Russian President, Vladmir Putin

(Reuters) - Russia warned the United States on Sunday against repeating past mistakes, saying that any unilateral military action in Syria would undermine efforts for peace and have a devastating impact on the security situation in the Middle East.

The Russian Foreign Ministry said its statement was a response to U.S. actions to give it the option of an armed strike against Syria.

It drew a parallel between reports Syrian President Bashar al-Assad's forces had used chemical weapons and Washington's 2003 intervention in Iraq following accusations by then-President George Bush's administration that Iraqi leader Saddam Hussein's government possessed weapons of mass destruction.

"We once again decisively urge (the United States) not to repeat the mistakes of the past and not to allow actions that go against international law," the ministry said.

"Any unilateral military action bypassing the United Nations will ... lead to further escalation (in Syria) and will affect the already explosive situation in the Middle East in the most devastating way."

Moscow said any military action would severely hamper joint U.S.-Russian efforts for an international peace conference to end a civil war that has killed more than 100,000 people.

"The threat to use force against the Syrian regime sends the (Syrian) opposition conflicting signals," the ministry said. "All sponsors of the opposition, which have influence over it, must seek the fastest possible agreement from Bashar al-Assad's opponents to hold talks."

U.S. President Barack Obama met his security advisers on Saturday to debate options following reports of the alleged chemical attack. U.S. naval forces have been repositioned in the Mediterranean to give Washington the option of an armed strike.

Syria's opposition accused Assad's forces of gassing many hundreds of people - by one report as many as 1,300 - on Wednesday. Syria said earlier on Sunday it had agreed to let the experts visit the site.

Russia, which has suggested that Syrian rebels may have carried out the attack, also said on Sunday that assigning blame too soon over the alleged poison gas strike would be a "tragic mistake", before a U.N. investigation on Monday.

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Managing Director, NEXIM, Mr. Robert Orya

The bank would be accessible to grassroots businesses.
The Federal Government on Friday asked the Board of the Nigeria Export-Import Bank (NEXIM) to support Nigeria in maintaining its leading position as the powerhouse in regional trade in West Africa.
The Minister of Finance and Coordinating Minister for the Economy, Ngozi Okonjo-Iweala, said at the inauguration of the reconstituted board of the bank in Abuja that with Nigeria’s economy accounting for about 55 per cent of the regional trade, NEXIM must help build the capacity of private sector entrepreneurs to expand trade in the region and beyond.
The Minister who acknowledged NEXIM as a very important part of government’s finance structure, said the bank, which was set up to support the country’s import and export trade, has so far proven its worth through the performance of its functions and delivering on its mandate.
“There are a lot of expectations from the government, which is embarking on a path of transformation of the economy by working with private sector to expand trade in the country and the West African region and beyond. NEXIM is critical to this process, if Nigeria is going to play its role as the power house within the West African sub-region and Africa,” the minister said.
She said though government was proud of the achievement of the management, a lot was expected from the new board members such as ensuring that NEXIM plays the role it should within the region. She pointed out that there are a lot of entrepreneurs in the private sector that need the services of NEXIM to boost their businesses.
The Minister of State for Finance, Yerima Ngama, who also spoke at the event, hailed the management for turning around the fortune of the bank in the last three years. He said that, prior to their tenure; NEXIM was running at a loss with lots of bad debts as a result of “a very bad credit culture.”
Mr. Ngama said last year was the third time in a row that the bank was posting profit on its balance sheet and declaring dividends to its shareholders; a development that has put the bank on a path of sustained profitability.
He said the management has also taken steps to clean up the balance sheet through the establishment of Debt Recovery Task Force which recovers bad debts and write-off irrecoverable legacy loan. He added that efforts have been made to improve the credit culture through training and enforcement of strict credit evaluation processes. He however asked the board to work towards securing a credit rating that would enable the bank go out and source for funds and increase its capital base.
Mr. Ngama disclosed that in order to bring the mostly city-based bank closer to the grassroots, offices had been set up in Yenagoa, Akure, Ishiagu, Damaturu, Yola, Gusau and Makurdi. in addition to the ones in Abuja, Lagos and Kano.
“A lot of Nigerians involved in various trades as producers of export commodities such as cocoa and palm kernel have no access to credit facilities offered by NEXIM. With the opening of six agencies, NEXIM would be brought closer to the people in all parts of the country,” he said.
According to Mr. Ngama, other achievements of the bank include building international collaboration with institutions like the Islamic Development Bank, which signed a memorandum of understanding (MOU) recently for the promotion of export credit insurance scheme.
The Board is chaired by a Deputy Governor (Economic Policy) of the Central bank of Nigeria, CBN, Sarah Alade, with the Director of Trade and Exchange, CBN, Musa Batari, and Director, Home Finance, Federal Ministry of Finance, Kalli Zaji, as members.
Other members include Director of Trade, Federal Ministry of Industry, Trade and Investment, David Adejuwon; representative of the private export interest, Mohammed Babangida; and NEXIM Managing Director, Robert Orya.

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        The launch is expected to take place on Tuesday.
Thirteen years after the unanimous adoption of Resolution 1325 on Women, Peace and Security (SCR 1325) by the United Nations Security Council, UNSC, Nigeria is now set to launch the National Action Plan for its full implementation.
Its adoption marked the first time the Security Council addressed the disproportionate, as well as the unique impact of armed conflict on women by recognizing the under-valued and under-utilized contributions women make to conflict prevention, peacekeeping, conflict resolution and peace-building. It also stressed the importance of women’s equal and full participation as active agents in peace and security.
The event is scheduled to hold on August 27 at the National Women for Development Centre, Abuja, while various stakeholders from the 36 states of Nigeria, international donor agencies, civil society organisations, and the United Nations will be in attendance.
The event is being put together by the Nigerian Stability and Reconciliation Programme, NSRP, in partnership with the Ministry of Women Affairs.
A programme funded by the Department For International Development, DFID, NSRP is an initiative that represents an important opportunity to make significant progress on the issues of women and seeks to ensure that women participate actively in preventing conflict and peace building in Nigeria.
Besides providing support to the Nigerian Government for the drafting, implementation and monitoring of UNSCR Resolution 1325, NSRP also seeks to bring about peace through increased participation of women and girls in peace initiatives and the reduction of the prevalence and impact of violence against women and girls.
Recent reports indicate that peace and development in some parts of Nigeria have been disrupted by an array of security challenges including insurgency, domestic violence, sexual violence, etc. With the forthcoming event, the relevant ministries from the states will chart a compelling road map towards the implementation of this action plan on Women, Peace and Security.
- Premiumtimes

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Washers and Dryers

(Reuters) - Orders for long-lasting U.S. manufactured goods recorded their biggest drop in nearly a year in July and a gauge of planned business spending on capital goods also tumbled, casting a shadow over the economy early in the third quarter.

