Prepared to follow on from the Millennium Development Goals (MDGs), the 17 Sustainable Development Goals were unveiled with the aim of taking steps towards building a better world in the next 15 years.
This is no easy target. The UN has spent significant time analysing the successes and failings of the MDGs in order to apply the learnings to the SDGs. The MDGs did produce some good outcomes, such as contributing to decreasing the proportion of people living on less than $1.25 from 47% in 1990 to 14% in 2015.
However, it is also acknowledged that progress has been limited, with many being left behind.
According to reports, the SDG strategy will require an annual outlay of $2.5 trillion for it to be implemented successfully, which will need to come from private investment. It’s certainly something the private sector wants to get involved with in an effort to show support for sustainable development.
The SDGs hone in on growth as the main solution to poverty, but we are still in a position where most of the global GDP growth remains in the upper echelons of society, rather than having an impact on the poor. The amount of growth needed to truly end poverty would also have a significant impact on environmental issues such as climate change.
So this leaves the corporate sector, called on to make the investment needed to achieve these goals, in a tricky situation. Where do we invest to ensure we aren’t encouraging one area of growth at the expense of another?
Corporate investors play such a central role in the roll-out of the SDGs, and there’s a lot of work that needs to be done when it comes to our specific commitments and accountability mechanisms.
With this framework, Samsung’s aim is to make a positive contribution towards the SDGs by positively impacting the lives of people. The company continues to inspire the world and create the future through innovative technology that enriches people’s lives and contribute to social growth.
We see ourselves as an active participant in the global agenda to help promote positive change by using our global network of employees, suppliers and partners; which is why we have established solutions which help address the felt need of communities, particularly in education, health, skills and employability.
In 2015, we have established Digital Villages in various countries in Africa including Sudan, Democratic Republic of Congo, Gabon and Senegal to mention a few.
Designed in collaboration with African communities, the Digital Village concept comprises of mobile, solar-powered facilities including a connected admin centre, solar powered internet school, solar powered generator and solar power mobile health centre, which can be configured to serve as the high-tech hub of rural and underserved communities.
In addition to delivering desperately-needed services to communities, the Digital Village also delivers WiFi access and power to the broader community, often for the first time. This access sparks small business development and information-sharing, e-government service delivery and agricultural progress in areas that have been sidelined in the information age for too long.
It makes sense to get behind the SDGs because they are a mechanism to help end poverty and promote sustainability across the board. It may be Corporate Citizenship that kick starts the process, but it is essential that every individual is working towards a common goal.
There is no doubt that the SDGs will, in one way or another, shape the global agenda on economic, social and environmental development over the next 15 years. It is also true that global action is the best way to ensure accountability and inclusivity.
Ultimately the call is for everyone from government, to the private sector and civil society to play their part in creating a sustainable future.
Samsung: Corporate Citizens Could Make Impact on Africa’s Sustainable Development Goals
IATA: Analysis of Brexit on Air Transport Industry
The International Air Transport Association (IATA) released preliminary analysis of the financial and economic impact of the Brexit decision on the air transport industry.
“The Brexit vote has triggered much uncertainty—financial and otherwise. As leaders in the UK and the EU work to establish a new framework for their relationship, one certainty to guide them is the need and desire of people on both sides of that relationship to travel and trade.
Air transport plays a major role in making that possible. There were 117 million air passenger journeys between the UK and the EU in 2015. Air links facilitate business, support jobs and build prosperity. It is critical that whatever form the new UK-EU relationship takes, it must continue to ensure the common interests of safe, secure, efficient and sustainable air connectivity,” said Tony Tyler, IATA’s Director General and CEO.
The main points of the report are:
The UK has voted to leave the EU – the so-called ‘Brexit’ scenario. Considerable uncertainty remains regarding the precise detail of the exit and it could be 2 years or more before these issues are fully resolved; prolonged uncertainty will influence both the magnitude and persistence of the economic impacts.
Preliminary estimates suggest that the number of UK air passengers could be 3-5% lower by 2020, driven by the expected downturn in economic activity and the fall in the sterling exchange rate. The near-term impact on the UK air freight market is less certain, but freight will be affected by lower international trade in the longer term.
