Business

Mambilla: FG Directs NSIA to Source $200m Judgment Debt for Chinese Firm

Published

4 years ago

August 4, 2021

Eric

The Federal Government has directed the Nigerian Sovereign Investment Authority to source $200m for settlement of International Court of Arbitration in Paris award in favour of the Chinese firm, Sunrise Power and Transmission Company Limited.

Officials of the Federal Ministry of Power said the government had agreed to pay the sum and had mandated NSIA to work out measures for settling the debt.

The $200m settlement offer was to compensate Sunrise Power for the unlawful termination of the contract for the 1,525 megawatts Mambilla hydropower project and the re-award of the same to another Chinese firm.

Based on terms the settlement, Sunrise is expected relinquish all claims to the project once the requirements contained in the agreement with the Federal Government were settled.

Officials of the power ministry also stated that the new contractors for the project were on ground, holding on till when the ongoing survey of the site and compensation of land owners were completed in Taraba, where the about $4bn plant would be constructed.

The original contract for the Mabilla project was for the plant to generate 3,050MW of electricity, but this was reviewed downwards to 1,525MW and the cost cut down by $1bn to $4bn.

The Special Assistant to the Minister of Power on Media, Aaron Artimas, explained that the Nigeria Sovereign Investment Authority had been ordered by the President, Major General Muhammadu Buhari (retd.), to take up the matter.

He said the government through the NSIA and other channels was working on how to settle the debt, stressing that it was incorrect to allege that there was no plan to honour the agreement.

Artimas, however, admitted that the payment had been delayed, stressing that this was due to some challenges, which were currently being addressed.

He said, “The only issue now is the delay in payment, but the government has committed to the agreement. However, the government is explaining that the challenge of COVID-19 affected its finances.

“But despite that, the NSIA was given a mandate on this by the President, because the government has to find money somewhere, as this was not budgeted for. So the government will pay.”

The power minister’s aide also stated that the international court had not come up with any fresh issue for the Federal Government.

He said, “The international court of arbitration or commerce in Paris that did the arbitration did not say parties should come back for any fresh or new issue because the government has accepted and signed documents following that agreement.

“There is a signed agreement between the government and the firm. The document was signed by the Minister of Power and confirmed by the President. It is a standing agreement that Nigeria will pay the $200m.”

On whether work on the power project had stalled due to the legal tussle between the Federal Government and Sunrise Power, the power ministry official responded in the negative.

Artimas said, “The project has been reviewed from 3,050MW to 1,525MW in order for it to be more bankable. Once this is fully determined, the China Exim Bank that is to finance the project will come with the funding.

“The bank is funding 85 per cent of the project while the Federal Government is handling 15 per cent.

“If it was not because of the challenge of COVID-19, the President was committed to asking the NSIA (Nigeria Sovereign Investment Authority) to release funds so that contractors can mobilise to site.”

He added, “The contractors are Messrs Synohydro Corporation of China, who are the ones handling the Zungeru Power station. So they are already in Nigeria. Therefore, there should not be any challenge.”

The Head of Communications, NSIA, Titilayo Olubiyi, told our correspondent that the Mambilla power project was captured under the Presidential Infrastructure Development Fund.

He noted that although the details on how the funding of the project would be done were not available yet, work was already ongoing by the PIDF team on financing the power plant.

Olubiyi said, “I will tell you what I know for now, but will have to refer to the PIDF team to get more information because it is an ongoing project. Mambilla is part of the PIDF projects and there are five projects under the fund.

“The Second Niger Bridge is one, Lagos-Ibadan Expressway is another, Abuja-Kano Expressway is there too. Initially, the East-West Road used to be part of that fund, before the request from the Ministry of Niger Delta Affairs that it be transferred back to them.

“So there is ongoing work to address issues around financing, restructuring, etc, as it relates to Mambilla. In terms of the details as to the nature of the funding, I may have to come back to you on that.”

The NSIA official stated that the Federal Government was still interested in getting the Mambilla project running, but insisted that all necessary issues had to be cleared for a smooth delivery.

Source: The Punch

Business

Heirs Holdings, GIVO Africa Partner to Tackle Plastic Waste for Sustainable Future

Published

3 days ago

March 21, 2025

Eric

Heirs Holdings, a leading pan-African investment company with a portfolio spanning the power, energy, financial services, hospitality, real estate, healthcare and technology sectors, has announced its strategic partnership with GIVO Africa, a climate technology and recycling company, reinforcing the company’s deep commitment to driving initiatives that deliver meaningful impact.

