Business

Why we introduced N100bn IBTC infrastructure fund — CEO

Published

3 years ago

November 23, 2021

Dr Demola Sogunle, Chief Executive Officer of Stanbic IBTC Holding Plc

Dr Demola Sogunle, Chief Executive Officer of Stanbic IBTC Holding Plc, has said that the bank established a N100 billion fund to help close the infrastructure gap in Nigeria.

Sogunle said this at a Hybrid event organised by the Rotary Club of Ikeja, District 9110 with the topic, “Solving Infrastructure Deficit in Nigeria”, on Monday in Lagos.

According to him, infrastructure deficit truly exists in Nigeria and begs for immediate solution.

“So, in order for us not to complain, we saw the situation and decided to create value by introducing IBTC Infrastructure fund of N100 billion, and the important thing is that we have started disbursing already.

“The plan is simple: we would provide project owners with long-term capital to fund their projects whilst investors enjoy competitive returns as well as achieve set investment goals

“The Fund would be released in tranches, starting with the first N20 billion tranche which is now open for subscription, providing an avenue for investors to gain exposure to critical infrastructure projects.

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“The tranche has a 12-year maximum duration,’’ he said.

Sogunle also said Nigeria, ranking 7^th in terms of population, needed 1.5 trillion dollars over the period of 10 years to close infrastructure gap, which is a lot of money.

He said that the budget that was put to infrastructure projects could not take Nigeria anywhere.

“The 4.89trillion capital expenditure, dedicated to infrastructure projects accounts for 30 per cent of the proposed 2022 budget.

“The infrastructure stock, is about 30 per cent of our GDP, our GDP is about 400 billion dollars plus; Nigeria infrastructure stock of 30 per cent of GDP remains far below the 70 per cent international benchmark and it’s not going to take us anywhere.

“This is just for us to know the enormity of the issue,’’ Sogunle said.

He noted that African countries like Egypt, Tunisia, South Africa, etc, were far ahead of Nigeria in terms of infrastructure development.

He said that in the 2019 Global Competitiveness Index Report, Nigeria scored 48.33 points out of 100 and ranked 130^th of 141 countries surveyed for the overall quality infrastructure.

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Sogunle mentioned some challenges affecting infrastructure development in the country.

These include, huge capital outlay versus Budget Constrains and Huge cost of financing, political and regulatory risk which is high, poor maintenance culture, low risk appetite by financial institutions and suboptimal record of past projects.

The bank CEO also said that the impact of $10bn infrastructure investment required on GDP growth rate was assumed at N3.6trillion (US$10billion) per year from 2019 to 2030 according to Nigerian Integrated Infrastructure Master plan (NIIMP).

He said that the real GDP was expected to decline by 0.19 per cent in 2020 but rebound to 3.85 per cent by 2021 and 10.68 per cent by 2030, reflecting the impact of the implementation of the plan.

He stressed that if 10 per cent of the proposed 10 billion dollars, ($1bn) is invested, this would still bode well for the economy and positively impact the GDP growth given the current level of infrastructure deficit.

Sogunle advocated a positive public-private sector collaboration to tackle infrastructure gap in the country, recommending unconventional financing methods e.g. Road infrastructure tax credit scheme, infrastructure funds etc .

He said there was the need for implementation of investment-friendly laws, Public-Private Partnership (PPP), procurement (Due process for bids).

He also suggested increased participation of private investors in infrastructure investments and consistent sector policies.

(NAN)

Business

SEC announces stricter measures to protect investors

Published

15 hours ago

March 24, 2025

Trends Admin

Director-General of SEC, Dr. Emomotimi Agama

SEC announces stricter measures to protect investors

The Securities and Exchange Commission (SEC) has reaffirmed its commitment to protecting investors in Nigeria’s capital market by cracking down on fraudulent activities.

According to the Director-General of SEC, Dr. Emomotimi Agama, operators engaging in unscrupulous practices will face strict penalties as the Commission prioritizes safeguarding investor interests.

“So, clearly for us, it is getting people to understand that there is no hiding place anymore for anybody that has the intention to defraud Nigerians and to defraud anybody that is investing in this market,” Dr. Agama stated, emphasizing the Commission’s zero-tolerance policy.

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Dr. Agama highlighted that the Investments and Securities Act (ISA) 2007 serves as the framework for securities regulation in Nigeria, ensuring that market operators adhere to high ethical standards.

He emphasized the importance of the “fit and proper person’s test,” which requires operators to meet specific regulatory criteria to maintain their licenses.