A big issue is with aviation regulation. The UK faces a trade-off between accessing the European Single Aviation Market and having the policy freedom to set its own regulations.
Nigerian Insurers Plan Strategic Rebranding
Operators in the Nigerian insurance sector have taken a firm decision to rebrand the industry to showcase its unique importance to Nigerians, especially the younger generation who constitute the largest segment of the population presently.
The rebranding initiative was one of the key decisions taken at the Insurers Committee Meeting yesterday in Lagos.
Mrs. Ebere Nwachukwu, Managing Director/CEO, Zenith Insurance, who briefed the media after the meeting, said the aim of the rebranding initiative is to emphasise the benefits of insurance and change the mindset of Nigerians on the general insurance industry.
Nwachukwu added thathe second aspect will involve pushing insurance companies operating in the country to up the ante on service delivery to their insured with the aim of having fewer complaints from such clients going forward.
Towards that goal, the Insurers Committee has already appointed a specialist to advise it on the key components of the rebranding strategy while discussions are on-going on the implementation timeline.
Meanwhile, there indications that the risk-based supervision model recently proposed by the National Insurance Commission [NAICOM} could be operation by 2017.
The committee stated that the risk-based roadmap would be presented formally to operators in the industry at the next meeting of the Insurers Committee in July before final vetting towards implementation next year.
CIIN Laments Negative Impact of Forex Regime
The Chartered Insurance Institute of Nigeria [CIIN] says the prevailing forex regime of the Central Bank of Nigeria [CBN[ constitutes a stumblimg block to the realisation of its policies and programmes in the insurance sector. The Institute however hoped that the new flexible forex policy which took effect last Monday could improve the situation going forward.
Lady Isioma Chukwuma, President of CIIN, who reviewed her 11-month period in office as the 47th presiden of the Institute listed her 10 major achievements so far as:
· SUSTENANCE OF THE IDEALS OF THE INSURANCE INDUSTRY CONSULTATIVE COUNCIL (IICC), ESPECIALLY THE JOINT INDUSTRY MEGA CONFERENCE.
Following the inauguration of the IICC by the erstwhile Commissioner for Insurance, Mr. Fola Daniel, the IICC has been in the forefront of the campaign to reposition the Insurance Industry in Nigeria. The IICC has been able to foster relationships with relevant governmental Institutions and personalities by paying them scheduled courtesy visits in order to showcase the Insurance Industry as being united in its efforts to raise the GDP of Nigeria. The IICC has also been able to make necessary inputs into the National Budget for the past two years.
· REINFORCING THE HUGE POTENTIAL OF THE COLLEGE OF INSURANCE AND FINANCIAL MANAGEMENT.
Following the selfless efforts of my predecessors in ensuring setting in motion the effective take-off of academic activities in the College of Insurance and Financial Management, I can confirm to you that Academic activities have since commenced at the College following its official commissioning.
I am pleased to inform you that the Graduation Ceremony of the first set of Diploma Students of the College of Insurance and Financial Management (CIFM) was held on Friday 18th December, 2015 and the Induction Ceremony for the second set of Diploma Students was held on Tuesday 16th February, 2016.
· SITUATING THE CIIN ON THE GLOBAL STAGE
The Institute is especially committed to and is presently exploring every means possible at situating the CIIN brand on the global stage. We are presently fine-tuning our exemptions relationships with CII (UK). We have consolidated the existing off-shore examination centres of the Institute in Banjul, The Gambia and in Kigali, Rwanda and presently pursuing with vigor the extension of the frontiers of our professional examinations to the West African sub-region and other parts of sub-Saharan Africa.
· PROMOTING INSURANCE AWARENESS BY INCREASING THE VISIBILITY OF INSURANCE IN THE MEDIA.
The Institute recognises the role of the media in projecting its ideals and has continually engaged the media in propagating same. We have nurtured and sustained cordial relationships with major media houses by way of paying them courtesy visits and by inviting them to our programmes and events for effective coverage and subsequent reportage.
· FOLLOW-UP ON THE RECOGNITION OF CIIN CERTIFICATE BY THE HEAD OF SERVICE OF THE FEDERATION.