This initiative will advance Heirs Holdings’ efforts in promoting a circular economy in Africa; fostering sustainable practices that minimise waste and maximise resource efficiency.

Over the past 15 years, Heirs Holdings’ impact-driven approach has been instrumental in shaping Africa’s business landscape, underscoring its commitment to long-term, sustainable development. Guided by its Africapitalism philosophy, Heirs Holdings has championed inclusive growth by investing in businesses that drive economic transformation, generate employment, and uplift communities across the continent.

Speaking on the partnership, Group Sustainability Officer at Heirs Holdings, Clari Green said: “At Heirs Holdings, we believe in a shared destiny with our local communities—businesses have a responsibility to drive sustainable solutions that create lasting economic and environmental impact. This initiative reinforces our commitment improving lives and driving meaningful transformation across our continent.”

Similarly, CEO of GIVO Africa, Victor Boyle-Komolafe remarked: “We are excited to join forces with Heirs Holdings in tackling plastic waste and promoting a circular economy in Africa. By leveraging our expertise in climate technology and community engagement, we are confident that this partnership will contribute significantly to environmental conservation while fostering economic opportunities.”

Heirs Holdings continues to lead in sustainable business practices, integrating sustainability into its corporate strategy to tackle environmental challenges while fostering meaningful social impact.

Business

Asian Banker Awards: FirstBank Maintains Dominance in SME Banking Across Nigeria, Africa

Published

1 week ago

March 15, 2025

Eric

Through a legacy of excellence and Innovation, First Bank of Nigeria Limited, the country’s oldest and most distinguished financial institution, has once again solidified its reputation as a leader in the banking industry. The Bank was recently crowned the Best SME Bank in Nigeria and the Best SME Bank in Africa at the 2025 Asian Bankers Awards for the second year running. The Asian Banker Global Excellence in Retail Finance Awards are renowned for their rigour, prestige and transparency, celebrating excellence across financial services, technology, risk management and transaction finance.

These prestigious recognitions reaffirm FirstBank’s unwavering commitment to Small and Medium Enterprises (SMEs), a sector that serves as the backbone of Nigeria’s and Africa’s economy. For over a century, First Bank of Nigeria Limited has been instrumental in the nation’s financial evolution, pioneering innovative banking solutions and fostering economic growth.

The awards underscore the efficacy of its strategic focus on empowering SMEs through tailored support programs and an inclusive economic environment where small/medium businesses can thrive and also grow to compete globally. Winning these distinguished awards is no small feat. FirstBank stood out among its competitors across the continent due to several of the Bank’s key initiatives which have effectively transformed the SME banking landscape in all the countries where the bank operates.

Some of the Bank’s Tailored Financial Solutions include customised loans and flexible credit facilities to cater to SMEs at various growth stages. From microloans for startups to large-scale funding for expanding businesses, FirstBank has ensured that small businesses have access to the capital they need to thrive.

The bank’s SMEConnect platform, a digital hub that provides SMEs with access to financial resources, business advisory services, and networking opportunities, has been a game-changer. This initiative has helped thousands of entrepreneurs navigate challenges and scale their operations effectively.

Beyond financial support, FirstBank has invested in entrepreneurship training programs to equip SMEs with knowledge in financial literacy, business management, and technology adoption. Partnerships with organisations like the International Finance Corporation (IFC) and the Nigerian government have further strengthened these initiatives.

Women-Led and Youth Entrepreneurship Support is another tool which he Bank has deployed to its benefit. By recognising the role of women in economic development, the Bank has a dedicated product – FirstGem, which provides financial support to women entrepreneurs. In addition, the Retail Temporary Overdraft (RTOD) product, tailored to SMEs aims to provide financial support for their businesses. These strategic efforts have set FirstBank apart, positioning it as the ‘go-to’ financial partner for SMEs across Africa.

The recognition of FirstBank as the Best SME Bank in Nigeria is not just a win for the Bank but also for the entire Nigerian economy. SMEs account for over 90% of businesses in Nigeria and contribute significantly to employment and GDP. By providing robust financial solutions and business support, FirstBank is fostering job creation, innovation, and sustainable economic growth. With access to better funding, training, and technology, more SMEs can scale their operations beyond local markets and compete on the global stage. This award also highlights Nigeria’s potential as a hub for entrepreneurship and business expansion.

FirstBank’s achievement is expected to set a new benchmark for banking excellence in Africa. Other financial institutions will likely follow suit, improving their SME-focused initiatives, leading to a more vibrant and competitive business environment.

