Category: Business

The Nigeria Data Protection Commission (NDPC) says it is investigating three banks, one university, and other suspects over alleged data breach.

The commission listed Zenith, Fidelity, Guarantee Trust Banks, Babcock University, and Leadway Insurance, among others for the suspected infraction.

The National Commissioner of NDPC, Dr Vincent Olatunji said this in a statement issued by Head Media, Mr. Itunu Dosekun, on Thursday in Abuja.

Olatunji said the investigations came following complaints from data subjects.

He explained that with the new Nigerian Data Protection Act (NDPA), the Commission had been empowered with a legal framework to address issues of citizens’ data breaches.

“In the last few weeks, the NDPC has received complaints bothering on unlawful data processing, unauthorized access to personal data, and violation of data subjects’ rights.

“Under Part 10 of the newly-signed NDPA Act 2023, a data controller with a turnover of N200 billion yearly may pay as high as N2 billion, which represents two percent of the gross revenue.

“Not only that, offenders also risk up to a one-year jail term.

“We are currently investigating Guarantee Trust Bank, Fidelity, Unity, Zenith banks, Leadway Insurance and Babcock University, among others, for a data breach,” Olatunji said.

According to him, many micro-finance banks are yet to align their operations with the requirements of data privacy and protection.

He further revealed that loaning organisations would face the law with the new mandate of the Federal Competition and Consumer Protection Commission.

Olatunji said the mandate required loan organisations to seek compliance and clearance from NDPC before granting approval to online lenders.

“The commission is investigating over 400 complaints in the online lending sector.

“Soko Loan is already working on a comeback to the digital lending market, but yet to be approved,’’ said the commissioner.

He, however, said that the commission was engaging in serious sensitisation exercises to ensure that data controllers understood the implications of a data breach.

According to him, the commission prioritises awareness more than the scorched earth enforcement process. 

The volume of premiums recorded by its member companies in 2022 grew to about N726.2 billion, the Nigerian Insurers Association (NIA) said on Tuesday.

NIA’s Chairman, Mr Olusegun Omosehin said this while delivering an address at the 52nd Annual General Meeting (AGM) of the association in Lagos.

Omosehin said that the figure recorded is estimated to be an increase of 33.9 per cent over the premium income of N569.1 billion recorded in 2021.

He said, despite the economic downtown in the country, the insurance industry continues to take its place in the economic space as the economic driver, restorer of businesses and a dependable safeguard of national assets.

“As a subset of the national financial system, the insurance industry also had a fair dose of the general economic and socio-political problems bedeviling the country in the past one year.

“Perennial power outages, herders and farmers conflicts, kidnapping, banditry poor infrastructural facilities, increasing poverty galloping inflation, flooding and other natural catastrophes.

“Also, geometric rise in exchange rate of the business resulting in high cost of operations.

“Notwithstanding these challenges, insurance companies continue to discharge their obligations as financial intermediators and restorer of businesses in line with their mandate,” he said.

According to him, the association is working closely with the National Insurance Commission (NAICOM) and other stakeholders within the financial services and technology segments to promote the business of insurance.

Omosehin said the collaboration was geared toward increasing the sector’s contribution to the national Gross Domestic Products (GDP), which will lead to increase insurance penetration and density.

He expressed regret that the Consolidated Insurance Bill 2020 was not signed into law during the 9th Assembly, despite the spirited effort made by the association to ensure that it was.

Omosehin appreciated NIA Governing Council members and past chairmen who worked tirelessly to ensure that the bill was signed.

He noted that the governing council would review the process that had brought the bill that far and take the next steps in the coming months after due consultation with all relevant stakeholders.

Omosehin commended the significant progress made by the Energy and Allied Insurance Pool of Nigeria (EAIPN), conceived by the NIA, to build local capacity and reduce premium flight in oil and gas underwriting.

He charged the general business insurance companies to increase their patronage to the pool to improve the capacity of the local market to underwrite oil and gas risk through the pool.

In her address, Mrs Yetunde Ilori, Director-General, NIA, said that in the course of the year under review, the association collaborated on a joint project with the Lagos State Vehicle Inspection Service (VIS).

Ilori said the collaboration is on enforcement and validation of genuine compulsory motor third party insurance.

She said this was made mandatory by extant laws through the Automatic Number Plate Recognition (ANPR) device of VIS and the Nigerian Insurance Industry Database (NIID), verification platform of NIA.

The director-general appreciated the Commissioner for Insurance,  Mr Sunday Thomas, Heads of companies in the industry, various associations and stakeholders for their support toward NIA.

According to him, this will further grow the industry.

The News Agency of Nigeria (NAN) reports that Mr Austin Ebose, Managing Director, Anchor Insurance Company Ltd., and Mrs Ebelechukwu Nwachukwu, Managing Director, Royal Exchange Assurance Nigeria Ltd., were inaugurated as governing council members of association.