Discussions are at an advanced stage with the office of the Head of Service of the Federation for the gazetting of the Institute’s professional qualifications for employment purposes in the Civil Service. This process, when completed would become an added advantage to holders of the Institute’s certificate seeking employment into any government Institution across the various levels and tiers of government.
· FURTHER WORK ON ACHIEVING WIDER COVERAGE IN THE PRESENTATION AND DISTRIBUTION OF THE INSTITUTE’S SPONSORED INSURANCE TEXTBOOK FOR SENIOR SECONDARY SCHOOLS.
Following the publication, launching and presentation of Insurance Textbook for Secondary Schools to the State Ministries of Education in Lagos, Ogun, Edo, Ondo and Kwara States, the Institute in the past year has been able to donate copies of the book to all public Senior Secondary Schools in Rivers, Imo, Osun, Ekiti and Enugu States through their various Ministries of Education. In all, over three thousand copies of the book have been donated to further enhance the teaching and study of Insurance as a subject in Secondary Schools in Nigeria.
· RENEWED PURSUIT OF TRAINING FOR INSURANCE TEACHERS ON A NATIONAL LEVEL.
The Train-the-Trainer programme was designed for the upscaling of Insurance education and to ensure that insurance teachers possess the required skills for imparting the necessary knowledge to the future generation of insurance practitioners.
The programme was first carried out in Lagos and Ogun States and has since been replicated in other parts of the country. We are presently engaging some states we have visited to fashion out modalities to host the programme in such states.
· COMPLETION OF THE INSTITUTE’S EXAMINATIONS SYLLABUS REVIEW.
Considering the dynamic nature of the insurance profession and in order to continually benchmark the Examinations Syllabus with the most relevant Insurance professional bodies worldwide, the Institute is close to concluding a syllabus review to ensure that our professionals stand at par with their foreign contemporaries.
· COMMENCEMENT OF CONSTRUCTION WORKS ON THE INSTITUTE’S VICTORIA ISLAND PROPERTY.
The Institute has secured all relevant documents and government permits for the continuation of work at the site.
The preliminary activities have been concluded to secure the services of developers for a Build Operate and Transfer (BOT) arrangement. We are also exploring the possibility of entering a counterpart funding agreement to place the Institute in a prime position.
· PROMOTION OF CIIN MEMBERS’ BENEFITS
The Institute has over the past year focused on improving exiting members’ benefits.
Group Life Policy had been incepted for all Past Presidents and all elected Council Members. The policy provides a sum assured of five million naira (N5,000,000) per each life assured.
Similarly, The Institute had also instituted a group life policy for all financial professional members. The policy provides a sum assured of five hundred thousand naira (N500,000) for each life assured and the policy also covers two hundred and fifty thousand naira (N250,000) for permanent disablement arising from accident.
NSE Reports N1.86bn Surplus in 2015, Plan EGM
The Nigerian Stock Exchange held its 55th Annual General Meeting (AGM] in Lagos yesterday where the Report of the National Council, Financial Statements of The Exchange as at 31 December 2015, and the Report of Auditors were presented to members.
At the AGM, the members agreed to NSE Council’s proposal to have an Extra-Ordinary General meeting on the demutualisation to allow for more consultation.
The suggestion was supported by Emeka Madubuike, President of Association of Stock Broking Houses of Nigeria and Mike Itegboje. The speakers further urged the Council and Management of NSE to fast track the demutulaisation process and pick a date for the EGM.
Speaking at the AGM, the President of Council of The NSE, Mr. Aigboje AigImoukhuede, noted that the Exchange weathered the impact of capital flight shocks experienced globally through effective fiscal discipline and tight budgetary controls.
“Although 2015 was characterised by recessionary pressures including a slump in crude oil price, uncertainty in Nigerian economic policies and significant local currency exchange rate pressures, our management and staff successfully delivered on a number of ambitious operational and strategic initiatives.”
“We recorded an operating surplus of N1.86 billion as a result of management diligence in managing the budget as well as strategic prioritisation and execution of key initiatives based on efficiency, scale and growth potential. Total assets of The NSE grew by over 10%, while net assets grew by 11%, year-on-year. By the end of year, the Exchange’s asset base exceeded N22.78 billion, with N19.29 billion in accumulated funds, providing us adequate financial flexibility to support strategy execution in key business areas for the road ahead,” he added.
