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The Central Bank of Nigeria (CBN) has increased the Monetary Policy Rate (MPR) by 150 basis points, bringing it to 26.25% from the previous 24.75%.

During a press briefing on the outcome of the 295th Monetary Policy Committee (MPC) meeting in Abuja, CBN Governor Olayemi Cardoso announced that the committee also retained the asymmetric corridor of +100/-300 basis points. Additionally, the MPC maintained the Cash Reserve Ratio (CRR) for Deposit Money Banks at 45% and the Liquidity Ratio at 30%.

Implications of the New Rate Hike on the Nigerian Economy:

1. Inflation Control: The primary objective of increasing the interest rate is to curb inflation. By raising the MPR, the CBN aims to reduce the money supply in the economy, thereby decreasing consumer spending and slowing down inflation. However, this could take time to materialize and may not immediately ease the current high inflation rates.

2. Cost of Borrowing: Higher interest rates will increase the cost of borrowing for businesses and consumers. This could lead to reduced investment and consumer spending, potentially slowing down economic growth. Small and medium-sized enterprises (SMEs), which rely heavily on loans, may face financial strain, impacting their operations and expansion plans.

3. Banking Sector Impact: The retention of the CRR at 45% means that banks will continue to hold a significant portion of their deposits with the CBN, limiting the funds available for lending. This, combined with the higher MPR, could lead to tighter liquidity conditions in the banking sector, making credit more expensive and less accessible.

4. Exchange Rate Stability: A higher interest rate can attract foreign investment in Nigerian bonds and other financial instruments, potentially strengthening the naira. Increased foreign capital inflows can help stabilize the exchange rate, reducing the cost of imports and easing pressure on inflation.

5. Consumer Impact: For consumers, the rate hike could mean higher interest rates on loans and mortgages, increasing monthly repayments and reducing disposable income. This could lead to lower consumer spending, affecting demand for goods and services, and potentially leading to slower economic activity.

6. Government Debt: The increase in the MPR will raise the cost of servicing government debt, as new borrowings will attract higher interest rates. This could strain government finances, especially if revenue collection does not improve correspondingly.

7. Investment Climate: The rate hike might have mixed effects on the investment climate. While higher interest rates can attract foreign investment due to better returns, the increased cost of borrowing and potential economic slowdown could deter domestic investment in productive sectors.

In summary, while the CBN's decision to raise the interest rate aims to tackle inflation and stabilize the economy, it also presents challenges such as increased borrowing costs, potential economic slowdown, and financial strain on consumers and businesses. Balancing these outcomes will be crucial for sustaining economic growth and stability in Nigeria.

The Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) have expressed opposition to the federal government's proposal to set the minimum wage at N54,000 for workers.

On Tuesday, reports emerged that the federal government had raised its proposed minimum wage to N54,000, following the rejection of an initial offer of N48,000 by organized labour during a negotiation meeting.

Joe Ajaero, the president of the NLC, walked out of the negotiation meeting, stating that the government was not genuinely engaging with the labour representatives. “The government’s proposal of a paltry N48,000 as the minimum wage not only insults the sensibilities of Nigerian workers but also falls significantly short of meeting our needs and aspirations,” Ajaero said.

Reacting to the revised proposal of N54,000, NLC spokesperson Ben Ukpa declared it "unacceptable." He added, "The unions, including the NLC and TUC, reject the proposed N54,000. We will continue discussions."

The NLC and TUC had initially proposed a minimum wage of N615,500, citing the high cost of living as justification.

On Monday, following a joint national executive council (NEC) meeting, the labour unions set a deadline of May 31 for the federal government to finalize the new national minimum wage.

"We need an agreement that genuinely reflects the true value of Nigerian workers’ contributions to the nation’s development and addresses the current survival crisis caused by government policies," the labour movement stated.

"The NEC affirms its commitment to ensuring that the interests and welfare of workers are adequately protected in the negotiation process."

The Arewa Consultative Forum (ACF) has criticized policies implemented by President Bola Tinubu's administration, attributing them to the worsening living standards, inflation, and unemployment in Nigeria.

Following its National Executive Council (NEC) meeting in Kaduna on Tuesday, the ACF issued a statement expressing concern over the deteriorating economic conditions, which it warned could lead to social chaos, especially in northern Nigeria.

The forum highlighted that average citizens are increasingly facing inflation, unemployment, and declining living standards, compounded by ongoing insurgency, terrorism, and banditry. The ACF particularly pointed to the northern region where these issues are most severe.

In a communiqué signed by its National Spokesman, Tukur Muhammad-Baba, the ACF noted that government policies, such as the removal of fuel subsidies and the introduction of new taxes and levies, are significantly contributing to the economic hardship experienced by citizens.

"NEC decries with grave concern the continuing deterioration and escalation in insecurity-related incidents across all three geopolitical zones in the north," the communiqué read. "These issues reflect the region's cascading political, social, and economic challenges. The protracted nature of these problems, if left unaddressed, could lead to widespread social unrest."

The ACF also highlighted growing regional disparities in access to education, healthcare, infrastructure, economic opportunities, and political participation, warning that these disparities could further divide the country.