The report on Monday added to other data for July on industrial production, housing starts and new home sales that have suggested economic growth this quarter will probably not accelerate as much as economists had hoped.

"So far, things aren't looking that great," said Millan Mulraine, senior macro strategist at TD Securities in New York. "We are expecting a bounce in growth, it can still come, but it may not necessarily be in the first month of the quarter."

The Commerce Department said durable goods orders dropped 7.3 percent as demand for items ranging from aircraft to computers and defense equipment fell.

It was the biggest decline since last August and snapped three consecutive months of gains.

Orders for durable goods - items from toasters to aircraft that are meant to last three years or more - had increased 3.9 percent in June. Economists had expected orders to fall 4.0 percent last month.

Non-defense capital goods orders excluding aircraft, a closely watched proxy for business spending plans, fell 3.3 percent, breaking four straight months of gains. It was the biggest drop since February.

Orders for these so-called core capital goods increased 1.3 percent in June. Economists had expected this category to rise 0.5 percent in July.

The decline in demand suggested the manufacturing sector, which hit a speed bump early in the year, will probably not bounce back as quickly as many economists had anticipated.

The report was at odds with a survey from the Institute for Supply Management released earlier this month that showed new orders at their highest level in more than two years in July.

Still, it was the latest sign that economic growth might not accelerate much from the second quarter's 1.7 percent annual pace. Industrial output was flat in July, while residential construction increased less than expected and new home sales tumbled last month.

SHIPMENTS FALL

Troublingly, the durable goods report showed that shipments of core capital goods, which are used to calculate equipment and software spending in the government's measure of gross domestic product, fell 1.5 percent in July.

Shipments had dropped 0.8 percent in June. While shipments tend to decline in July because not all components in this category are seasonally adjusted, economists noted the drop last month was the largest since 2008.

Forecasting firm Macroeconomic Advisers lowered its third-quarter GDP growth estimate by two tenths of a percentage point to a 1.8 percent rate. Barclays cut its GDP growth forecast to a 1.9 percent rate from 2.1 percent.

Economists said while the drop in core capital goods orders could attract the attention of some Federal Reserve officials, it was unlikely the U.S. central bank would step away from a plan to start reducing its monthly bond purchases before the end of the year.

Some blamed the weak July data on a recent spike in interest rates in anticipation of a reduction in the Fed's bond buying, which many think will come at its next meeting on September 17-18.

"When looking for signs that interest rate increases are too much for the economy to handle, durable goods, like housing, are a leading indicator of weakness in the broader economy," said Chris Low, chief economist at FTN Financial in New York.

"We expect the Fed is determined to start reducing the size of asset purchases regardless, in part because the market has already begun to reverse some of the recent rate pressure without the Fed's help."

U.S. Treasury debt prices rose on the data, pushing yields lower, while the dollar fell against the yen. U.S. stocks were up marginally.

Durable goods orders in July were held down by a 19.4 percent plunge in bookings for transportation equipment. That reflected a 52.3 percent drop in orders for civilian aircraft.

Boeing received orders for 90 aircraft in July, down from 287 aircraft the prior month, according to information posted on its website. Orders for motor vehicles gained 0.5 percent after rising 0.2 percent the prior month.

Even excluding transportation, demand for long-lasting manufactured goods was weak almost across the board.

There were declines in orders for computers and electronic products, and demand for electrical equipment, appliances and components also fell. Orders for machinery and primary metals were flat.

Orders for defense capital goods plummeted 21.7 percent in July after hefty gains in the prior months.

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Dr. Nasir Fagge, ASUU President

The Academic Staff Union of Universities, ASUU, yesterday said the threat to implement a ‘No-work-No- Pay’ policy by the Federal Government would not stop the ongoing strike embarked upon by university teachers throughout the country.

The union in a press release titled; “ASUU on government threat of No- Work, No-Pay,” signed by the University of Ibadan branch Chairman, Dr. Olusegun Ajiboye and made available to journalists in Ibadan, described such as an ‘obsolete familiar threat.’

He said members of the union have resolved to pursue the ongoing strike to a logical conclusion to revitalise public universities with or without strike.

He said ASUU members have resolved and are convinced that the current struggle embarked upon by the union is a just one to defend the integrity of the university system in Nigeria and save it from universal mockery.

Ajiboye added that the minimum funding requirement to public universities as at 2013 is N500 billion and not N100 billion as being touted by the Federal Government, adding that anything short of that is unacceptable to the union.

He described Federal Government’s N100 billion offer as one that appears that the government ‘is just begging the matter’ on ground as the money is like a drop in the ocean, insisting that no blackmail or ordering of academic staff will break the ongoing strike.

He said: “The academic members remained resolute to pursue this struggle to its logical conclusion.”

On the N100 billion released as funding to the universities by the Federal Government, Ajiboye noted that this was just the beginning.

He continued: “Going by the ASUU agreement of 2009 and the MoU signed by the Federal Government in January 2012, the minimum funding requirement for the universities as at 2013 is N500 billion and not N100 billion.

“Only the provision of this sum will meet the immediate needs of addressing the rot and decay in public universities in the country. Anything short of this is not acceptable to the union.

“Therefore, rather than engaging in cheap blackmail and unworkable threat, the government should address the issues on the table. That is appropriate funding of the universities, payment of arrears of earned allowances to university workers and other allied matters.

“Anything short of full implementation of the agreement and the MoU remained unacceptable to the union.”
- National Mirror

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Nigeria's Minister of Finance, Dr. Ngozi Okonjo-Iweala

The Federal Government has unveiled plans to establish a special finance institution that will attract funds into the economy at lower interest rates.

The Minister of Finance and the Coordinating Minister of the Economy, Dr. Ngozi Okonjo-Iweala, stated this on Friday in Ilorin during her visit to KAM Industries Nigeria Limited’s multi-billion naira cold steel rolling mill.

She said the bank, which could be established in the next 15 to 18 months, would lend funds to the Bank of Industry, Bank of Agriculture and commercial banks to ensure that interest rates were reduced to a sustainable level for indigenous industries to grow.

Okonjo-Iweala said the government was concerned about the high interest rates being charged by banks and was working to provide an enabling environment that would assist the banks to reduce the rates, especially for indigenous manufacturers and industrialists.

Although she acknowledged the contributions of the banks to the national economy, the minister said the high rate of 20 per cent and above was not favourable for industrial growth.

Okonjo-Iweala said, “We are going to build a development finance institution maybe in the next 15 months to 18 months, a wholesaler that will bring funds and more liquidity into the economy at a lower rate so that it can lend to  the BoI and BoA, other industries and even straight to the commercial banks.

“In the meantime, let our industries not be killed because I have looked at the structure of the economy, it does not warrant 20 per cent interest rate. Government wants the interest rate to come down because we believe that we cannot have sustainable investments at such a high interest rate.