According to the CEO of The NSE, Mr. Oscar N. Onyema, the Exchange illustrated its resilience during the year amidst prolonged economic uncertainty, diminishing commodity prices and volatile securities markets.
“Despite declines in our core income streams, alternative sources of income continued to play an important role in supporting the financial performance of our business. In 2015, revenue excluding transaction fees and listing income, grew by 15% contributing 40% to total revenue. The greatest drivers of this growth were revenues from our proactive investment strategy and income generated from our market services business.”
“Our balance sheet remains solid, with over N22.78 billion in assets, representing a 10% growth rate in 2015. Our liquidity metrics remain strong as well, with a current ratio 3.79 and a total liabilities -to- total assets factor of 15% as of December 31, 2015”, Onyema said.
At the AGM, Members of the Exchange re-elected to the National Council, Mr. Aigboje AigImoukhuede, as the President; Engr. Muhammad Daggash; Mr. Oluwole Abegunde (Representing Meristem Securities Limited); Mr. Oladipo Aina (Representing Signet Investment & Securities Limited) as members of the National Council.
About NSE
The Nigerian Stock Exchange services the largest economy in Africa, and is championing the development of Africa’s financial markets.
The Exchange offers listing and trading services, licensing services, market data solutions, ancillary technology services, and more. The Nigerian Stock Exchange continues to evolve to meet the needs of its valued customers, and to achieve the highest level of competitiveness.
It is an open, professional and vibrant exchange, and the Entrepreneurial Growth hub of Africa. The Nigerian Stock Exchange aspires to be Africa’s foremost securities exchange, connecting Nigeria, Africa and the world.
Interswitch Sponsored Entrepreneurs Graduate from Technology School
Interswitch, the Leading Integrated Digital Payments and Commerce Company focused on Africa, is pleased to announce the graduation of the first batch of its sponsored Nigerian Entrepreneurs from the Meltwater Entrepreneurial School of Technology (MEST) Training Programme, in Accra, Ghana.
Out of the 19 Nigerian Entrepreneurs In Training (EIT) sponsored by Interswitch to the MEST programme, 10 of the EITs graduated on the Saturday, 18 June 2016, to an audience of friends and family, as well as the Chairman of Interswitch, Mr. Dotun Sulaiman, and the company’s Founder and Group Managing Director, Mitchell Elegbe.
Interswitch and MEST launched this partnership in 2014, to support aspiring young Nigerians, by equipping them with the skills they need to launch successful businesses across Africa. The Entrepreneurs in Training scheme gives young Africans the chance to be the African business leaders of the future.
Speaking at the graduation ceremony, Mitchell Elegbe, Founder and GMD of Interswitch, said:
“At Interswitch, we are very passionate and committed to growing the Tech Ecosystem in Africa. Investing in people with exceptional ideas that can grow into something really impactful and solve problems in Africa is essential to us. Africa is changing rapidly, and it is vitally important that our young people have the opportunity to not only fulfil their own potential, but to go on and change the way we live our lives.”
Interswitch will like to offer our warmest congratulations to the graduates and wish them the very best in their endeavours.
NEXIM, CBN Unveil N550bn Non-Oil Export Growth Schemes
The Nigerian Export-Import Bank [NEXIM] and Central Bank of Nigeria [CBN] have jointly unveiled N550bn non-oil export stimulation schemes to reposition the non-oil export sector in Nigeria.
The schemes are the N500 billion Export Stimulation Facility & N50 billion enhancement on the Rediscounting & Refinancing Facility.
Mr. Bashir Wali, Acting Managing Director/CEO, Nigerian Export-Import Bank [NEXIM] said at a stakeholders’ engagement session on the schemes in Lagos that the objective is to improve export financing in the country, fast-track sustainable economic growth and development, create jobs in the economy and more importantly, support the diversification policy of the Federal Government.
“Over the past few months, the Nigerian Export-Import Bank has been working with the Central Bank of Nigeria to review existing policies and strategies towards increasing funding support and stimulating additional investments in the non-oil export sector. During the course of this review, we have also met with various stakeholders, including Exporters, Commodity Associations, Bankers, the Organised Private Sector and other relevant government agencies to obtain strategic inputs and share perspectives towards achieving our common objective of diversifying the Nigerian economy as well as improving and broadening the contribution of the non-oil export sector to our national development.”