The forum called for urgent government action to address the declining living conditions and alleviate the burden of new taxes and levies on ordinary Nigerians. It stressed the need for public policy programs aimed at increasing purchasing power and improving economic conditions.

The communiqué emphasized that policies enacted over the past months, such as subsidy removal, the floating of the Naira, and rising electricity tariffs, have exacerbated economic difficulties. It also criticized government spending practices, urging public officials to exercise fiscal responsibility.

The ACF expressed support for Nigeria's security forces in their efforts to combat criminality and maintain stability, hoping for their success in overcoming insurgents, terrorists, and bandits. "God bless the Federal Republic of Nigeria," the communiqué concluded.

Former Bauchi State Governor Isa Yuguda asserted on Tuesday that President Bola Tinubu should not be held accountable for the current economic hardship and high inflation in Nigeria.

Speaking at the inaugural Asiwaju Scorecard Series organized by the All Progressives Congress Professionals Forum in Abuja, Yuguda emphasized that the economy was already in serious trouble before Tinubu took office.

In recent months, Nigerians have faced rising costs of food and inflation despite improvements in the exchange rate of the naira against the dollar. However, Yuguda argued that the Tinubu administration is not solely responsible for these economic challenges.

Yuguda highlighted that Tinubu inherited significant burdens, including a subsidy scam, widespread corruption in the civil service, and the economic impact of the Covid-19 lockdown, which saw billions of naira paid to subsidize domestic fuel consumption at historically low levels.

"The President did not create any of the problems people are talking about, whether in the economy or other sectors," Yuguda said. "What he met on the ground would have created a worse situation if not properly handled, but he is championing necessary reforms for a better society."

Yuguda pointed out that upon taking office, Tinubu announced the removal of the fuel subsidy, clarifying that it was not included in the latter part of the 2023 budget. Despite this, the administration has faced criticism over the subsidy removal.

Yuguda also reiterated his longstanding opposition to the fuel subsidy, which he documented during the Goodluck Jonathan administration when he chaired a subcommittee on the economic meltdown and recommended its removal due to widespread fraud.

He noted that a recent study showed Nigeria paid billions for fuel subsidies during the 2020 Covid-19 lockdown despite low domestic consumption.

"The President has been proved right with petrol importation dropping by 50 percent since June 2023," Yuguda added, highlighting the anticipated local production from the Dangote refinery and the upcoming resumption of production at the Port Harcourt and Warri refineries.

At least 40 people were killed and many others wounded in an attack by gunmen on Zurak village in Nigeria's north-central Plateau state, where clashes between herders and farmers are rife, the police and residents said on Tuesday.

Plateau police spokesperson Alfred Alabo said armed men, often referred to locally as bandits, fleeing an "aggressive onslaught" by security agents in Bangalala forest of Wase local government area of the state attacked Zurak and Dakai villages late on Monday.

While seven of the assailants were neutralised by security agents, fleeing gang members killed nine people and burnt down six houses, Alabo said in a statement.

Residents say the death toll is much higher. They told Reuters that dozens of gunmen had stormed the village on motorcycles, shooting indiscriminately, abducting an unspecified number of people, and setting houses ablaze.

"As they entered our village, they began shooting sporadically at anyone they saw. They killed more than 40 people without any mercy. I managed to escape to a nearby village. Until now, I haven't seen many of my family members," said Babangida Aliyu, a resident of Zurak who fled.

Another resident, Timothy Haruna, told Reuters: "They killed many people and abducted a lot. Many others sustained gunshot injuries. They also set our houses ablaze."

Attacks in rural areas and kidnapping for ransom have become commonplace in northern Nigeria in recent years where armed gangs have targeted villages, schools and travellers, demanding millions of naira in ransom.

Nigeria is plagued with security challenges, including a 14-year-long Islamist insurgency in its northeast, separatist violence in the southeast, and frequent deadly clashes between farmers and herders in the central region.

Alabo said the Plateau police command has deployed more officers to the area to secure the villages.

 

Reuters

Israeli forces raze parts of Gaza's Jabalia, hit Rafah with airstrikes

Israeli forces thrust deeper into Jabalia in northern Gaza on Tuesday, striking a hospital and destroying residential areas with tank and air bombardments, residents said, while Israeli airstrikes killed at least five people in Rafah in the south.

Simultaneous Israeli assaults on the northern and southern edges of the Gaza Strip this month have caused a new exodus of hundreds of thousands of people fleeing their homes, and sharply restricted the flow of aid, raising the risk of famine.

In Jabalia, a sprawling refugee camp built for displaced civilians 75 years ago, the Israeli army used bulldozers to clear shops and property near the local market, residents said, in a military operation that began almost two weeks ago.

Israel said it has returned to the camp, where it had claimed to have dismantled Hamas months ago, to prevent the militant group that controls Gaza from regrouping.

In a roundup of its activity over the past day, the Israeli military said it had dismantled "about 70 terror targets" throughout the Gaza Strip, including military compounds, weapon storage sites, missile launchers and observation posts.

Palestinian medics said Israeli missiles struck the emergency department of Jabalia's Kamal Adwan Hospital, prompting panicked staff to rush patients on hospital beds and stretchers to the rubble-strewn street outside.

"The first missile when it hit, it hit the entrance of the emergency department. We tried to enter, and then a second missile hit, and the third hit the building nearby," said Hussam Abu Safia, the head of hospital.