“We are not saying that the banks should not make profits. They are there for profit-making. It must be a commercially viable enterprise but why must they charge 20 per cent? Our inflation has gone from 12 per cent in January this year to 8.7 per cent now, meaning that interest rates, can also go down.”

She also said that the steel sector was critical to the industrialisation of any nation.

The minister noted that in recognition of its importance, President Goodluck Jonathan in January 2012 granted an approval for new and existing industries in the steel sector to import their machineries, equipment, spare parts and raw materials for the establishment of cold roll steel plants at zero per cent duty.

“A 700-tonne capacity per annum cold steel roll mill by Messr. Swesterm Products Company Limited, WAPCO was inaugurated by  President Jonathan early this year and the plant has commenced production and generates 3,000 jobs, Okonjo-Iweala said.”
- The Punch

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The Governors allegedly involved with the new party

The crisis in the Peoples Democratic Party, PDP, took a turn for the worse, weekend, with the decision of seven of the party’s 23 governors to float a new party, the Voice of the People, VOP.

The application for registration by the new party, it was learnt at the weekend, has been filed with the Independent National Electoral Commission, which is processing it. A source in INEC contacted on the development, yesterday, said he was unable to confirm the veracity or the stage of the application.

The party, it was learnt, is receiving the patronage of several chieftains of the PDP.



The seven governors alleged to be behind the new party include all five Northern governors that have engaged in a series of consultation with eminent statesmen, including former heads of state. The five governors are Murtala Nyako of Adamawa ; Rabiu Kwankwanso of Kano; Aliyu Wamakko of Sokoto; Sule Lamido of Jigawa and Babangida Aliyu of Niger State. The five governors are being joined in the rebellion against the PDP by Governor Abdulfatah Ahmed of Kwara and Rotimi Amaechi of Rivers State.

Another governor is also sympathetic to the proposed VOP, but his identity could not be confirmed as at weekend. The inclinations of Speaker Aminu Waziri Tambuwal towards the new party have also not been confirmed though it was learnt that he has been approached.

The decision of the governors to move out of the PDP came ahead of the special national convention of the PDP this weekend. Governor Amaechi who has been suspended has not been invited to the convention but the decision of the other six to pull out of the PDP could come as a blow to the PDP given the electoral weight of the states involved.

With Sokoto, Kano and Jigawa states out of control of the PDP and the Southwest totally out of control of the ruling party, the PDP would be reduced to playing second fiddle in the Northwest and Southwest regions whose total voters’ population is more than 40% of the national voting population.

There were indications that last Friday’s private meeting between Governor Kwankwaso and President Goodluck Jonathan was a last minute bid to stop the governor and his colleagues from the rebellion.

Though associates of Speaker Tambuwal in the House of Representatives claimed ignorance of his involvement or knowledge of the new party, there were nevertheless suspicions that the involvement of Governor Wamakko could inevitably lead the speaker into the emerging party.

Speaker Tambuwal has been severally flayed by some PDP associates for his close ties with opposition political parties.

The decision of the governors to float a party instead of teaming up with the All Progressives Congress, APC, it was gathered,  flowed from deep suspicions between the governors and some of the promoters of the APC.

One of the governors involved in the new party had told Vanguard that General Muhammadu Buhari and Mallam Nasir El-Rufai who are among the champions of the APC were missing when activists fought for democracy during military rule.

Alhaji Abdulfattah Ahmed (KWARA)

Governor Ahmed has been a silent crusader in the PDP. Even though he has not been visible in the campaign against the alleged injustice in the PDP, his voice, has however, not been totally quiet.

His political benefactor, Senator Abubakar Saraki, it is believed, may have greatly influenced his decision. Though he, Saraki has silently offered advice to the Jonathan administration at the highest level, Senator Saraki who was the immediate past governor of Kwara State is known to be a strong political ally of Amaechi. The administration’s on-again-off-again probes of the Saraki regime has also been taken with offence in Kwara.

With Governor Ahmed decamping to the VOP, it would inevitably crumble the PDP in Kwara State. The PDP would now have to play third fiddle after VOP and the All Progressives Congress, APC.

Governor Rotimi Amaechi (RIVERS)

Amaechi has been consistently labelled as the enemy of the people of the South-South on account of an alleged ambition. He has been accused of aspiring to the post of vice-president with the intent of substituting the office of the president now occupied by a Niger Delta man for the office of vice-president.

Governor Amaechi who is generally believed to have performed well in office, especially in the areas of education, health and agriculture, provoked controversy with his ascendancy to the chairmanship of the NGF. As the NGF chairman he had the responsibility of speaking the minds of the governors. Amaechi remarkably had enjoyed some level of personal rapport with the president, and had the closest relationship with the president of all South-South governors until about two years ago.

His refusal to heed the alleged directive of the PDP hierarchy not to re-contest the chairmanship of the NGF brought him into direct conflict with presidential minders and it was a testimony of his political tenacity that he braved the odds to win the contest against the PDP’s favoured candidate for the position, Governor Jonah Jang.

The PDP had left Amaechi’s few options in the last few months. The party structure was taken from him in controversial circumstances and handed over to his one time chief of staff, Mr. Nyesom Wike.

Not long after, the governor was suspended from the party. Only last week, the new leadership of the party under Mr. Felix Obuah commenced an appraisal of public officials elected on the platform of the PDP. The move it was claimed by associates of Governor Amaechi was aimed to effect the expulsion of the governor’s associates from the party on the fact that Amaechi’s associates would not appear before the panel.

Amaechi’s move to the VOP would create a challenge to the PDP in the sense that the party would be denied that leverage of harvesting its traditional two million votes in presidential elections.

Despite Governor Amaechi’s near excellent performance in office, his capacity to swing the whole state in the direction of the VOP would be undermined by the  forces of Mrs. Patience Jonathan and Mr. Wike.

Rabiu Kwankwaso (KANO)

Dr. Rabiu Kwankwaso’s exit from the PDP came despite last minute apparent pleas from President Jonathan last Friday when the two men held a one on one session. Kwankwaso has had a running battle with the PDP since 2010 when he formally launched his campaign to reclaim the governorship he lost in 2003.

Party bureaucrats working in cahoot with some officials in the presidency allegedly sympathetic to Vice-President Namadi Sambo had tried to deny Kwankwaso the PDP gubernatorial ticket on the fear that Kwankwaso would at the end of the second term pose a serious challenge to the hushed ambitions of the vice-president.

It took strong security reports of a possible riot in Kano for the PDP to belatedly restore Kwankwaso’s ticket. Perhaps buoyed by that victory or the messianic spirit that now effuses through his Kwankwasiya movement in Kano, Kwankwaso has turned into a stronghold that no one can stop. He has been consistent in championing regional interests.

Many disaffected PDP stalwarts in Kano would be glad to see him leave as it would give them room to operate. His exit would also gladden many in the APC as it would soften the state for the opposition party.