Wali said with the release of the guidelines and commencement of the schemes, Nigerian exporters and export-oriented businesses will now seize the opportunity to expand and upscale their operations towards boosting the current low contribution of non-oil exports, which has remained at about 5% over the years.”
“Let me also add that besides the issues of availability and access to funds, we have also intensified our collaborations and engagements with relevant institutions and stakeholders towards addressing other challenges affecting the export sector such as the problems of infrastructure, issues of packaging and labelling as well as improving access to market.”
The NEXIM CEO said the main purpose of the stakeholders’ session is to create a forum for discussion of the implementation modalities, the role of all participants and the expected outcomes from the successful implementation of these schemes.
“I therefore wish to solicit your active participation and contributions as we present a further breakdown of the operating guidelines.”
He commended the management of CBN for providing the developmental funding schemes and for timely release of the operating guidelines.
Ecobank Unveils $48.2m Dividend for Shareholders
Pan African bank, Ecobank announced in a statement after its Annual General Meeting [AGM] that it will pay out a dividend of $48.2 million to its shareholders for 2015. The statement revealed that this “dividend follows two years during which ETI did not declare a dividend.”
The general meeting also approved the bank’s accounts for 2015 and a net profit of $60.77 million.
During the meeting which was held in Lome, in Togo, shareholders provided Danial Matjila (representative of the Public Investment Corporation near the Board of Directors) a new three-year term and approved the co-optation of Mr. Abdulla Al Khalifa (representative of Qatar National Bank, Ade Ayeyemi, CEO Ecobank, and Mfundo Nkuhlu, representative of Nedbank Group Limited, as Board members.
Ignace Clomegah and Catherine Ngahu were also elected Board members.
Moreover, at the extraordinary general meeting held alongside the annual general meeting, the decision to increase the nominal value of the firm’s ordinary shares by $2.5 cent per share to 50 cent was approved.
This will be done through the consolidation of 20 ordinary shares into a new ordinary share and through the issuing of new ordinary shares, valued at 50 cent each.
GE, Bresson Plan 500MW Power Project in Nigeria
General Electric will support Bresson AS in providing Nigeria a 500 MW power plant. Announcing the news, Mohammed Mijindadi, Managing Director of Gaspower Systems, an arm of General Electric (GE), said: “the project has tremendous economic value, and that is why GE Capital is involved in structuring finances for Bresson 500 MW project”
GE will determine the combination of net financial and bank loans and equity needed for Bresson to develop its plant.
The developer plans to add 500 MW to the national grid in order to deal with the power crisis which the country currently faces. This represents 10% of the country’s actual available capacity. It will be provided by the Magboro plant (in the Ogun state), among others, and should be available in the second quarter of 2017.
Gbenga Olawepo-Hashim, Chairman of Bresson Nigeria, commended the federal government to remove the different barriers that delay administrative procedures, such as the signing of power purchase agreement.
-Gwladys Johnson
MTN Group Appoints Rob Shuter New CEO
Rob Shuter is MTN’s new CEO. This was revealed by the South African firm in a press release published on June 20, 2016.
Still in contract with British firm, Vodafone (as CEO), Mr. Shuter will officially take office in July 2017. He will be replacing Sifiso Dabengwa who left in November 2015, after MTN Nigeria was fined $5.2 billion in Nigeria.
In its statement, MTN explained its choice by highlighting Shuter’s experience in the telecom industry. The new CEO has indeed held significant positions within Vodacom Group before joining Vodafone. “Rob will bring experience and new insights to the CEO role having had many years in the telecoms sector, both in Africa and Europe (…) His expertise will help as MTN continues to develop its new business strategy,” said MTN in its statement.
With Rob Shuter’s appointment, Phuthuma Nhleko’s mission as interim CEO comes to an end, though he will not be leaving immediately. Nhleko, prior to Dabengwa leaving, was the non-executive chief of MTN Group.
He was appointed to replace Dabengwa for six months at the head of the telecom group. Given the experience he gained as he held that position from 2002 to 2011, his task was to end the dispute with Nigeria and appoint a new CEO. That is done.
