are ranked higher than Kano. Which overwhelms them in both population and Tertiary institution student body. Also in Education Zamfara generates 5 times as much activity as FCT which cannot be accurate anyway you put it.

It clearly shows that data collection was more robust in FCT than other states. Blame can also be placed on the individual states for not doing a good enough job in data collection. Lagos state does put a lot of effort into this where Kano, Anambra and others don't put as much effort.

This is one area where mobile money would have help in the integration of informal economy, but the Banks had to Lobby the CBN to prevent the Telcos from establishing such services. And since then the Banks themselves have not been able to get their own mobile money services off the ground. The telcos have the infrastructure to make this work, but the Banks were afraid of loosing their controlling position in finances.
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Old June 9th, 2019, 02:19 PM   #2467
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Why Nigeria’s economy cannot grow – Dangote

June 9, 2019 Agency Report

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Aliko Dangote: The quintessential Nigerian entrepruneur, By Femi Aribisala

The President of the Dangote Group, Aliko Dangote, says the availability of consumer credit facility is an important option in fighting corruption in the country.

Mr Dangote said this on Saturday in Lagos at a consultative roundtable titled, “Going for Growth” with some economic stakeholders.

He said that the Central Bank of Nigeria (CBN) and commercial banks should develop consumer credit products to encourage low-income earners to engage in loan taking.

He also identified a lack of policy implementation as the biggest challenge in the country.

“How do you have economic growth without power? So, no power, no growth because without power there can’t be growth.

“Egypt increased its electricity by 10 gigawatts, which is equivalent to 10,000 megawatts in 18 months.

“In Nigeria, we have been struggling for 18 years without adding 1,000 megawatts and we have spent about three times above Egypt, why?

“So, I think we all need to be concerned about that.”


Mr Dangote advised that the country needed to promote import substitution for foreign exchange accumulation through proceeds from exports.

He called for a public-private partnership to boost the non-oil sector of the economy and added that Nigerians should invest in the development of the non-oil sector which had been left in the hands of foreigners.

“Government need to encourage non-oil sector growth rather than depending on proceeds from crude oil to pay salaries.

“Proceeds from crude oil sale should be for major investment in the country,” he added.

He urged the federal government to improve more on the power sector, saying “no business will thrive with business owners generating powers themselves.”

Mr Dangote said that all stakeholders must come together and support the government in finding a solution to power challenges in the country.

Apart from power, Mr Dangote suggested that government focuses more on three areas which include finance, manufacturing and agriculture.

According to him, Asian Tigers concentrated on these three sectors for them to be where they are.

He further urged the government to focus more on the fiscal policies for the country to move to the next level.

The business mogul said by next year, the country would have exported eight million tonnes of cement to African countries from the present six million tonnes.

Mr Dangote added that Nigeria would also be the biggest exporter of fertilizers in Sub-Sahara Africa.

Also speaking, the Chairman of Zenith Bank Plc, Jim Ovia, noted that government policies had supported the production of petroleum, cement and fertilizers.

Mr Ovia commended the government on broadband penetration in the country, saying it had boosted banking activities.

He supported Dangote on the need for consumer credit and said banks were doing their best on it.

Mr Ovia, however. noted that the process had been slow because of the challenges associated with people given accurate data for Know-Your Customers (KYC) process.

Also, the former Managing Director of Stanbic IBTC, Peterside Atedo, urged the CBN to continue with the effort taken in reducing inflation rate from 18 per cent to as low as 11.37 per cent as at April 2019.

Mr Peterside said the CBN should use the same pace to bring the country’s inflation rate to a single digit.

(NAN)
Source

I swear this guy should just run for the presidency, he has political connections in the ENTIRE continent, he is an household name (not just rich), he knows politics and the economy and surely has enough liquidity to make some contributions for a campaign. Surely it is not that far-fetched.

Not right now obviously but maybe in 10 years time. We need him in the private sector, but 10 years is a long time to expand his new businesses, groom a heir for Dangote Group and then go into politics.

I said in the other thread, he is 10 times more qualified to lead Nigeria than Trump is qualified to lead America. I have been following him closely and he knows the country as well as anybody. He is not just some rich entrepreneur. A significant part of his business is even politics, because in Africa you cannot be the richest man on the continent without being somewhat of a politician.