"We cannot go back inside to them ... The emergency department provides a service for children, the elderly and people inside the departments of the hospital."

Residents and medics said Israeli tanks were besieging another Jabalia hospital, Al-Awda Hospital, for the third day. In Geneva, WHO Director-General Tedros Adhanom Ghebreyesus said northern Gaza's sick and wounded were running out of options.

"These are the only two functional hospitals remaining in northern Gaza," Tedros said. "Ensuring their ability to deliver health services is imperative."

More than 35,000 Palestinians have been killed in the war in Gaza, which is now in its eighth month, according to the Gaza health ministry. At least 10,000 others are missing and believed to be trapped under destroyed buildings, it says.

Israel is seeking to eradicate Hamas after militants from the group stormed into southern Israel on Oct. 7, killing 1,200 and taking more than 250 hostages, by Israeli tallies.

The war has devastated the overcrowded coastal enclave, destroying houses, schools and hospitals and creating a dire humanitarian crisis.

Aid from a U.S.-built pier resumed moving into warehouses in Gaza on Tuesday using alternative routes, the Pentagon said. The distribution was halted for three days after crowds of needy residents intercepted trucks.

AIRSTRIKES

In the south, airstrikes killed three children in a house in Khan Younis and at least five people including three children in a home in Rafah, health officials said.

East of Khan Younis, residents said they were fleeing Khuzaa town after Israeli troops began an incursion on the eastern edge of the territory, bulldozing across the border fence.

"Bombing everywhere, people are leaving in panic. It was a surprising incursion," one resident from Khuzaa told Reuters by phone as he and his family were leaving.

Israel is pushing on with its operations in Rafah on Gaza's southern border with Egypt, where more than half of the territory's 2.3 million population had sought refuge after being displaced from areas further north.

UNRWA, the main United Nations agency in Gaza, estimated as of Monday that more 800,000 had fled since Israel began targeting the city in early May, despite international pleas for restraint over concern about civilian casualties.

On Tuesday, the agency said food distributions had been suspended in Rafah due to lack of supplies and insecurity.

Israel has pledged to continue with the Rafah assault to root out what it says are four remaining battalions of Hamas fighters holed up there. Tanks made incursions into the eastern Rafah suburbs of Jeneina, Al-Salam, and Brazil, according to residents.

The Israeli military said over the past day it had "identified a terrorist shooting mortar shells at IDF (Israeli Defence Forces) troops," though no injuries were reported. It said it had taken out the enemy with an airstrike and had located rockets and additional military equipment in the area.

 

Reuters

WESTERN PERSPECTIVE

Ukrainian gunners finally get shells to stop Russians near Kharkiv

Ukrainian servicemen operating a howitzer in Kharkiv region near the Russian border work around the clock to stop an incursion by Moscow's troops, and they are finally getting the shells to do it.

Ukraine's defenders were hamstrung for months by shortages of artillery shells and other weapons as U.S. Congress held up billions of dollars worth of military aid. As the lawmakers in Washington argued, Russia's forces pressed their advantage on the frontlines, pushing forward on the eastern front.

With a $61 billion aid package belatedly approved by Congress last month, Ukraine's gunners say the crippling shortages are starting to ease.

Those in the northern districts of Kharkiv region say the fighting is more intense than their previous assignment in Bakhmut, the town in eastern Ukraine seized by Russia last year and reduced to rubble by months of fighting.

"It's 24/7, their infantry keeps coming, we keep fighting their attacks. At least we are trying to. Whenever possible, we take them down," said Pavlo, a gunner of Ukraine's 92nd Separate Assault brigade operating a howitzer.

"We were positioned in the Bakhmut area before, now we have been transferred here. It's much 'hotter' here. We didn't have shells there. Here, at least we have shells, they started delivering them. We have something to work with, to fight."

Russian forces pushed across the border earlier this month and say they have captured about a dozen villages.

The town of Vovchansk, 5 km (three miles) inside the border, remains the focal point of the incursion. Ukrainian forces control about 60 % of the town and are fighting house-to-house to fend off Russian attacks.

The stakes are high - capturing Vovchansk would be Russia's most significant gain since launching the assault. Kharkiv, Ukraine's second largest city, lies 70 km away.

"We see them walking down the road, 5 km away all the way from Shebekino," said Vitalii, commander of the brigade's artillery unit, referring to a town on the Russian side of the border.

"We see them walking on foot to their positions. As they move, we of course try to hit them , to inflict maximum casualties."

Officers pore over drone footage of Vovchansk, with smoke rising over different districts, to assess the situation below. Monitors are checked, calculations made.

Two men are tasked with ensuring the howitzer is well camouflaged - with tree boughs.

Vitalii is confident that the shells will keep coming as everyone is aware of the importance of holding their line.

"Yes, we will be getting ammunition because we are up against a large and serious enemy group," he said.

"If we can demonstrate now that we are able in such an extreme situation to stop the enemy's big scale assault on Kharkiv and Kharkiv region, the enemy will not dare to think of attacking Kyiv, Chernihiv, Sumy or Poltava region."