“This is because the very ethics of regulating or registering a securities market operator is in the principle of the fit and proper person’s test,” he explained.

“What you have been seeing most recently by the revocation of licenses, the suspension of operators and our follow-up to operators that are not registered with the SEC is only a tip of the iceberg as to what we intend to do this year.”

Dr. Agama assured stakeholders that the SEC will leverage its regulatory powers under Nigerian law to deter fraudulent activities, noting, “We believe strongly that a protected investor is a powerful investor.”

SEC announces stricter measures to protect investors

Business

Bitcoin rises above $86,000 as crypto market gains momentum

Published

16 hours ago

March 24, 2025

Trends Admin

Bitcoin rises above $86,000 as crypto market gains momentum

Bitcoin and other leading cryptocurrencies extended their gains on Monday, buoyed by positive investor sentiment despite concerns over upcoming U.S. tariffs and key economic data releases later this week.

As of 7am WAT, Bitcoin rose 3.2% to $86,590, while Ethereum gained 2.3%, trading at $2,047.

The global cryptocurrency market capitalization increased by 2.94% in the past 24 hours, reaching $2.84 trillion.

Other notable performers included XRP, Cardano, and Dogecoin, which posted gains of 3%, 2%, and 3.8%, respectively. Chainlink, Avalanche, Hedera, and Stellar recorded growth ranging from 3% to 10%.

“Bitcoin is holding above $86,000, registering a 3% gain today. The key resistance level to watch is $86,700; a breakout could pave the way for $90,000,” said Vikram Subburaj, CEO of Giottus.

Bitcoin’s market capitalization surged to $1.727 trillion, with dominance rising to 60.73%. Its 24-hour trading volume soared by 93% to $18.2 billion, while stablecoin transactions accounted for 94.74% of total crypto trading, reaching $57.58 billion, according to CoinMarketCap.

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Solana Outperforms Peers Amid Positive Market Sentiment

Solana (SOL) emerged as a standout performer, surging over 7% in the past 24 hours to trade above $139.

The rally was fueled by reports suggesting that President Trump’s April 2 tariffs may be more targeted than initially feared, easing market concerns.

Weekend rumors indicated that the tariffs might include country exemptions and non-cumulative charges on metals, contributing to improved sentiment across global markets.

The Federal Reserve’s projections for two rate cuts this year further supported risk assets, with the central bank describing potential tariff-induced inflation as “transitory.”

BitMEX co-founder Arthur Hayes expressed optimism about Bitcoin’s trajectory, stating, “The Fed’s policy orientation could help Bitcoin achieve $110k before it retests $76.5k.”

Solana’s momentum aligns with unprecedented acceptance rates. DeFiLlama reported that Solana’s total value locked (TVL) reached 54.87 million SOL, its highest level since June 2022. Ali Charts revealed that a record 11.09 million addresses now hold SOL, underscoring growing adoption.

Bitcoin rises above $86,000 as crypto market gains momentum

Railway

Lagos Govt to redesign Oshodi motor park for rail integration

Published

1 day ago

March 23, 2025

Trends Admin

Honourable Commissioner for Transportation, Oluwaseun Osiyemi

Lagos Govt to redesign Oshodi motor park for rail integration

The Lagos State Government has announced plans to redesign the Oshodi Transport Interchange (OTI) to integrate the facility with the Red Line and Blue Line rail systems, advancing its Rail Mass Transit project.

This initiative aims to deliver seamless connectivity between the two key rail networks and enhance commuters’ experience in Lagos.

The disclosure was conveyed via a statement shared on the official X (formerly Twitter) account of the Lagos State Ministry of Transportation on Saturday, highlighting the need to optimize the design and operations of the OTI to boost efficiency and align with global standards.

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To kickstart the process, the Honourable Commissioner for Transportation, Seun Osiyemi, held a meeting with stakeholders to assess the current state of the interchange and outline strategies for its improvement.

“The Ministry of Transportation sought to address the ongoing developments and challenges affecting the Oshodi Transport Interchange (OTI) in preparedness for the integration of the Rail Mass transit system; Red Line rail project connecting the Blue Line.

“The Ministry recognized that a review of the OTI’s design and operations is essential for its optimization which led to the Honourable Commissioner for Transportation, Oluwaseun Osiyemi meeting with relevant Stakeholders to discuss the current state of the OTI and identify viable solutions that would enhance its operational efficiency in alignment with global standards and Standard Operating Procedures,” the statement read in part.