Buhari To Set Up Committee To Fast-track NNPC Reforms

NNPCAn inter-ministerial committee will soon be inaugurated to speed up the planned restructuring of the Nigerian National Petroleum Corporation (NNPC).

President Muhammadu Buhari said this during a chat with the Vice President of the International Finance Corporation (IFC), Jin-Yong Cai, at the Presidential Villa in Abuja on Tuesday.

Reiterating his administration’s determination to boost Nigeria’s revenue, President Buhari said that the level of corruption in the current structure of the NNPC would be a limiting factor if not addressed.

Mr Jin-Yong Cai, expressed confidence in President Buhari’s approach at improving the Nigerian economy.

According to the President’s Spokesman, Mr Femi Adesina, the IFC Vice President projected that with Buhari’s reforms, the NNPC could become Africa’s largest company.

“You have brought monumental changes since you got to power. You have brought in strong leadership and Nigeria has the opportunity under you to become highly reputable.

“In NNPC, you can create an entity that is dominant in Africa, and this is the right time to do it, with the momentum you have created,” he was quoted to have told the Nigerian President.

World Bank Appoints Oteh As Vice President And Treasurer

otehThe World Bank has announced the appointment of the immediate past Director-General of Nigeria’s Securities and Exchange Commission (SEC), Mrs Arunma Oteh as a Vice President and Treasurer.

According to a statement released by the bank in Washington, Mrs Oteh in her new role as Vice President and Treasurer would manage and lead the diverse team responsible for managing more than 150 billion dollars in assets worldwide through engagements with public and private sector institutions.

The statement said she was selected to the position ”through an international competitive search” and would be assuming office effective September 28, 2015

Read the full statement by the World Bank below:

Arunma Oteh, Vice President and Treasurer of the World Bank Date: July 23, 2015.

Mrs Oteh, a Nigerian national, was most recently the Director General (DG) of the Securities and Exchange Commission (SEC) of Nigeria. She was Appointed to a five-year term by the President of Nigeria in 2010, she led the transformation of the country’s Capital Markets Industry into a major global presence.

The former DG of Nigeria’s SEC was a member of the Board of the International Organization of Securities Commissions (IOSCO) and the Chairperson of the Africa Middle East Regional Committee of IOSCO.

Prior to joining the SEC of Nigeria, Mrs Oteh was Group Vice President, Corporate Services, at the African Development Bank Group (AfDB). In this role, she oversaw a number of departments, including human resources, information and communications technology, and institutional procurement.

From 2001 to 2006 she held the role of AfDB Group Treasurer, where she led AfDB’s fundraising and capital market activities across the world. Earlier roles at the AfDB, which she joined in 1992, included trading room management, investment portfolio coverage, and public sector lending.

Mrs Oteh also held other positions in capital markets and lending during the course of her career at the AfDB.

She began her career in 1985 at Centre Point, where she executed debt and equity offerings in the Nigerian Capital Markets.

The Former DG of Nigeria’s SEC earned her Bachelor of Science in Computer Science from the University of Nigeria and her Masters of Business Administration from Harvard University.

As VP and Treasurer, Mrs Oteh would manage and lead a large and diverse team responsible for managing more than $150 billion in assets.

Her top priorities would be to:

Maintain the World Bank’s global reputation as a prudent and innovative borrower, investor and risk manager.

Manage an extensive client advisory, transaction and asset management business for the Bank.

Engage in her capacity as one of the World Bank’s key representatives, with outside stakeholders including Global Private Sector Financial Institutions, the financial media, sovereign debt and reserve managers in client countries, as well as ratings agencies.

Collaborate extensively with the Finance Partners throughout the WBG, including with IFC and MIGA, expanding shared approaches, in particular around innovative financing for development and for key new projects.

Mrs Oteh was selected to the position through an International Competitive Search. Her appointment is effective on September 28, 2015.

IFC Issues N12billion ‘Naija’ bond

The private sector of the World Bank; the International Finance Corporation (IFC), has issued N12 billion worth of its debut Nigeria local currency bond with a yield of 10.2 per cent.

Total subscription for the five-year IFC paper was around N20 billion, meaning a 2.5 times over-subscription from the initial N8 billion equivalent it had initially planned to raise.

Vice-President and Treasurer at the IFC, Jingdon Hua, said the “Naija” bonds maturing in February 2018 were sold with a 10.2 per cent coupon.

Nigeria’s bond yields have dropped since JP Morgan Chase & Co., the world’s biggest underwriter of emerging-market debt, said in August it would add the country’s securities to its benchmark index in October last year.

Barclays PLC will also add Nigeria to its local-currency government bond index in March.

IFC To Issue $50m Bond In Nigeria

The International Finance Corporation (IFC), a member of the World Bank, plans to issue a $50 million bond, to support Nigeria’s capital market and increase access to finance in the country.

This brings IFC’s total committed portfolio in Nigeria to $1.1 billion, the largest country portfolio in Africa and the eighth-largest globally.

It’s the first Naira denominated bond to be issued by the IFC, targeted at investors who want to diversify their portfolio while investing in high-quality assets.

IFC bonds are rated Triple-A by Moody’s Investors Service and Standard & Poor’s.

Proceeds from the bond will be used to support IFC’s private sector development program.

Diamond Bank gets $70 million convertible loan from IFC

The private sector arm of the World Bank, the International Finance Corporation (IFC) on Wednesday, said it would buy $70 million worth of convertible loans from Diamond Bank PLC to boost the capital base of the lender.

Shares in the bank rose 1.4 percent to an 11-week high, bucking the trend on the Nigerian Stock Exchange, to value the bank at around N41 billion ($254 million).

The IFC said the funding would help finance lending to small and medium-sized businesses in the country.

“The investment provides a unique opportunity … to support Diamond Bank’s expansion into key economic sectors that have relatively low banking penetration,” IFC’s Marcos Brujis said in a statement.

Diamond Bank was not among the banks that had to be rescued in a 2009 bail out by the Central of Bank to prevent a collapse of the over-leveraged banking system.

Last month, it reported a fourfold increase in first-half profits to N .99 billion and raised its Return on Equity (ROE) target for the year to 15 percent from 10 percent.

Shares in Diamond Bank, which has over 200 branches in Nigeria, have gained almost 46 percent this year, compared with an overall rise in the sector of about 30 percent.