Gov Sule Lamido
Arguably one of the best performing governors in the country today, Governor Sule Lamido’s politics is following the path of rebellion against feudal oppression he learnt from his late political master, Mallam Aminu Kano.

He has not had any direct political problems with Abuja except the notable suspicion that his sterling performance could galvanise a momentum from stakeholders for him to contest the 2015 presidential election as a way of replicating the Jigawa experience on a national level.

It is not surprising that posters of Governors Lamido and Amaechi are regularly advertised as an item for the 2015 presidential contest.

Given the revolution he has put in terms of infrastructure and the welfare programme, Governor Lamido’s exit from the PDP would be a major loss for the party and he would almost certainly deliver the state across board to the VOP.

Gov Wamakko
Governor Aliyu Wamakko is the political phenomenon whose tentacles attracted President Olusegun Obasanjo in 2007 to the extent that the former president caused his protégée, Alhaji Mukthar Shagari to surrender the PDP’s ticket to the then ANPP gubernatorial candidate.

It was one act of political engineering by Obasanjo without which the PDP could not have dreamt flying its flag in the Sokto Government House.

Governor Wamakko’s problems with the national party are in part an extension of his domestic challenges. Many of his foes who found habitation at the PDP national secretariat helped to stoke the crisis between Wamakko and the national party. It is, however, reflective of his prominence that when the national party announced his suspension on the fact that he did not answer the national chairman’s telephone call, zonal and state officials of the party and also, the Speaker of the House of Representatives, Alhaji Aminu Tambuwal publicly came out to denounce the national party.

One of the greatest dangers in Wamakko’s exit from the PDP is the effect it could have on Speaker Tambuwal. If Tambuwal as it is most likely joins him, the speaker could through his network in the House cause a free fall of the PDP in the House of Representatives.

Though Sokoto State has not been very lucrative for the PDP in presidential contests, the fact that the votes mobilized by Wamakko could go to another party of influence could put the ruling party in more jeopardy.

Gov. Nyako
The challenges in Adamawa arguably were the main factors that exacerbated the crisis in the PDP. When Alhaji Bamanga Tukur sought to displace the PDP structure under the control of Governor Murtala Nyako, PDP governors led by Governor Amaechi quickly came to his support and at one time forced the National Working Committee, NWC to disown Tukur.

But with steadfastness and the presidency backing him, Tukur has held his own against Nyako

But Nyako’ exit from the PDP would be too much of a good news to his traducers. His capacity to rally support for the VOP in the state against the determination of Tukur and the PDP is, however, open to debate.

Gov. Aliyu
For Governor Babangida Aliyu his path of rebellion was like a call to duty. As chairman of the Northern States Governors Forum, NSGF it was his obligation to defend what was alleged as the understanding that President Jonathan would serve only one term in office. Governor Aliyu though without proof went on to say that the president signed an agreement on the issue.

Though some had in the past alleged that the governor could do a deal with Jonathan under the correct understanding, so far no deal has been marshalled.

His exit from the PDP would leave Niger State an open play for all three major parties, the VOP, PDP and APC.

Source: The Vanguard

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Chief Aliko Dangote

The President/Chief Executive Officer, Dangote Group, Alhaji Aliko Dangote, has urged the government to begin the production of petroleum products for export as part of strategies to diversify the nation’s export base.

He made the call in a keynote address he presented at the 9th All Nigerian Editors’ Conference in Asaba, Delta State, on Friday.

Dangote, who was represented by his Chief of Staff, Mr. Joseph Makoju, spoke on ‘Nigeria beyond oil.’

He said with the discovery of crude oil in many African nations, the fall of oil prices in the international market, and the exploration of alternative sources of energy such as shale oil, the nation should seek ways of enhancing its economic sustainability.

One of the strategies he identified was refining and production of diverse petroleum products for export.

With the creation of industries dedicated to the production of petroleum-based products, Dangote said conscious efforts should be made by the government and stakeholders to create a demand for the products in both the local and international markets.
- The Punch

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"Globalization offers incredible opportunities yet exclusion, grinding poverty and environmental damage, create dangers. The one that suffer most are those who have least to start with – indigenous people, women in developing countries, the rural poor, Africans and their children.”

                                                                       Robert Zollick

                                                                    President, World Bank, 2007.

          

Africa is the second largest continent covering about 15% of the total earth surface, making it the second most populous continent in the world. But in all  8 spheres of life, she has been seen as having nothing to boast about.

          

It is a continent blessed with unlimited resources and 70% of her population being youths. Unfortunately, these individuals who glory in perpetual mediocrity are given away to either entertainment or sports.

As we live our lives daily, faced with us is a major challenge of globalization.

Mr. Frank Nweke (Jnr.) at the Nigerian Economic Summit noted the challenges facing Third World Nations in the face of globalization as follows:

-         Political leadership                           - Economic policies

-         Food security                                  - Governance and institutions

-         Human capital development              - Dysfunctional families and societies 

-         Security and rule of law                    - Poverty, unemployment, etc.

    The big question is “What are the chances for economic growth and development for Africa at this modern age of globalization?” Well, this has got me thinking and I would be running a series on this subject subsequently.

     First, we must understand that only Africans can save Africa. All of our challenges cannot be tackled if we don’t embrace the truth about life in the 21^st century and its cultural changes. That is, cultural changes on the 8 spheres of life in order to see the change we want.

LIFE IN THE 21^ST CENTURY

Every generation that wakes up one morning (1^st January) to witness the beginning of a new century is a lucky generation.

The 21^st century cultural changes which has occurred globally due to a shift from the 20^th century to the 21^st century. Cultural changes is society itself, developing interventions driven by our aspirations, frustrations with status quo to create some movement (shift) that would be beneficial to the entire economy.

Without an understanding of the realities of this century, some of our current challenges as a continent cannot be placed in proper perspective. If we can define the true perspective of a challenge, it is much easier to take advantage of it.

It has been observed that the last twenty years of a century gives us a glimpse of what life would look like in the next century. I would share a couple of events that occurred between 1980 – 2000, which gave a glimpse of events in this century:

-         The birth of the worldwide web (internet) in 1984.

-          The fall of the Berlin Wall on 8^th November 1989

-          The release of Nelson Mandela in south Africa on 11th February 1990.

I hope to go into more details about this subsequently. But the important questions to be answered are:

(1) What is the hope for Africa as she thrives in her perpetual state of mediocrity?

(2) How  ready are you to face the truth about this century in order to maximize your purpose and add up productively for the economic renaissance of the African economy.

     Our generation has been privileged to see the beginning of a century and I believe you were born an African for a reason. Please ponder on these things.

    Join me next Monday as we explore more insights for advancement as individuals and as a continent.

 Gospel – Obele is the Chief Responsibility Officer (CRO),  Project Change Initiative (A National Youth Transformation Agent). Reach him on 08130070991, gospel_obele@yahoo.com   

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Nigerian Minister of National Planning, Dr Shamsdeen Usman has disclosed that with the upsurge in the local production of rice in Nigeria, the custom revenue often generated from the importation of the staple food has dropped to about 50 percent.