The $3.9 billion fine imposed MTN Nigeria was reduced to $1.7 billion payable over three years.
Gartner: Worldwide Smartphone Sales to Slow in 2016
Gartner said global smartphone sales will continue to slow and will no longer grow in double digits. Worldwide smartphone sales are expected to grow 7 percent in 2016 to reach 1.5 billion units. This is down from 14.4 percent growth in 2015.
In 2020, smartphone sales are on pace to total 1.9 billion units.
“The smartphone market will no longer grow at the levels it has reached over the last seven years,” said Roberta Cozza, Research Director at Gartner.
“Smartphone sales recorded their highest growth in 2010, reaching 73 percent.”
Slowing Replacement of Phones
Today, the smartphone market has reached 90 percent penetration in the mature markets of North America, Western Europe, Japan and Mature Asia/Pacific, slowing future growth. Furthermore, users in these regions are not replacing or upgrading their smartphone as often as in previous years.
“In the mature markets, premium phone users are extending life cycles to 2.5 years, which is not going to change drastically over the next five years,” said Ms. Cozza.
Communications service providers (CSPs) have moved away from subsidies providing a “free” smartphone every two years, which has led to more varied upgrade cycles. On the other hand, CSPs have introduced financing programs and vendors such as Apple now offer upgrade programs that provides users with new hardware after only 12 months.
“These programs are not for everyone, as most users are happy to hold onto their phone for two years or longer than before. They do so especially as the technology updates have become incremental rather than exponential,” added Ms. Cozza.
In emerging markets, the average lifetime of premium phones is between 2.2 and 2.5 years, while basic phones have an average lifetime of three years and more. “2015 was the year when sales of smartphones overtook those of feature phones for the first time in Sub-Saharan Africa. This region represents an attractive market for vendors that can persuade users to migrate to their first smartphone,” said Ms. Cozza.
India Is the Main Focus for Growth Opportunity
Since mature markets are saturated, the focus for many vendors is on India and China. “India has the highest growth potential,” said Annette Zimmermann, Research Director at Gartner. “Sales of feature phones totaled 167 million units in 2015, 61 percent of total mobile phone sales in India.”
Smartphones are expensive for users in India, but with the average selling prices (ASPs) of low-end models falling, Gartner estimates that 139 million smartphones will be sold in India in 2016, growing 29.5 percent year over year. ASPs of mobile phones in India remain under $70, and smartphones under $120 will continue to contribute around 50 percent of overall smartphone sales in 2016.
After recording growth of 16 percent in 2014, sales of smartphones in China were flat in 2015. “In this saturated yet highly competitive smartphone market, there is little growth expected in China in the next five years,” said Ms. Zimmermann. Sales of smartphones in China represented 95 percent of total mobile phone sales in 2015. Similar to India, falling ASPs for smartphones will make them more affordable for users.”
“The worldwide smartphone market remains complex and competitive for all mobile phone vendors, and we are not expecting the vendor landscape to get smaller,” said Ms. Zimmermann. “In such a fluid vendor landscape, some will exit the market while newcomers, including mobile manufacturers or internet service providers from China and India, could make their debut.”
Gartner forecasts that by 2018, at least one nontraditional phone maker will be among the top five smartphone brands in China.
“Chinese internet companies are increasingly investing in mobile device hardware development, platforms and distribution as they aim to grow their user bases and increase user loyalty and engagement,” concluded Ms. Zimmermann.
How Uber is Localising Taxi Solution in sub-Saharan Africa
Taxi-hailing app Uber entered sub-Saharan Africa four years ago with operations in South Africa’s commercial hub Johannesburg. Today it operates in 11 other cities – Cape Town, Durban, Pretoria, Port Elizabeth, Nairobi, Mombasa, Lagos, Abuja, Kampala, Dar es Salaam and Accra.
But it has not always been an easy ride for Uber in Africa. One of the lessons it has learned is the importance of adapting to local conditions.
When it launched in Kenya, Uber only offered a bank card payment option, essentially locking out some customers who either didn’t have cards or were unwilling to use them. For most Kenyans, mobile money is often the next option when they cannot use cash, and this too was unavailable on Uber’s platform.