** Russia starts exercise to simulate launch of tactical nuclear weapons

Drills ordered by Putin begin in southern Russia

Simulation will be closely watched in the West

Putin seen warning against deeper Western role in Ukraine

Russian forces have started the first stage of exercises ordered by President Vladimir Putin to simulate preparation for the launch of tactical nuclear weapons, the Defence Ministry said on Tuesday.

Moscow has linked the exercises to what it calls "militant statements" by Western officials, including French President Emmanuel Macron, which it said created security threats for Russia.

Nuclear analysts say the exercises are designed as a warning signal by Putin to deter the West from wading more deeply into the war in Ukraine. Western countries have provided weapons and intelligence to Kyiv but have refrained from sending troops.

The Defence Ministry said the first stage of the exercise involved Iskander and Kinzhal missiles.

It is aimed at ensuring that units and equipment are ready for "the combat use of non-strategic nuclear weapons to respond and unconditionally ensure the territorial integrity and sovereignty of the Russian state in response to provocative statements and threats of individual Western officials against the Russian Federation", the ministry said.

The drills involve missile forces in Russia's Southern Military District, which lies adjacent to Ukraine and also includes parts of Ukraine that Russia now controls.

Belarus, where Russia said last year it was deploying tactical nuclear weapons, will also be involved, the two countries have said.

Tactical, or non-strategic, nuclear weapons are less powerful than the strategic arms designed to wipe out whole enemy cities, but they nevertheless have vast destructive potential.

Some Western analysts believe non-strategic nuclear weapons have acquired greater importance in Moscow's thinking since the start of the war in Ukraine, where its conventional forces struggled in the first two years.

In theory the use of such a weapon could deliver a stunning shock to the West without necessarily triggering a full-blown nuclear war, though the risk of triggering a cycle of escalation would be huge.

'SPECIAL AMMUNITION'

Russia has about 1,558 non-strategic nuclear warheads, according to the Federation of American Scientists, although there is uncertainty about exact figures. They are controlled by the Russian Defence Ministry's 12th Main Directorate, known as 12th GUMO.

The ministry said troops were practising obtaining "special ammunition" - meaning nuclear warheads - for Iskander missiles, equipping launch vehicles with them and "covertly advancing to the designated position in preparation for missile launches".

It said aviation units were also practising the fitting of special warheads to Kinzhal hypersonic missiles, and flying into designated patrol areas.

Video released by the ministry showed missiles being transported in a convoy of military vehicles and placed in position ready for firing.

"The exercises are, obviously, a signal in response to discussion of NATO countries' troops in Ukraine. The most important features are advance announcement and visibility," Nikolai Sokov, a former Soviet and Russian arms control official, told Reuters.

Western militaries will be watching the exercises closely and seeking to draw conclusions about how much warning time they would have if Russia deployed such weapons for real, he said.

"The involvement of 12th GUMO can produce insights into how much time the release of warheads takes, how well detectable, how much warning," said Sokov, a senior fellow at the Vienna Center for Disarmament and Non-Proliferation.

The involvement of Kinzhal, he said, was "a new element I did not expect to see", although there was no doubt about its capability to carry both nuclear and conventional warheads.

When Putin ordered the drills this month, Russia's Foreign Ministry linked them to comments by France's Macron, who floated the possibility of sending European troops to fight Moscow in Ukraine, and British Foreign Secretary David Cameron, who said Kyiv had the right to use weapons provided by London to strike targets inside Russia. It also cited the provision of long-range British, French and U.S. ATACMS missiles to Kyiv.

The Foreign Ministry said on May 6 the exercises should send a "sobering signal" to the West and its "puppets" in Ukraine.

"We hope these drills will cool the hot heads in Western capitals," it said, adding the West should realise "the potential catastrophic consequences of the strategic risks they are generating" and stop short of direct military confrontation with Russia.

 

RUSSIAN PERSPECTIVE

Russia’s strikes hammer Ukrainian troops, equipment in 95 areas over past day

Russian forces struck Ukrainian manpower and military hardware in 95 areas over the past day in the special military operation in Ukraine, Russia’s Defense Ministry reported on Tuesday.

"Operational/tactical aircraft, unmanned aerial vehicles, missile troops and artillery of the Russian groups of forces struck amassed manpower and military equipment of the Ukrainian army in 95 areas," the ministry said in a statement.

Russian troops repel three Ukrainian counterattacks in Kharkov area over past day

Russian troops kept advancing deep into the enemy’s defenses and repelled three Ukrainian army counterattacks in the Kharkov area over the past day, the ministry reported.

"Battlegroup North units continued advancing deep into the enemy defenses. They inflicted damage on manpower and equipment of the Ukrainian army’s 125th mechanized, 112th and 113th territorial defense brigades in areas near the settlements of Konstantinovka, Okhrimovka and Granov in the Kharkov Region. They repelled three counterattacks by enemy assault groups near the settlements of Volchansk and Staritsa in the Kharkov Region," the ministry said.

The Ukrainian army’s losses in the Kharkov direction over the past 24 hours amounted to 245 personnel, two tanks, two armored combat vehicles, two pickup trucks, three 152mm 2S3 Akatsiya self-propelled artillery systems, a 152mm D-20 howitzer and a US-manufactured AN/TPQ-50 counterbattery radar station, it specified.