Shamsudeen made the disclosure in Lagos yesterday at a joint press briefing organised by the ministry and Nigerian Economic Summit Group (NESG) ahead of 19th Nigerian Economic Summit slated for Abuja in September 2013.

According to the minister, the transformation effort of the current administration has been yielding positive result especially in agricultural sector to the point that rice importation which used to be a common phenomenon has indeed dropped drastically.

“The transformation agenda of the present administration has yielded lots of positive results in the area of agriculture. In fact the area of rice production, there has been drastic reduction in its importation. There are even fears that the revenue being generated by custom from the importation has drastically reduced by 50 percent.
This is a fact you can cross-check from the banks and the Central Bank of Nigeria. They are the ones monitoring it,” Shamsudeen said.

The Federal Government had prior to this time set 2014 deadline in the importation of rice as it insisted that the nation has the capacity to produce the staple food in abundance without importing from other countries.
Dr Shamsudeen added that already, agriculture has contributed 40 percent to the nation’s Gross Domestic Product between 2011 and 2012.
- Weekly Trust

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Dr. Sam Amadi, Chairman, NERC

The Chairman of Nigerian Electricity Regulatory Commission, NERC, Dr. Sam Amadi, has assured Nigerians that the challenges faced by Power Holding Company of Nigeria, PHCN, will soon be a thing of the past, as his commission had given licenses to companies that understand the major challenge facing Nigeria in the sector to generate power.
He also spoke of plans to increase power supply in the country to 9,000 megawatts, but he noted that the plans would still not be enough for a country as large as Nigeria.

Speaking during a joint workshop organised by Journalists for Democratic Rights (JODER) and the Nigerian Human Rights Community (NHCR) in Lagos at the weekend, Dr. Sam Amadi, the Chairman of NERC, said the support of Nigerians and civil society organisations was crucial to helping the sector .

While emphasizing on other issues concerning the power sector, he urged the human rights society to get organised and set up a civil society group that would be in a position to represent the communities for public hearing, which should either be funded by the government or organisations.

“This group should create a coalition that would be called ‘consumer advocate’ believing it would affect the lives of the people. Nigerians should come together and partner with NERC through the human right groups in the country to handle the situation and look for a way forward,” he added.

He said the plan was to have 6,000 megawatts in 2012 at N24 per unit cost, adding that everybody was not supposed to pay the same amount because of the state of the very poor people in the society who consume very little energy.

“No one will want to invest on Power Holding Company of Nigeria (PHCN) unless they know how they can get their money back…South Africa for instance, produces 40,000 megawatts with 40 workers while Nigeria produces 4,000 with 40 workers also, which is not rational and people are the ones losing, South Africa has about 42,000 while India is about to add another 100,000,” he said.

Amadi stressed that the N24 cost was changed to N4 per unit and was made possible through subsidy, explaining that low tension and maximum demand have no subsidy because the connection is directly from the transformer.

Also reacting to the increased service charge by PHCN from N500 to N750, he stated that what should bother Nigerians is effectiveness of the service not the charges.

His words: “Although the service charge ordinarily looks much, it is nothing compared to the N180,000 compulsory service charge industrialists pay monthly. What I think we should bother ourselves with now is how effective is the service going to be soon.”

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Minister of Petroleum Resources, Mrs. Diezani Alison-Madueke

Four years after BG Group divested from Olokola LNG project, two other International Oil Companies, IOC, Chevron and Shell, have pulled out, a source has said.

Both companies have a combined shareholding of 39 per cent in the project, having 19.5 per cent stake each in the company.

According to the source, a senior official in the company, the pulling out of the oil majors is due to a number of factors, ranging from the lack of commitment on the part of the Federal Government to pursue the completion of the project and also the non-passage of the Petroleum Industry Bill, PIB

However, efforts to get the comments of the companies regarding the development, proved abortive, as Mr. Precious Okolobo and Mr. Kayode Adeboye, spokespersons for Shell and Chevron, respectively, refused to respond to enquiries put forward to them.

When contacted, both men promised to respond to the issue, but as at the time of going to press, their responses were yet to be received.

BG Group, the United Kingdom’s third-largest natural gas producer, had in August 2009, said it was pulling out from the LNG export project.

The Olokola LNG project was initiated in 2005, with the Nigerian National Petroleum Corporation, NNPC, as the major shareholder, with 46.75 per cent stake, while BG Group, which had earlier withdrawn, has 14.25 per cent.

The source said the project, which is the most cost-effective LNG project in Nigeria, if allowed to come on stream, would have served as a major contributor to Nigeria’s economy development.

According to the source, a number of projects already undertaken at the site, risk being abandoned, such as the pioneer camp among others.

The source said, “The project was going ahead of schedule, all of a sudden, funding ceased.”

The Olokola Liquefied Natural Gas project is located between Ogun and Ondo States. The project was solidified in 2007 with the signing of an MOU between the shareholders. The plan of the project was for gas producers/owners to send natural gas to the facility where it would be converted to LNG for a fee and pumped into owner ships for sale.

The source said the frustration stems from the fact that many years after the memorandum of understanding (MoU) was signed, nothing concrete has been recorded.

According to the source, the MoU and shareholders agreement were signed in 2005 and 2007 respectively, Final Investment Decision was billed for 2007, while production was scheduled to begin in 2009; till date nothing concrete is seen.

“Presently, all the expatriates have left; the only people remaining are NNPC’s staff on secondment to the company and a few contract staff.”
- Vanguard

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Director-General, NIMASA, Mr. Ziakede Akpobolokemi

The Nigeria Maritime Administration and Safety Agency has said talks have reached an advanced stage with the Nigeria Ports Authority for the strict monitoring of entry and exit into the nation’s ports with the aid of Electronic Access Systems.

The Director-General of NIMASA,  Mr. Ziakede Akpobolokemi,  in a statement on Friday, said this was part of the Federal Government’s efforts geared towards effective implementation of the International Ship and Port Facility Security Code.

The NIMASA boss said the agency had recently been appointed as the designated authority for ISPS Code implementation by the Ministry of Transport.

“Since receiving the DA mandate formally with an official letter issued by the Ministry of Transport on May 21, 2013, NIMASA immediately set out to institute a fresh implementation programme as needed. The supposed 90-day ultimatum issued by the United States government to Nigeria requiring compliance with the ISPS Code was in April and was prior to NIMASA being appointed the DA.

“Therefore, it is important to note that the implementation is not being fast tracked for the deadline but has always been an International Maritime Organisation’s requirement, which NIMASA has been working towards attaining but coincidentally falls within the window period issued by the United States Coast Guard.”

Since assumption as the DA for the code implementation, Akpobolokemi said NIMASA had organised a stakeholders’ conference, convened to announce the new arrangement and intimate  the public about the imminent activities and programme to accompany the new ISPS implementation.