The NIA’s governing council said that their swearing-in followed an election and ratification by its members.

Stakeholders at the AGM included: representatives from NAICOM, Chartered Insurance Institute of Nigeria (CIIN), Nigerian Council of Registered Insurance Brokers (NCRIB), Institute of Loss Adjusters of Nigeria, Association of Registered Insurance Agents of Nigeria (ARIAN), among others. 

Trading activities on the floor of Nigerian Exchange (NGX) on Tuesday sustained an upward trend, appreciating by N421 billion as transactions in small and medium stocks boosted market activities.

Market capitalisation of listed equities increased by 1.3 per cent to N32.729 trillion from N32.308 trillion reported the previous day.

The NGX All Share Index crosses 60 thousand marks at the end of trading, appreciating by 770.10 basis points to 60108.86 points from 59338.76 points traded on Monday.

An analysis of the investment showed that Courtvellle Business Solutions, Omatek, Afromedia, and Ikeja Hotel led the gainers’ table during the day, gaining 10 percent each to close at N0.66 per share, N0.33, N0.22, and N3.63 per share respectively.

Transco Hotel followed with a gain of 9.97 percent to close at N21.29 per share.

On the contrary, Redstarex topped the losers’ chart, declining by 10 percent to close at N3.15 per share, C &I Leasing trailed with a loss of 9.79 percent to close at N3.50 per unit, Morison Industry declined by 9.22 percent to close at N1.97 per unit, Sovereign Trust Insurance fell by 7.41 percent to close at N0.50 per share, May and Baker down by 6.42 percent to close at N5.10 per unit.

The volume of trades increased by 411.008 million, representing 74.36 percent as investors traded 963.696 million shares valued at N12.533 billion in 9463 deals against 552.688 million shares worth N13.056 billion exchanged hands the previous day in 8052 deals.

Transactions in the shares of AccessCorp led market activity during the day, exchanging 111.668 million shares valued at N1.741 billion, GTCO Plc followed with an account of 78.985 million shares worth N2.692 billion, United Bank of Africa traded 72.291 million shares cost N878.218 million, Sterling Bank exchanged 65.612 million shares cost N195.574 million, Zenith Bank sold 52.436 million shares worth N1.769 billion.

*Telcos decry rising cost of fuel, electricity

Chairman of the Association of Licensed Telecom Operators of Nigeria (ALTON), Gbenga Adebayo, has disclosed that network providers are considering raising the prices of their services in Nigeria.

Adebayo said the increase was necessary due to the rise in the cost of operation on the back of a 40 percent hike in electricity tariff by the Distribution Companies (DisCos) and an increase in the price of fuel.

ALTON is a group of telecommunications companies comprising MTN Nigeria, Airtel Africa, Globacom, 9mobile, Spectranet, Smile, and more.

He said the rising cost of operation was a burden on the network providers, and they need to pass the increase incurred from changes in electricity tariff and fuel price to the cost of their services, which includes airtime and data sales.

According to the ALTON chairman, the telecommunications companies are already in discussion with the Nigerian Communications Commission (NCC) to review the prices of their services.

“All these changes have had impacts on our industry. You know as an industry, these are parameters that affect the cost of the services we offer, I mean our production cost and when production costs go up, end user prices to go up,” Adebayo said in a report by The Nation Newspaper on Tuesday.

“So, if it gets to that stage, naturally we will also respond to the trend of that issue expectedly because for the industry to be sustaining, prices have to reflect the cost of production,” he noted.

Adebayo said the increase in the cost of energy; fuel, diesel and transport need to be added to the cost of services provided by the telcos, disclosing that it now costs more to transport diesel to base transceiver stations (BTS).

“For the sustainability of the industry, the tariff we charge the consumers will reflect the cost of production, in this case the cost of energy, cost of fuel, cost of diesel, and cost of transport.

“So, expectedly, prices are meant to go up,” the chairman said, adding, “What we are doing at the moment is that we are working with the regulator to follow the guideline on tariff review.”

A fourth quarter 2022 report by the Nigerian Electricity Regulatory Commission (NERC) has stated that there was no recorded cases of National Grid collapse.

According to NERC, there was an improvement in electricity supply during the period under review as the system operators ensured there were no grid collapses.

In the first three quarters of 2022, there were frequent cases of grid collapses leading to massive electricity outages nationwide.

“It is noteworthy that there was no grid collapse in 2022/Q4. The Commission, in collaboration with the TCN, will continue to intensify efforts to sustain the improvements in grid stability and prevent system collapses.

“Furthermore, the Commission shall continue to strictly monitor compliance with the system operator’s directives to generators on the free governor and frequency control mode in line with the provisions of the subsisting operating codes in the electricity industry.

“The commission is also exploring options for the enforcement of an under frequency load-shedding scheme instituted to provide an added layer of security for the grid in case of a sudden loss of generation.