Kiev loses 425 troops, tank in Kupyansk area over past day

The Ukrainian army lost roughly 425 troops, a tank and two armored personnel carriers in battles with Russian forces in the Kupyansk area over the past day, the ministry reported.

"Battlegroup West units took more advantageous positions and inflicted casualties on formations of the Ukrainian army’s 14th, 21st and 66th mechanized brigades in areas near the settlements of Novosadovoye and Ivanovka in the Donetsk People’s Republic and Nevskoye in the Lugansk People’s Republic. Over the past 24 hours, they repelled six counterattacks by assault groups of the Ukrainian army near the settlements of Stelmakhovka and Chervonaya Dibrova in the Lugansk People’s Republic and Grigorovka in the Donetsk People’s Republic," the ministry said.

The Ukrainian army’s losses in the Kupyansk direction over the past 24 hours amounted to 425 personnel, a tank, two armored personnel carriers, six motor vehicles, a 122mm D-30 howitzer and a 122mm 2S1 Gvozdika motorized artillery system, it specified.

Russian troops also destroyed two US-made AN/TPQ-37 counterbattery radar stations of the Ukrainian army, it said.

Kiev loses over 320 troops, ammo depot in Donetsk area over day

The Ukrainian army lost more than 320 troops and an ammunition depot in battles with Russian forces in the Donetsk area over the past day, the ministry reported.

"Southern Battlegroup units improved their forward edge positions and inflicted casualties on manpower and equipment of the Ukrainian army’s 57th mechanized, 105th and 118th territorial defense brigades in areas near the settlements of Konstantinovka, Razdolovka and Chasov Yar in the Donetsk People’s Republic. The enemy lost more than 320 personnel, a tank, two infantry fighting vehicles and two US-made 155mm M777 howitzers. An ammunition depot of the Ukrainian army was destroyed," the ministry said.

Russian forces repulse seven Ukrainian counterattacks in Avdeyevka area over past day

Russian forces repulsed seven Ukrainian army counterattacks in the Avdeyevka area over the past day, the ministry reported.

"Battlegroup Center units improved their tactical position and inflicted damage on formations of the Ukrainian army’s 68th jaeger and 24th mechanized brigades in areas near the settlements of Semyonovka and Novgorodskoye in the Donetsk People’s Republic. They repulsed seven counterattacks by assault groups of the Ukrainian army’s 71st jaeger, 47th and 110th mechanized brigades near the settlements of Ocheretino, Solovyovo and Umanskoye in the Donetsk People’s Republic," the ministry said.

The Ukrainian army’s losses in the Avdeyevka direction over the past 24 hours amounted to 420 personnel, five armored combat vehicles, among them four US-made Bradley infantry fighting vehicles, six motor vehicles, a 152mm Msta-B howitzer, a 122mm Gvozdika motorized artillery system and a 122mm D-30 howitzer, it specified.

Russian troops strike three Ukrainian army brigades in Kherson area over past day

Russian troops inflicted casualties on three Ukrainian army brigades in the Kherson area over the past day, the ministry reported.

"Battlegroup Dnepr units inflicted damage on manpower and equipment of the Ukrainian army’s 37th marine infantry, 65th mechanized and 15th National Guard brigades in areas near the settlements of Vesyoloye in the Kherson Region, Rabotino and Malaya Tokmachka in the Zaporozhye Region," the ministry said.

The Ukrainian army’s losses in the Kherson direction over the past 24 hours amounted to 105 personnel, seven motor vehicles, two US-made 155mm M777 howitzers, a 152mm 2A36 Giatsint-B howitzer and a 122mm BM-21 Grad multiple rocket launcher, it specified.

Russian air defenses down 45 Ukrainian UAVs, two ATACMS missiles over past day

Russian air defense forces shot down 45 Ukrainian UAVs (unmanned aerial vehicles), two ATACMS, eight SCALP-EG and four HARM missiles over the past day, the ministry reported.

"During the last 24-hour period, air defense capabilities shot down 45 unmanned aerial vehicles, two US-made ATACMS tactical missiles, eight French-made SCALP-EG cruise missiles, five French-made Hammer guided aerial bombs, four US-manufactured HARM anti-radar missiles and eight US-made HIMARS rockets and Olkha rockets," the ministry said.

In all, the Russian Armed Forces have destroyed 601 Ukrainian warplanes, 274 helicopters, 24,464 unmanned aerial vehicles, 523 surface-to-air missile systems, 16,114 tanks and other armored combat vehicles, 1,306 multiple rocket launchers, 9,717 field artillery guns and mortars and 21,872 special military motor vehicles since the start of the special military operation, the ministry reported.

 

Reuters/Tass

Bola Tinubu has been a politician for the better part of his life. He has the uncanny reputation of seeking to do the impossible, in very difficult circumstances. By his own declarations, the presidential ambition has been in the works for a very long time, so he was well prepared for the job and nobody should pity or cry for him. We were taught that the best way to know somebody is through what other people say about him, what he does and what he says about himself. This piece is a simple analysis of the impact of Tinubu’s government upon the people of Nigeria since May 29, 2023, when he commenced his four-year tenure.