He said an action plan was developed and activated to close the reported gaps and this included dispatching competent recognised security organisations to conduct security surveys and assessments aimed at identifying and correcting these deficiencies and other observed vulnerabilities.

He also noted that NIMASA had focused not only on port facilities listed in the United States Coast Guard report but on the generality of port facilities  in the nation’s maritime domain.

This action plan, according to him,  has been given a nod by the USCG and has pledged to support NIMASA’ efforts in ensuring the issues raised are remedied.

“The DA has outlined its implementation framework in the form of a handbook to enable the public understand its agenda with respect to this new implementation regime,” he said.

Akpolobokemi said the agency had also inaugurated a committee  to help oversee the mandate.

The committee members, he said, comprised NIMASA, the Nigerian Navy, NPA, Nigerian National Petroleum Corporation, Nigeria Police, State Security Service, Nigeria Customs and Immigrations, among others.

He said the committee was also taking a stock of the nation’s coastal maritime assets in order to establish the number, location and nature of operations of all port facilities  and jetties in the country.

This audit, he said, would help the DA to capture all port/berth facilities as well as verify their ISPS Code compliance status.

He said, “NIMASA also recently concluded verification inspection exercises on all shore-based PFs in the country. The report of these exercises will form the basis for re-certification of these PFs in line with ISPS code requirements. PFs deemed non-compliant will not be recertified and in extreme cases, attract added punitive action.”
- The Punch

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Director-General, SEC,  Ms. Arunma Oteh

The total value of domestic transactions carried out by investors on the Nigerian Stock Exchange in June, 2013 stood at N143.59bn, representing an increase of N46.74bn or 48.2 per cent over N96.85bn recorded the previous month.

Domestic transactions are made up of both retail investments and institutional investments on the NSE.

Findings by our correspondent from the NSE on Friday, which gave the figures also showed that retail investments accounted for 33.30 per cent of the total transactions, while institutional investments were 66.70 per cent of the amount.

A retail investor, also known as an individual investor or a small investor, is one who buys and sells securities for his personal account and not for another company or organisation; while an institutional investor is a non-bank person or organisation that trades securities in large share quantities.

In the month of May, the total value of equities exchanged by investors stood at N101.03bn, showing a significant increase of N12.52bn or 14 per cent compared to the N88.51bn worth of shares exchanged in the month of April, the NSE stated.

The value of equities represents the value of a company available to owners or shareholders.

Speaking on this, the Chief Executive Officer, NSE, Mr. Oscar Onyema, attributed the increased activities to the rising level of investor confidence in the market.

This, he added, was also visible from the increase in the major market indicators of the NSE, compared to the figures recorded in the corresponding period of previous years.

Onyema said that there had been increased participation in the market by both local and foreign investors, adding that this had translated into more domestic transactions on the Exchange.

He said, “It is important to note at this point that our local investors have started to return to the market and we are very hopeful that we will see more of this going forward this year, we at the Exchange are bullish that the market would pick up further this year.

“I would like to state here that the Nigerian stock market has been cleaned up to give good returns to investors and our market is too big to be ignored by foreign investors who are looking to take advantage of the opportunities offered by the African markets and other emerging economies, and this is what has kept these investors.”

The Managing Director, Partnership Investment Company Plc, Mr. Victor Ogiemwonyi, said the increased participation of investors in the Nigerian market was heart warming.

This, he noted, was an indication of the level of returns that investors had recorded in the market within the year.

“Going forward, we expect the stock market to perform well in 2013 due to a number of far reaching initiatives by the regulators. Also, confidence boosting measures by the NSE in trying to enforce compliance by listed firms in filing quarterly reports will no doubt buoy the market,” he said.

A stockbroker, Mr. Ariyo Olushekun, said a lot of investors were taking position in the equities market ahead of more expected rise in the market transactions.

He said, “We are pleased to note that recovery has already commenced in our market and we are sure that this recovery would be sustained. Already, you would notice that we have significant year-to-date returns in the market.

“All indications point to the fact that we are going to see even more growth in the months ahead, and we can see this from the way that both local and foreign investors have been playing in the market in the last two years, taking advantage of the undervalued prices of major companies.”

In 2012, the total value of equities traded on the NSE was N658.22bn or $4.23bn.

This amount showed an increase of N23.3bn or 3.67 per cent over N634.92bn or $4.18bn recorded at the end of 2011.

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CIBN President, Mr. Segun Aina

The CIBN chief asked banks to cooperate with the Central Bank.
The President of the Chartered Institute of Bankers of Nigeria (CIBN), Segun Aina, on Friday said that Nigerian banks had the capacity to rank among the top 100 in the world.
Mr. Aina told the News Agency of Nigeria that stakeholders in Nigeria’s banking industry should help indigenous banks to develop services that would enable the industry to compete favourably with those in developed countries.
“It is a challenge to bankers to take the Nigerian banking sector from its `300 plus’ position to the first 100.
“One of the aims of our programmes at the institute is to assist banks to design best practices, garnished with good corporate governance and integrity,” he said.
The CIBN president tasked banks to cooperate with the Central Bank of Nigeria to reach the unbanked population through financial inclusion.
Dipo Fatokun, Director, Banking and Payments System Department, CBN, in February, said that the apex bank would reduce the percentage of unbanked population by 20 per cent.
According to Mr. Fatokun, agitations for financial inclusion are valid as no nation can develop if the majority of its population has no access to financial services.
(NAN)

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Minister of Agriculture, Dr. Akinwumi Adesina

Nigerian farmers and processors would make as much as $800 million from the contract.

The Minister of Agriculture and Rural Development, Akinwumi Adesina, said on Friday that Nigeria had secured a contract to supply China with 3.2 million tonnes of dry cassava chips.

Mr. Adesina stated this in a paper entitled: “The Value Chain Roadmap’’, which he delivered at the ongoing 9th All Nigeria Editors Conference holding in Asaba, Delta State.

He said arrangement was ongoing with the African Import/Export Bank to finance the processors of the product with a loan facility of $40 million (N632m) to meet the terms of the contract.

Mr. Adesina said that Nigerian farmers and processors would make as much as $800 million (N128 billion) from the contract.

“We are focusing on Cassava chips for export, production of chips for livestock industry, starch, sweeteners, and ethanol.

“A revolution is on its way in Agbadu in Kogi State, where today, Cargill, the world’s leading manufacturer of food, is working with my ministry and the Kogi State Government to set up a 75,000-tonne starch-to-sweetener plant, that will reduce our dependency on sugar imports.

“Over 15,000 hectares have been secured. They are being cleared for farmers to produce cassava for this plant.

“Nigeria has secured a contract to supply China. At the start of my tenure, I said we have to take on the export market for dry cassava chips.