The introduction of a cash payment option about a year ago “transformed the business” and currently the majority of Uber riders in Kenya pay in hard currency.
“[It has been] really crucial to our growth in the Kenyan market,” says Alon Lits, Uber general manger for sub-Saharan Africa.
“Given the success we have seen in Kenya, we have actually rolled out cash in all of our markets,” explains Lits.
“What we do see though is someone might take their first trip on the platform with cash, but over time convert into a card user once they trust the system.”
“I think it really comes down to e-commerce [and] online payments not being commonplace across the continent. So people are [initially] often sceptical to upload payment information to an application.”
But with cash payments comes the challenge of how to collect Uber’s service fee from drivers. In most markets, Lits explains, there is a combination of both cash and card trips, so Uber secures its share from those paid for by card. Drivers can also transfer money owed to Uber via mobile money.
Recruiting L ocal T eams
An essential aspect of Uber’s localisation efforts is understanding what works in each city. “It is important we have a local team driving our business,” says Lits.
“We are a global company but we have local teams in every one of our markets – which ensures that we have a team that understands the market.”
Uber has gone to great lengths to recruit new users and build loyalty in the region. It has formed partnerships with local players – particularly in the tech industry – and social media personalities to improve its visibility.
For instance, when it first launched in Kenya, Uber published a blog featuring fashion personality Sharon Mundia and two technology entrepreneurs , Mbugua Njihia and Harry Hare using the app, essentially becoming the country’s first Uber users.
Partnerships to O vercome C hallenges
Another challenge in most African cities is the lack of physical addresses. It is a hurdle that delivery companies, emergency services providers and e-commerce firms also complain about.
“We have tested local mapping solutions,” says Lits, noting Uber has worked with Kenyan startup , OkHi that is mapping homes in Nairobi.
In Kenya and South Africa, Uber is engaging with local financiers that issue vehicle loans to driver partners and investors. It is also exploring teaming up with local internet cafés, where there will be someone to help drivers sign up with Uber.
Less R egulatory H urdles in Africa
Although Uber has faced resistance from traditional taxi drivers in countries such as South Africa and Kenya, Lits says there have generally been less regulatory hurdles in Africa compared with other international markets.
He cites the case of Kenya, noting the government made it clear that any form of violence and intimidation of drivers would not be tolerated and six individuals have been charged for alleged attempted murder and malicious damage of a vehicle.
And in Ghana, Uber said earlier this week it had signed a ‘statement of understanding’ with the M inistry of T ransport, kicking off the process of developing a “regulatory framework that allows for ride-sharing technology and regulates its use and adoption”.
Lits notes Uber’s senior bosses in the US see Africa as an important market and intend to launch more features.
Later in the year, the company will introduce its Uber Everything in South Africa, a service that will enable drivers to provide food delivery and courier services.
–Dinfin Mulupi
‘Insurance Firms Will Not Sack Workers’
Insurance companies in Nigeria will not sack their staff as a means of survival like the banks did recently. Banks such as First Bank, Skye Bank, Diamond Bank, FCMB and Ecobank recently sacked thousands of their staff in a bid to survive the current economic downturn in the country.
Mr. GUS Wiggle, Chairman, Nigerian Insurers Association [NIA] declared in Lagos yesterday that no insurance company operating in the country will follow the example of the banks, saying retrenchment of staff is not the right way to survive.
“Insurance companies will not sack workers. We don’t think it should be the best survival approach. In times like these, your best friend is insurance,” Wiggle declared.
He said the strategy of insurers is to continuously educate people to buy insurance to hedge against tough times and reduce waste.
The NIA chairman expressed optimism that the new flexible forex regime by the Central Bank of Nigeria [CBN] will impact favourably on marine insurance, given that imports have virtually grounded to a halt presently as businesses struggle to access foreign exchange to run their operations.
“We are in a very challenging time. No sector of the economy is finding it impressive. We hope that the new flexible forex rule by the CBN will help improve marine insurance going forward.”
Wiggle expressed sadness over the inability of many insurance firms to pay dividend to their shareholders.