The President gave out himself as a progressive, by which term it is understood that he would implement programmes and policies that will lead to major and remarkable improvements in the lives of the people. The President is seen as a welfarist, judging by his eight-year tenure as governor of Lagos State, during which time his supporters claimed that he executed people-oriented programmes of mass transit, that he revolutionized the judicial sector and even increased the internally generated revenue of the State.

You would have a hard time convincing them that he was not a thorough democrat as they would cite examples of his legal battles to enthrone true federalism, when he pioneered the creation of local government development areas and dared the federal government. You will not be able to convince his fans that the President as governor of Lagos State could not guarantee water supply to many homes, that he was not able to arrest the incidences of cultism, the ‘area boys’ syndrome and that he did nothing to upgrade the various slums that littered the State beyond primitive land acquisition and reallocation.

The governance structure in Nigeria is designed to deliver durable infrastructure and guarantee inclusive government for the people. This is clearly the purport of Chapter 2 of the Constitution. In its various sections, the Constitution provides for a government of the people, for the people and by the people. Section 13 enjoins all persons exercising legislative, executive and judicial authorities to uphold the provisions of the Constitution. Section 14 (1) states clearly that the Nigerian State shall be governed on the principles of democracy and social justice, while section 14 (2) (a) gives ultimate power (sovereignty) to the people. Section 14 (3) prohibits nepotism by stating that the composition of the Government of the Federation and indeed the conduct of its affairs shall be carried out in such a manner as to reflect the federal character of Nigeria and to promote national unity, thereby ensuring that there shall be no predominance of persons from a few States or from a few ethnic or other sectional groups in that Government. What do we have in the current Tinubu dispensation? The judiciary is headed by the South-West, the Army is headed by the South-West, the police is headed by the South-West, the Economic and Financial Crimes Commission is headed by the South-West, the Immigration is headed by the South-West, the Customs is headed by the South-West, the FIRS is headed by the South-West, the Governor of Central Bank is from the South-West, the Comptroller-General of the Correctional Centre is from the South-West and the Minister of Petroleum (Tinubu) is from the South-West. In simple terms, the South-West region of Nigeria controls the executive, the judiciary, the security and the finance architectures. This is one of the causes of constant agitation in the land, when the leader in power sees himself as the representative of his region alone. And as if following Tinubu’s example, I was shocked to read that in the composition of the new governing councils of federal universities, Adamawa, the home-state of the Minister of Education, produced a whopping 22 chairmen. Section 15 (2) requires the President to promote national integration and to avoid all forms of discrimination.

For this to happen, the government will provide adequate facilities for and encourage free mobility of people, goods and services throughout the Federation. But you and I know that the roads are not motorable and even when they are, the fear of terrorists discourages people from using the roads.

In section 15 (3) (b), the government is to secure full residence rights for every citizen in all parts of the Federation. Some weeks ago, it was reported in the news that the Lagos State Government gathered persons suspected to be from Osun State into a truck and dropped them off in Osogbo to go back to their State. This is not new. Should other States of the Federation retaliate this gesture, there will be crisis everywhere. Section 15 (5) enjoins the government to abolish all forms of corrupt practices and abuse of power. Since the advent of the Tinubu administration, the State Security Service (SSS) has been let loose on Nigerians. The agency invaded a court in Ota area of Ogun State to arrest litigants right inside the court. Journalists are languishing in various detention centres on account of their professional engagements. The sad impression being conveyed by the President and his team is that might is right.

Section 16 (1) (a) directs the government to harness the resources of the nation to promote national prosperity and an efficient, dynamic and self-reliant economy, with equality of status and opportunity granted to all citizens. The question to ask is this: what is the current state of the Nigerian economy? Inflation is at its highest ever (33%), energy cost has gone beyond reach, many companies are closing down due to negative economic factors and the unemployment rate is rising daily. The ballooning exchange rate has worked to cripple many businesses, with the unfortunate result that purchasing power has dwindled drastically whilst the cost of living has quadrupled. This has led to mass exodus of Nigerians to other climes in search of greener pastures.

In section 16 (1) (b), the State is directed to control the national economy in such a manner as to secure the maximum welfare, freedom and happiness of every citizen on the basis of social justice and equality of status and opportunity. I am pretty sure you can resolve this issue yourself, if you go by the increasing cases of suicide, mental illness, broken homes and crime rate. From being the happiest people on earth a while ago, most Nigerians have been turned into emergency beggars, barely able to eke out a decent living. If you get fifty messages in one day, forty of them must come from those who claim not to have eaten the whole day or to have medical bills to settle or they need your support to pay their children’s school fees or settle their accommodation bills. The fuel subsidy removal has only worked to pauperize the people, creating lamentations in various homes and businesses. Section 16 (2) states that the government shall ensure that the material resources of the nation are harnessed and distributed as best as possible to serve the common good. Nigeria has oil and gas in very large quantities but they are not harnessed for the benefit of the people. If you go to the Niger-Delta area you will see degradation and the wicked effects of oil production and pollution on the ecosystem. We also have gold, bitumen and other natural and mineral resources. The real issue is that our leaders are not deploying these huge resources for the common good.

In section 16 (2) ©, the government is to ensure that the economic system is not operated in such a manner as to permit the concentration of wealth or the means of production and exchange in the hands of a few individuals. It is the opposite that operates presently, as the same people who control the banks also control the real estate sector, they play in the oil and gas sector, they dominate the power sector and indeed all other important sectors of the Nigerian economy. It is a circle of friends who have not allowed and will not allow any outsider to invade their “privacy”.