“We set a target of doing 900,000 tonnes by 2015. I am very delighted to let you know that we have already secured 3.2 million tonnes of dry cassava chips contract from China,” he said.

The minister added that President Goodluck Jonathan had approved a N10 billion Cassava Bread Fund for the training of 5,000 master bakers across the country.

He explained that the money would be used to enhance cassava production, support cassava processors to process cassava flour at a lower cost and to enable other bakers to grow the social marketing of cassava bread.

Mr. Adesina commended the Delta Government for allocating 6,000 hectares for the cultivation of cassava at a proposed processing plant at Abraka.

He said that the plant had the capacity to process 72,000 tonnes of cassava and gave the assurance that the ministry would assist the state government to become one of the largest producers of cassava flour in the country.

(NAN)

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Nigeria's Transport Minister, Senator Idris Umar

Four new locomotives were inaugurated at the Apapa port.

The Minister of Transport, Idris Umar, on Friday said that the Nigeria Railway Corporation, NRC, would receive additional 200 wagons by December to boost transportation in the country.

Mr. Umar said this while flagging-off and inaugurating four new locomotives and two telescopic cranes at the Apapa Port, Lagos.

The Minister, who was represented by Kawu Baraje, the corporation’s Board Chairman, said that the NRC was set to reclaim its lost glory as a catalyst for development in Nigeria.

He said that the corporation would collaborate with the customs and other security agents in order to ensure efficient business activities at the port.

Mr. Baraje, in his remarks, said that the completion of the rehabilitation of the Western line had made it possible for the corporation to introduce freight and passenger trains’ service.

“About one month ago, weekly Lagos-Kano intercity passenger train service was introduced to increase the number of services already provided. Today the corporation is flagging-off a container train service from Lagos to Kaduna and Kano. It is also inaugurating two newly acquired telescopic cranes and four 1800HP locomotive engines,” Mr. Baraje said.

The Managing Director of the corporation, Adeseyi Sijuwade, recalled that container train services in Nigeria were suspended 17 years ago due to poor infrastructure.

Mr. Sijuwade said that the acquisition of the facilities was part of Federal Government’s efforts to sustain the drive to transform the nation’s socio-economic development.

He said that the four locomotives were known as class 23 locomotives in the fleet of locomotives.

“The four new locomotives to be inaugurated are self loaded with on-board computer, double drivers’ panel, and fully air-conditioned cabins. The engine in each of the locomotives is Caterpillar’s 1800 model 3512B engine with capability of a design speed of 100kmph,” Mr. Sijuwade said.

He said that the NRC was now better equipped to deal with emergencies, with the two new 100 tons railway cranes.

In his solidarity speech, Comptroller of Customs at the port, Charles Edike, said that the inauguration of the container traffic train would help to stop the activities of miscreant at the port as well as enhance transaction of goods and services.

“An agent does not have to carry his papers to clear at the police, customs or NAFDAC. Any person can do his classification and business clearance through the portal in the computer. Except there is a mistake that is when the custom or any of the security agencies will look for that person,” Mr. Edike said.

He added that any goods that are prohibited would not be logged into the system because the computer will not allow that.

(NAN)

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(Reuters) - The dollar fell against a basket of currencies on Friday, retreating from a three-week peak against the yen, as a steep drop in U.S. new home sales dented expectations that the Federal Reserve will reduce its asset-buying program next month.

The euro climbed above $1.34 after the data, edging back toward a six-month high set on Tuesday. Signs of an improving euro zone economy have buoyed the currency in recent weeks.

Sales of new U.S. homes slid 13.4 percent in July to their lowest in nine months, hurt by the rise in U.S. mortgage rates, suggesting an economy that may not be as robust as many people think.

"This report makes it look more likely that tapering will come later rather than sooner, perhaps under the leadership of a new Fed chair," said Douglas Borthwick, managing director of Chapdelaine Foreign Exchange in New York.

The dollar slipped 0.2 percent against a basket of six major currencies .DXY to 81.360.

Uncertainty about when the Fed will start reducing its $85-billion per month bond buying program has pressured the dollar in recent weeks. Minutes of the Fed's July meeting showed differences of opinion among members of the Federal Open Market Committee as to when the central bank should act.

Currency speculators pared their bets in favor of the U.S. dollar for a fifth consecutive week in the week ended August 20, data from the Commodity Futures Trading Commission showed on Friday.

The value of the dollar's net long position fell to $13.54 billion, the smallest in two months, from $17.62 billion the previous week. Speculators were bullish on the euro for a third straight week. <IMM/FX>

The euro rose 0.2 percent to $1.3383, helped by comments from European Central Bank policymaker Ewald Nowotny, who said he did not see much reason for the ECB to cut interest rates. He spoke after surveys showed euro zone economic activity quickening.

A second reading of German gross domestic product confirmed that Europe's biggest economy grew by 0.7 percent in the second quarter, helped by domestic demand, fueling optimism Europe's largest economy will outperform i 2013.

The recent pickup has pushed euro zone money market rates higher, and if sustained, is likely to challenge the effectiveness of the ECB's pledge to keep rates low until a full-fledged recovery is in place.

On the week, the euro was up 0.4 percent and 0.6 percent firmer so far in August.

The dollar slipped 0.1 percent to 98.68 yen after hitting a three-week high of 99.15 yen on the Reuters trading platform.

Despite the pullback, the dollar is still heavily favored by investors over the yen this year. The gap between two-year U.S. Treasury yields and their counterpart in Japanese government bonds moved to the widest since March 2012 and should encourage more investors in Japan to buy U.S. Treasuries, analysts said.

Sebastien Galy, currency strategist at Societe Generale in New York, said "there has been a tick-by-tick correlation between dollar/yen and U.S. bond yields, which has certainly supported that pair."

On the week, the dollar rose 1.1 percent against the yen. So far this year, the dollar has gained 13.7 percent against the yen.

The euro rose 0.1 percent to 131.97 yen, after touching a one-month high of 132.42.

The dollar also fell against other currencies, down 0.2 percent at 0.9211 Swiss franc. The Australian dollar gained 0.3 percent to #0.9033.

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Microsoft CEO, Steve Ballmer

(Reuters) - Steve Ballmer, a passionate salesman who has been a central figure at Microsoft Corp for more than three decades, unexpectedly announced his retirement as chief executive on Friday, ending a controversial 13-year reign in which the world's largest software company lost its position as the dominant force in computing.

The surprise move sent the company's share price up 7 percent, reflecting a widespread view that Ballmer is not the man to reverse the fortunes of a company that remains highly profitable but has failed to navigate the transition to the mobile computing era.

Ballmer's planned exit comes just weeks after the company announced a major reorganization and delivered an earnings report that showed across-the-board weakness in the business, including dismal sales of the company's new Surface tablet and a lukewarm reaction to the crucial Windows 8 operating system.