“The Transmission Company of Nigeria (TCN) could also be required to undertake a review of the calibration of its relay settings as part of the efforts to increase grid stability”,  the report said.

The NERC report also notes that the national grid is designed to function within certain stability limits in terms of voltage (330kV±5%) and frequency (50Hz±0.5%).

“So, any deviation from these stability ranges can result in decreased power quality and, in severe cases, cause widespread power outages,” NERC said.

The Federal Government has said that it will ensure quick access to single digit loans for Nigerian small businesses.

Vice President Kashim Shettima made the pledge on Tuesday in a message to mark the 2023 World Micro Small and Medium Enterprises (MSME) Day.

He said that the Federal Government was aware of the impact of fuel subsidy removal on MSMEs and was working towards addressing it.

“On this World MSME Day, the government of President Tinubu recognises the vital role that MSMEs play in driving economic growth, creating jobs, and promoting innovation.

“We remain committed to providing support, fostering an enabling environment, and improving access to finance for MSMEs, especially in these unprecedented times.

“We urge all stakeholders to come together to champion the growth and success of MSMEs to achieve sustainable development for all.

“We also recognise the plethora of issues that face MSMEs as a result of the subsidy removal.

“However, the government is working urgently to ensure quick access to single digit loans for Nigerian small businesses within the shortest time possible.

“Please note that the president is your partner and here to make life easier for your businesses. Happy MSMES Day,” he said.

The Domestic  equity market on Monday opened the week in a bullish run gaining N72 billion as trading in the shares of BUA Cement, GTCO Plc, AccessCorp,  Eobank Transnational Incorporated and others lifted market activities.

Market capitalisation of listed equities increased by 0.22 per cent to close at N32.308 trillion from N32.236 trillion it closed on Friday.

The NGX All Share Index also appreciated 132.76 basis points to 59338.76 points from 59206.63 points traded the previous day.

The NGX trading result showed that five companies appreciated by 10 per cent at the close of transactions on Monday. Tantalizer, Transco Hotel, Ikeja Hotel, Thomas Way and Academy Press led gained 10 per cent each to close at N0.22 per share, N19.36, N3.30, N1.43 and N2.20 per unit respectively.

Conversely, Unity Bank topped losers chart during the day, declining 10 per cent to close at N0.99 per share, Japaul Gold trailed with a loss of 9.23 per cent to close at N0.59 per unit, Veritas Kapital dipped 8.70 per cent to close at N0.21 per unit, NSI Tech declined by 7.89 per cent to close at N0.35 per unit, Cutix Plc down by 5.45 per cent to close at N2.60 per share.

Volume of trades increased by 75.182 million shares, representing 11.97 per cent as investors traded 552.688 million shares valued at N13.056 million in 8052 deals against 627.870 million shares worth N9.150 billion in 6953 deals.

Transactions in the shares of AccessCorp Plc  led the market activity during the day with 74.602 million shares valued at N1.134 billion, BUACement followed with account of 45.405 million shares valued at N3.861 billion, GTCO Plc traded 44.833 million shares cost N1.449 billion, Universal insurance traded 40.373 million shares valued at N9.094 million while Ecobank Transnational Incorporate traded 39.821 million shares cost N604.805 million.

The Abuja Electricity Distribution Company (AEDC) has made a U-turn concerning its planned tariff high, with the company now appealing to customers to disregard planned tariff increase as approval for such increment had not been received.

AEDC management made the appeal in a statement on Monday in Abuja.

“Please disregard the circulating communication, regarding review of electricity tariffs.

“Be informed that no approval for such increments has been received. We regret any inconvenience.”

However, AEDC had earlier in a statement, said there would be an upward review of electricity tariff from July 1.

According to the statement, the tariff increase is influenced by the fluctuating exchange rate.

“Effective July 1, 2023, please be informed that there will be an upward review to the electricity tariff influenced by the fluctuating exchange rate.

“Under the MYTO 2022 guidelines, the previously set exchange rate of N441/1 dollar may now be revised to approximately N750/1 dollar which will have an impact on the tariffs associated with your electricity consumption.

“For customers within band B and C, with supply hours ranging from 12 to 16 per day, the new base tariff is expected to be N100 per Kilowatts per hour (KWh).

“While Bands A with (20 hours and above) and B (16 to 20 hours) will experience comparatively higher tariffs,” the AEDC had said in the previous statement.

AEDC further encouraged customers with prepaid meters to consider purchasing bulk energy units before the end of June as this would allow them take advantage of the current rates and   make savings before the new tariffs came into effect.

AEDC said that for those on post-paid (estimated) billing, a significant increment is imminent in their monthly billing, starting from August.

The Mult Year Tariff Order (MYTO) is the methodology for regulating electricity prices.

It provided a 15-year tariff path for the Nigerian electricity industry with limited ‘minor’ reviews each year in the light of changes in a number of parameters.

These included inflation and gas prices and ‘major’ reviews every five years when all of the inputs were reviewed with stakeholders.