In particular and for loud emphasis, section 14 (2) (b) states that the security and welfare of the people shall be the primary purpose of the government. And this is the real deal. Or how do you promote the welfare of people by keeping them in perpetual darkness without electricity? I cannot remember anytime that we have enjoyed stable power supply for up to one week since May 29, 2023 when Tinubu was sworn in. We are currently experiencing the worst in power supply because all we hear across the land is the sound of generators. To make matters worse, the government empowered the power distribution companies to extort money from their consumers, when the nebulous Band A group was purportedly created, with the assurance of 18-22 hours of power supply everyday. It was only a clever design to milk the people dry, given that those who are touted to be in Band A have since confirmed the scheme to be false. The Tinubu administration has not done anything to improve the lives of Nigerians since it assumed office. Insecurity is at its worst and nobody is ever sure of who is next but for God. Nigeria is presently an open field of suffering such that even those who have are themselves victims. No government should pride itself for foisting suffering on its citizens.

Wednesday, 22 May 2024 04:37

The 1 word that can help you hire better

It is no secret that the number of open positions currently far outstrips the number of candidates available to fill them. According to March 2022 U.S. Bureau of Labor Statistics data, the gap between the current number of job openings and the total level of unemployment now exceeds 5 million. 

Given such a dramatic and critical imbalance, making good hires is among the most important priorities for HR leaders in organizations of all sizes and stripe this year. And it's not just because people are hard to find.

A Harris Poll for Career Builder found that 74% of employers admit to having at one time hired the wrong person. Then, a Robert Half study looking at the cost of bad hires reported that a total of 16 weeks is wasted when a bad hire is made. Hiring the right people the first time is critical.

Many H.R. leaders and recruiters in small and medium enterprises have turned to pre-hire assessments as a means of attempting to isolate on great hires. Recent research from The Aberdeen Group found that just over half, some 57%, of all companies use some form of pre-hire assessment, ostensibly to improve selection. But the trouble is, they don't work that well. 

Besides opening the door to the creation of discriminatory and highly homogenous workplaces dominated by very similar individuals, these tools are frequently misunderstood both by the user and those administering them. 

About the Myers Briggs Type Indicator (MBTI), arguably the industry's most popular pre-hire personality screening tool, Wharton Organizational Psychologist and New York Times #1 best-selling author, Adam Grant said, "The MBTI is astrology for nerds." 

Worse, the most clever candidates try to beat the test; they will tailor responses to better align with what they perceive to be the cultural and practical requirements of the position. According to 2019 research by Nicolas Roulin and Franciska Krings, which appeared in the Journal of Applied Psychology. 

"On the basis of readily available information about the culture, applicants derive the profile of an individual who potentially would thrive in this context, and then adapt their responses accordingly." 

So, it's not uncommon for pre-hire assessments to deliver the exact opposite of their intended result - a good hire. So, many firms, then, turn to targeted selection for help.

Targeted selection is a process whereby same questions, or very reasonable facsimiles thereof, are divvied up among multiple interviewers who, later, compare candidate replies for consistency. 

An example of a targeted selection question might be, "Give me an example of a time when you used your fact-finding skills to solve a problem." 

The logic behind targeted selection is that it eliminates bias across multiple candidates while creating an objective frame of reference to discuss and rate candidates across multiple interviewers. 

Additionally, proponents of targeted selection believe that a candidate, under pressure, will have difficulty "tricking" the system. That is, they won't be able to sustain consistent dishonesty across multiple versions of the same question. 

Therefore, they assume, targeted selection will reveal the best, highest quality hires. The problem is, the brightest candidates prepare for targeted selection questions, and likewise prepare answers designed to please the interviewer. 

Whether their answers are true or not, authentic or not, or credible or not take a back seat to whether or not they are more likely to check a box the interviewer is seeking to check. So, targeted selection is (or should be) out. There is, though, a far better, and far more practical way of finding quality hires than costly assessments and complex group interviewing schemes. Just ask, "Oh?"

I've been using this simple two letter interrogative in interviews for more than 3 decades now to help separate winning candidates from everyone else. I use, "Oh?" as a follow-up to bold statements, insufficient statements, superficial statements, or just statements I want to know more about. 

"Oh?" has a sort of magical quality about it. It cannot be ignored. It's too informal to have meant, "I don't believe you." It doesn't invite any sort of canned response. 

It might mean, "Tell me more," or something altogether different; but most wouldn't be caught dead asking you to clarify what you meant by it. "Oh?" is just "Oh?"

But academics, psychologists and business leaders all agree that using "Oh?" in the interview process can lead to better outcomes. 

"Open ended and exploratory questions, like "oh?," allow for an organic conversation, and result in a more accurate evaluation of the candidate's relevant and transferable experience," says Carnegie Mellon University's Diane Taylor. 

Used along with other intelligent and well thought out queries, "Oh?" can produce higher quality hires by addressing some of the shortcomings found in other recruiting tools.