FirstBank will continue to champion SME growth, affirm its legacy as a trusted financial partner whose commitment remains unshaken. This award serves as both recognition of past efforts and a call to push boundaries further in supporting African businesses.

For small business owners, aspiring entrepreneurs, and the Nigerian economy, FirstBank’s success story is a beacon of hope, proving that with the right financial backing, the possibilities are limitless for the average businesses.

For the African continent, First Bank of Nigeria Limited’s win at the Asian Banker Awards for Excellence in Retail Finance Global Award 2025 marks a significant milestone in African banking history. It showcases the Bank’s relentless commitment to empowering SMEs, driving digital transformation, and fostering economic prosperity across the continent. As the Bank continues to innovate and expand its reach, the future for SMEs in Nigeria and Africa looks brighter.

This piece is contributed by Tosin Ajayi

Business

Fidelity Splashes NMillions on Youth Corps Members with GAIM 6

Published

2 weeks ago

March 14, 2025

Eric

Fidelity Bank Plc has reaffirmed its commitment to financial inclusion, youth empowerment, and promoting a healthy savings culture by rewarding nine National Youth Service Corps (NYSC) members with N500,000 business grants each.

The grants were awarded under the Get Alert in Millions Season Six (GAIM 6) promo, an initiative designed to reward loyal customers with cash prizes totaling N159 million. The promo, which runs from November 2024 to August 2025, targets various categories of customers, including NYSC members, students, and general customers.

Mr. Osita Ede, Divisional Head of Product Development at Fidelity Bank Plc, stated that this season of the GAIM promo aims to enhance the opportunities for loyal customers to win.

“When we launched the GAIM 6 promotion in November 2024, we unequivocally stated that this campaign season is intended to promote inclusivity. Consequently, we have increased the total prize money to N159 million and added additional draws, beyond the weekly and monthly draws featured in previous seasons.

“Now, we have specific draws catering to various segments of our customer base including women, students, youth corps members, and traders. It is important to note that these categories of customers also stand the chance to win millions of naira in the monthly and grand draws which we will be hosting till 20 August 2025,” explained Ede.

Nine NYSC customers were selected through a random electronic draw in the first quarter of the GAIM 6 campaign, from various branches nationwide. They are: Oluwatosin Emmanuel Olowolayemo and Ekpeno Aniekan George, both from Uyo 2 Branch; Derryk Chidubem Okafor from Trans-Ekulu Branch; Aliyu Idris Adamu from Tudun-Wada Kaduna Branch; Bomane-Aziba Koromo from Nanka Close, Wuse Branch; Asabe Grace Adamu from University of Maiduguri Branch; David Agbai Agwu from Oshogbo Branch; Abdullahi Opeyemi Olajuwon from Airport Road, Lagos Branch; and Eghosa George Orhue from Ado Ekiti Branch.

Expressing his gratitude and excitement, one of the recipients of the entrepreneurship grant, Chidubem Okafor, appreciated Fidelity Bank for the grant, noting that the funds will enable him to achieve his entrepreneurial dreams.

His words, “At first, I thought it was a scam when they introduced the initiative at our orientation camp, but today, I am truly honored to receive this support from Fidelity Bank. This grant will go a long way in helping me achieve my entrepreneurial dreams, and I promise to make the most of it.”

Similarly, David Agwu, who also emerged a winner in the draw, expressed his surprise at the unexpected win, saying, “When I received the call, I thought it was a prank. I never applied for anything, so it was hard to believe. But when they sent me proof, I realized it was real. I am truly grateful for this opportunity. My plan is to invest the money in vocational training and digital skills development, particularly in fashion and painting in order to establish a sustainable business.”

Beyond the N500,000 entrepreneurship grant, the winners will also enjoy free business advisory and training sessions at the newly launched Fidelity SME Hub, located at 22, Lanre Awolokun Street, Gbagada Phase 2, Lagos.

Ranked among the best banks in Nigeria, Fidelity Bank Plc is a full-fledged Commercial Deposit Money Bank serving over 8.5 million customers through digital banking channels, its 251 business offices in Nigeria and United Kingdom subsidiary, FidBank UK Limited.

The Bank is the recipient of multiple local and international Awards, including the Export Finance Bank of the Year at the 2023 BusinessDay Awards; the Banks and Other Financial Institutions (BAFI) Awards; Best Payment Solution Provider Nigeria 2023; and Best SME Bank Nigeria 2022 by the Global Banking and Finance Awards. It was also recognized as the Best Bank for SMEs in Nigeria by the Euromoney Awards for Excellence 2023 and the Best Domestic Private Bank in Nigeria by the Euromoney Global Private Banking Awards 2023.