It would much easier for him to transition into politics than it was for Ben Bruce. Everybody knows Dangote on all levels of society. He is not some Silicon Valley investor that only well read people know.
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Old June 9th, 2019, 03:47 PM   #2468
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Quote:
Originally Posted by Tbite View Post
Why Nigeria’s economy cannot grow – Dangote

June 9, 2019 Agency Report



Source

I swear this guy should just run for the presidency, he has political connections in the ENTIRE continent, he is an household name (not just rich), he knows politics and the economy and surely has enough liquidity to make some contributions for a campaign. Surely it is not that far-fetched.

Not right now obviously but maybe in 10 years time. We need him in the private sector, but 10 years is a long time to expand his new businesses, groom a heir for Dangote Group and then go into politics.

I said in the other thread, he is 10 times more qualified to lead Nigeria than Trump is qualified to lead America. I have been following him closely and he knows the country as well as anybody. He is not just some rich entrepreneur. A significant part of his business is even politics, because in Africa you cannot be the richest man on the continent without being somewhat of a politician.

It would much easier for him to transition into politics than it was for Ben Bruce. Everybody knows Dangote on all levels of society. He is not some Silicon Valley investor that only well read people know.
Should he and others like him not use their platforms (and wealth) to push political aspirants who speak along similar lines? And why have they not done so?

Furthermore, why would such a man cosy up to Buhari, a character who is notoriously anti-business and anti-progress?
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Last edited by mekon; June 10th, 2019 at 09:57 AM.
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Old June 10th, 2019, 07:16 PM   #2469
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Though Dangote is very knowledgeable about the Economy and does propose some good policy recommendations, he has also proposed terrible policy recommendations in the past as well like when he suggested that the Nigerian government sell all the public assets in order to pay for the budget deficit during the height of the oil price crash.

Magnates of conglomerates always talk smooth and they do know the strengths and weaknesses of their operating environments, but often when they get into public office positions, they always tend to push decisions that favor their own business interests at the expense of everyone else.

I do respect his business acumen but a knowledgeable somewhat neutral dealmaker would be a better candidate for presidency than someone with deep rooted business interests.
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Old June 12th, 2019, 11:52 AM   #2470
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The problem is the neutral deal-makers have no political capital or if they do they are used as pawns.
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Old June 13th, 2019, 07:22 AM   #2471
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Originally Posted by chaser9 View Post
Though Dangote is very knowledgeable about the Economy and does propose some good policy recommendations, he has also proposed terrible policy recommendations in the past as well like when he suggested that the Nigerian government sell all the public assets in order to pay for the budget deficit during the height of the oil price crash.

Magnates of conglomerates always talk smooth and they do know the strengths and weaknesses of their operating environments, but often when they get into public office positions, they always tend to push decisions that favor their own business interests at the expense of everyone else.

I do respect his business acumen but a knowledgeable somewhat neutral dealmaker would be a better candidate for presidency than someone with deep rooted business interests.
I am obviously not a politician, and in fact not particularly interested in Nigerian local politics (except to the extent that bad politics affect the economy), but I am all FOR selling public assets.

If the concerns of it ending up in the hands of a few citizens with massive amounts of capital can be addressed either through policy or statutes (and btw there are a lot of people with considerable amount of capital in Nigeria, but a lot fewer who are active investors in the domestic market), then I would be gung-ho about selling these assets which are poorly-managed and terribly under-performing, while providing opportunities and avenues for rent-seeking and outright corruption. These holdings could be more diversely divested through pension funds (which means that the beneficial ownership accrues to the millions of Nigerians who have accounts in these funds), while any remaining government holding should be held by the SWF primarily in in its Future Generations Fund. Nonetheless, selling off these assets would help deepen the local securities markets and hopefully lend private sector efficiency to the management/utilization of these assets.

The biggest hurdle to the disposal of public assets would probably be political, as well as the associated culture of many Nigerians preferring to "own" (because the notion of government ownership in Nigeria as public control and benefit is largely a myth) 100% of nothing than 1% of something. Meanwhile, the politicians and bureaucrats are currently using these assets to often support a luxurious lifestyle and rent-seeking opportunities for themselves and their cronies, in a country where almost 80% of all public revenue is used to support a government workforce of less than 0.5% of the (estimated) population.