"Oh?" will require a candidate to think on their feet. "Oh?" almost always elicits a completely candid and honest response - because most don't have a repertoire to draw from that includes responses to "Oh?" That's because virtually no one spends time getting ready for the "Oh?"

According to Agnieszka Goulin, head of People at Spacelift.IO, "I like asking the "oh?" question as most candidates do not expect such a question, they have not prepared their answer prior, and thus their answer will be a unique response they came up with at the moment. It showcases their critical thinking and their ability to remain calm under pressure." 

Responses to "Oh?" will typically most closely match the personality and cultural orientation of the responder; because in responding they are foremost considering only how to answer the question, not how to make a cultural impression.

Adam Sanders, Founder and Director of The Relaunch Pad agrees. He told me, "There is more information out there than ever before about what hiring managers want to hear. This makes the typical interview questions easier than ever to answer if you're willing to prepare a bit beforehand. 

All of this leads to candidates interviewing with a persona of what they think will get them hired and companies hiring that persona. It's a bad match for both parties in the long-run but it happens all the time. I've found that "Oh?" is a very effective method to take the interview from canned responses into a more self-reflective conversation. 

Most candidates only prepare for the typical surface-level questions and "Oh?" requires them to dig deeper and improvise on the fly. I've found that I get more honest and authentic answers this way." But beyond reducing bad hire risks often missed by assessments and targeted selection, there are other reasons to use the "Oh?" - like tearing away at veils.

"'Oh?' is an excellent interjection when an applicant has been giving superficial responses. According to Stephan Baldwin, founder of Assisted Living, a digital marketing agency in the healthcare industry. 

"When an interviewer says "Oh?," candidates usually get uneasy and start digging deep into your questions. They assume that the phrase signals inadequacy as if you were expecting more from their reply. 

And sometimes, you really are ... healthcare demands employees who are wholeheartedly interested in what they're doing. It's worth finding out what really drives people to join your team." Making quality hires requires that hiring managers know more about a candidate than meets the eye. 

"Oh?" helps them get to a deeper level of dialogue. It encourages people to talk freely and to share openly in a way that few other questions do. It's disarming and welcoming. When used properly and sparingly, the "Oh?" can enable interviewers to collect a depth of information that before would have remained hidden. The "Oh?" can also quickly build relationships between interviewers and interviewee.

Finally, the tremendously casual nature of "Oh?" can help rapidly create bond and rapport then a deeper connection with a candidate. Few candidates will expect the informality of "Oh?" 

Using it can change the tenor of not only their responses, but likely the nature of their relationship with the questioner and the company. Done well, the interviewer is inviting the candidate to a much broader conversation about possibilities, dreams, and, hopefully, mutual ambitions. 

It's a moment when the candidate may, or may not, start to take ownership of their future role. As psychotherapist, Dr. Heather Browne shared with me, "Oh?" can lead to a place where the interviewer and candidate "then can dream together. 

"And in this way, the candidate will stand out if they so choose. These are the moments we live for in an interview. It's either the transformative connect where you create together or it's the clarity of misaligned thought/belief/mission."

It all starts with two simple letters - "Oh?" - a tiny little word that can have huge implications for the quality of your future hires.

 

Inc

Ahead of the Students' Loan portal launch this Friday, the Nigeria Education Loan Fund (NELFUND) has announced that it will initially offer loans to students in federal tertiary institutions. The Fund specified that only students from institutions that have uploaded their data onto its dashboard will be eligible to apply.

Akintinde Sawyerr, Managing Director/Chief Executive Officer of NELFUND, made this announcement on Monday during a Pre-Application Sensitisation Press Conference in Abuja. He stated that the first phase of the scheme will benefit 1.2 million students from federal universities, polytechnics, colleges of education, and technical colleges.

Sawyerr encouraged students in federal institutions to visit the website [www.nelf.gov.ng](http://www.nelf.gov.ng) to apply starting May 24. Students from state universities and vocational skills centers will be able to apply at a later date.

To apply, students will need a Joint Admission and Matriculation Board admission letter, National Identity Number, Bank Verification Number, and a completed application form from the website.

“Applicants can access online support for any questions or concerns during the application process. We believe that education is a vital investment for the future, and this student loan initiative by Mr. President is a testament to that commitment,” Sawyerr said.

One key feature of the program is the absence of physical contact between the loan applicants and NELFUND, with a user-friendly portal allowing students to submit their applications conveniently. Sawyerr urged students to apply promptly to ensure timely processing.

In addition to the interest-free loan, applicants will also receive monthly stipends for upkeep, though the amount has not been disclosed. “We will look closely at each application and decide based on several factors what fees will be paid. The fees for the institution will be paid directly to the institution per session,” Sawyerr explained.

Sawyerr emphasized the role of institutions in providing data on fees at various levels and highlighted ongoing collaborations with security agencies to prevent fraud.

Last month, President Bola Tinubu signed the Student Loans (Access to Higher Education) Act (Repeal and Re-Enactment) Bill, 2024, into law. This Act empowers NELFUND to provide loans for tuition, fees, and upkeep to qualified Nigerian students in approved public tertiary institutions and vocational establishments. The new law, which repeals the Student Loan Act of 2023, removes the family income threshold, allowing all Nigerian students to apply for loans and take responsibility for repayment according to the Fund’s guidelines.

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