“We feel sad that our shareholders are not benefitting from their investment. The problem is the stringent conditions under which we operate. Part of it is poor pricing. We may not be charging adequate premium. We are also victims of fraudulent claims by some insured persons.”
CTO Appoints First Regional Advisers
The Commonwealth Telecommunications Organisation (CTO) has announced the appointment of two regional advisors on ICTs: Dr Marianne Treschow, Regional Advisor for Scandinavia and Northern Europe and Gisa Fuatai Purcell, Regional Advisor for the South Pacific.
The announcement of the appointments was made last week by Secretary-GeneralShola Taylor.
The CTO’s activities throughout the Commonwealth cross national and regional boundaries, but there is a need for the Organisation to stay abreast of the regional priorities of its members.
“I am delighted to announce the appointment of Dr Treschow and Ms Purcell,” said Shola Taylor.
“The CTO’s mandate to coordinate Commonwealth positions at international ICT events necessitates us staying up-to-date with regional issues, and our Regional Advisors will ensure our engagement in these areas.”
“I am greatly honoured to be appointed as Regional Advisor for Scandinavia and Northern Europe,” Dr Treschow said. “I strongly believe in the work of the CTO, building ICT capacity across the Commonwealth and look forward to working further with the CTO, building on my work as an Ambassador for the Organisation.”
Gisa Fuatai Purcell is the former Head of the ITU’s Division on LDCs, SIDS, and LLDCs; Climate Change Adaption and Disaster Risk Reduction; and Emergency Telecommunication. Gisa was the first woman to lead this division and the first Pacific Island person to have worked at the ITU Headquarters in Geneva.
She successfully managed many projects around the world including early warning systems using ICTs, satellite connectivity, ICT capacity building and ICT infrastructure including submarine cables. She has a Master of Commerce and Administration from Victoria University of Wellington in New Zealand.
Dr. Marianne Treschow is the former Director-General and member of the Board of the Swedish Post and Telecom Authority (PTS). She is also senior advisor to Ericsson Group; advisor, Europe to VoIPSolutions; founder and CEO of TreschowConsulting; European expert to Global Network Women in ICT (WITNET); member of the Royal Academy of Engineering Sciences (IVA); and member of the Swedish Institute of International Affairs.
In addition to a long career in PTS, she has also held a number of important positions in Sweden including director of the Swedish Space Agency; director of the Swedish Natural Sciences Research Council; and Associate Professor in Structural Chemistry at the Stockholm University. Among the many international positions she has held are Member of the Troika Board in the European Commission; Chair of the Radio Spectrum Policy Group (RSPG) from 2006 to 2010; Head of Delegation of the European Regulators Group (ERG) from 2004 to 2010; and Councillor to the ITU and its Council from 2006 to 2010.
About the Commonwealth Telecommunications Organisation
The Commonwealth Telecommunications Organisation (CTO) is the oldest and largest Commonwealth intergovernmental organisation in the field of information and communication technologies.
Although our history can be traced back to 1901 with the establishment of the Pacific Cable Board, the organisation has only existed in its present form as an intergovernmental treaty organisation since 1967.
With a diverse membership spanning developed and least developed countries, small island developing states, and more recently also the private sector and civil society, the CTO aims to become a trusted partner for sustainable development for all through ICTs.
MTN Plans FCFA140bn Expansion in Côte d’Ivoire
MTN Cote d’Ivoire said on 10 June, 2016 that it has raised FCFA140 billion to finance its investments in the country and increase its footprint across it.
The sum, proceeds of a loan arranged by Standard Chartered Bank and Ecobank Development Corporation (EDC) from 10 Ivorian banks and Ecobank’s Senegalese and Togolese subsidiaries, will be paid over 7 years, with a grace period of one year.
Regarding this loan, Managing Director MTN Cote d’Ivoire, Freddy Tchala said: “This year 2016 is a turning point for our company for this is the year where it renewed its license for 17 years, effective from April 2, 2016. The loan will also help pay the license and achieve an ambitious investment programme, meet our targets thus providing the best network and services to Cote d’Ivoire’s residents.”
Moreover, the money will be used by the company to modernise and expand its telecom networks, so as to provide quality services to all.
With it, MTN will grab more customers and snatch from Orange, its main rival, its position of leader of the local telecom market.