PS: Personally, I do not think that Mr. Dangote should get into active partisan politics or seek elective office.
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Old June 14th, 2019, 06:57 PM   #2472
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I agree with your suggestion of setting up structures like pension funds when selling important public assets and I'm also all in for selling public assets. That's what we should be doing.

The main issue with Dangote's proposal was using it as a means to raise funds to meet recurring budget shortfalls. There are better ways to raise funds for dept payments than selling off assets or more like gifting them to private entities because in such a desperate situation, the assets would be sold at rock bottom prices to the favored political crony.

If funds were raised through this means, they would never have been enough to cover the budget deficit and the country would still be looking for funds with no assets left to sell. Sale of public assets should be done during a period of lower financial pressure where details can be ironed out with clear minds not when the state has a gun to their head to sell.
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Old June 14th, 2019, 11:05 PM   #2473
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Selling “all” assets isn’t wise. The government is too big as it is but private enterprise won’t work for all areas. Some segments benefit from having the government behind it. However selling assets for budgetary reasons is silly when taxation hasn’t been exhausted
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Old June 15th, 2019, 02:45 AM   #2474
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Nigeria Plans to Invest $500 Million to Boost Palm Oil Production

June 14, 2019, 5:21 AM EDT
Government plans $500 million investments starting this year
The 75% duty rebate on imported palm oil will be removed
A Nigerian variety of palm oil tree.
A Nigerian variety of palm oil tree. Photographer: Joshua Paul/Bloomberg
Nigeria plans to increase its palm oil production 700% over the next eight years to help improve its foreign-exchange earnings that are largely dependent on crude oil exports.

The new policy will boost local production to about five million tons from 600,000 tons a year by investing as much as 180 billion naira ($500 million) beginning this year, the trade and investment ministry said in a report.


“Our policy objectives over an eight-year period (between 2019 and 2027) will see that we locally produce 100% of local crude palm oil demand by 2027, increase revenue from importation via duties and deliver 225,000 full time jobs and at least 450,000 seasonal jobs,” it said.

The new policy also seeks to remove the 75% duty rebate granted on refined palm oil imports and extend a current three-year tax holiday for all producing and processing companies to five years. It will introduce a five-year restriction of crude and refined palm oil importation to large-scale refineries and crushing-plant owners.

Farmers will be given access to loans at 9% per year through a central bank-administered lending to expand cultivation by at least three million hectares.

https://www.bloomberg.com/news/artic...enfold-by-2027
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Old June 15th, 2019, 05:02 AM   #2475
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Selling “all” assets isn’t wise. The government is too big as it is but private enterprise won’t work for all areas. Some segments benefit from having the government behind it. However selling assets for budgetary reasons is silly when taxation hasn’t been exhausted
What "assets" should not be sold (as I am beginning to suspect our definitions vary)?

Meanwhile, not even Dangote is advocating that Nigeria sell its assets to finance its budgets. In fact, quite the contrary, he is advocating raising tax revenues to finance recurrent expenditure (5:03 of video below). Thus, I suspect that what chaser9 means is selling assets to finance capital expenditure, rather than borrowing to do so (as Nigeria is presently doing).

Personally, I see some merit even in that course of action, as Nigeria has more than doubled its external debt over the past four years and currently expends about 66% of federal government revenues just to service its debts. Which means there's barely only 34% of revenues left to finance the budget (which budget has a capital expenditure component of less than 30%).

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Old June 15th, 2019, 05:09 AM   #2476
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Effectively, Nigeria expends merely about 10% of all federal government revenue on capital expenditure (and these are NOT all infrastructure, but in Nigeria includes things like cars, computers, etc.).
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Old June 15th, 2019, 05:38 PM   #2477
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We need more and more Nigerian Entreupeneurship spirit in the DRC...


WATCH: Developing a Nigerian computer giant

Zinox Group in Nigeria is a computing firm that assembles and distributes computers and software across Africa.

The firm is trying to democratise technology for the masses by developing personal computers that suit African needs, such as protection from frequent power cuts, and it is also expanding its foray into ecommerce



https://www.bbc.com/news/av/business...computer-giant
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