Microsoft said it had engaged the executive search firm Heidrick & Struggles and would consider both internal and external candidates to succeed Ballmer - underscoring the lack of a succession plan at a company where many talented executives have been squeezed out over the years. Ballmer will stay on for up to a year until a new CEO is found.

A close friend and confidant of co-founder Bill Gates since the company's earliest days, the 57-year-old Ballmer formally notified the company two days ago of his intention to retire, according to a regulatory filing. In an interview with the trade publication ZD Net, director John Thompson said the search for a successor had in fact been underway for some time.

"We are well down the path in the search," said Thomson, who is leading a search committee that also includes Gates.

Still, the timing of the announcement and the lack of a succession plan suggest the recent setbacks may have spurred the company's board to act. Gates remains chairman of the board, which has historically followed his lead.

Ballmer himself acknowledged his decision was abrupt.

"There is never a perfect time for this type of transition, but now is the right time," he wrote in a memo to employees. "This is an emotional and difficult thing for me to do. I take this step in the best interests of the company I love."

Ballmer has faced criticism from investors for years as rivals led by Apple Inc and Google Inc came to dominate huge new markets in smartphones, tablets, Internet search and cloud computing even as Microsoft remained reliant on the traditional personal computer.

Activist investing fund ValueAct Capital Management LP said in April that it had taken a stake in the company and shortly after began agitating for a change in strategy and a clear CEO succession plan.

Microsoft, like Apple, has been under pressure from shareholders to hand back more of its cash hoard, which now totals $77 billion.

"This might accelerate more shareholder-friendly capital returns of that cash treasure trove, which would help in the revaluation of the stock to more appropriate levels," said Todd Lowenstein at fund firm HighMark Capital Management, which holds Microsoft shares.

There are no obvious candidates to succeed Ballmer at a company that has only had two CEOs in its 38-year history. Ballmer had once indicated that he intended to stay at least until 2017.

Ballmer can claim some important successes: revenue tripled during his tenure, profits doubled, and the company scored a big success with the Xbox videogame business. The Windows and Office franchises remain highly profitable, and Microsoft is well-entrenched as a vendor of corporate computing products and services.

At the same time, though, repeated forays into mobile phones, tablets and music players have come to grief. The Surface tablet, aimed at the hugely successful iPad, alienated longtime hardware partners even as it failed to generate significant sales, and a phone partnership with Nokia has thus far yielded little for either company.

At the same time, the company has lost billions trying to compete with Google in the Internet search business. Some of Microsoft's corporate computing businesses are also under threat from the industry-wide transition to cloud-based services.

The recent reorganization was aimed at reshaping Microsoft - once primarily a purveyor of packaged software - into a company focused on devices and services, essentially mimicking Apple.

Yet most industry watchers felt it was too little, too late, with some calling on the company to back away from the consumer products sector and focus on serving businesses.

In the ZD Net interview, Ballmer rejected that approach. "Nobody has ever managed to figure out how to build a device for a user that was just enterprise or just consumer," he said. "These core experiences do span 'consumer and enterprise.'"

PASSION AT THE TOP

Ballmer, a forceful, often emotional leader, was regarded a great salesman rather than a brilliant technologist.

A physically imposing presence with a booming voice, his motivational efforts were the stuff of legend: a clip of a semi-hysterical Ballmer screeching and dancing around the stage to rally Microsoft employees has been viewed nearly five million times on YouTube.

Yet the antics sometimes acquired an air of desperation as Apple and other rivals produced industry-changing innovations that Microsoft couldn't match.

"That is the most expensive phone in the world and it doesn't appeal to business customers," Ballmer laughed in a TV interview after the launch of Apple's iPhone in 2007. Five years later, iPhone sales alone were greater than Microsoft's overall revenue.

A Michigan native, Ballmer studied applied mathematics and economics at Harvard, where he met Gates. Several years later Gates persuaded him to drop out of Stanford Business School to become Microsoft's first commercial manager and the company's 30th employee.

To induce him, Gates offered Ballmer part ownership of the company, and when Microsoft incorporated a year later, Ballmer had almost an 8 percent stake. That formed the foundation of his wealth which is now valued at $15 billion by Forbes magazine.

Ballmer remains one of the largest holders of Microsoft stock, with about four percent of the company. His net worth, ironically, soared by nearly a billion dollars on Friday as the stock market celebrated his departure.

Microsoft shares closed up 7.3 percent at $34.75 on Nasdaq on Friday.

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Bill Maldonado, HSBC

The $1.5 trillion decline in equities in emerging markets has left South Korean and Chinese shares the most attractive for Bill Maldonado, who directs stock investments for HSBC Global Asset Management Ltd.

“It seems almost foolhardy in the face of the current volatility to be that positive but in reality, we are,” said Maldonado, Asia-Pacific chief investment officer for the unit of the London-based bank, which manages $413 billion. “The two big outliers today, which look both very cheap and very profitable, are China and Korea.”

While Korean profits are rising, slumping shares have made the benchmark Kospi index the cheapest in Asia, trading today at just 0.97 times the value of its constituents’ assets, Bloomberg reports. The ratio for China’s Shanghai Composite Index (SHCOMP) was 1.41 times, after falling in June to the lowest in 17 years.

Maldonado’s outlook for South Korea and China contrasts with growing doubts about India, where he’s weighing whether being bullish about investing in the nation was a mistake.

HSBC, Aberdeen Asset Management Ltd. and Baring Asset Management Ltd. say some developing-nation valuations are too compelling to ignore after the MSCI Emerging Markets Index slumped 13 percent this year through yesterday. That left it trading at 10.5 times estimated profit, compared with 15 for the Standard & Poor’s 500 Index.

While Asia’s role as the world’s growth engine is waning, economists surveyed by Bloomberg predict expansion of 6.3 percent across the region in 2013. That’s still more than triple the expected global rate.

Cheap Valuations Investors should also buy shares of banks, energy companies and other industries that benefit from a stronger economy, Maldonado said in an Aug. 21 interview in Hong
Kong. Energy stocks are the cheapest among the 10 industry groups in an MSCI gauge of equities in developed and emerging markets when prices are compared to forecast earnings.

Analysts expect companies in South Korea’s Kospi index to boost earnings per share by 58 percent in the next 12 months, according to data compiled by Bloomberg. The gauge climbed 1.1 percent today, while the Shanghai Composite Index declined 0.5 percent. The MSCI Asia Pacific Index advanced 1.1 percent as of 3:37 p.m. in Hong Kong.

China Mobile Ltd., the world’s largest phone company by users, in which HSBC Global Asset Management has invested, traded at 10.3 times estimated earnings yesterday compared with 13.6 times for AT&T Inc.

Growth Outlook The discrepancy in premiums between developed and emerging markets is due to investors preferring liquid large-cap stocks where they can get in and out easily, rather than a rebalancing of world growth or profitability, according to Maldonado.

Growth in emerging economies is still strong despite recent slowdowns, he said.

China, the world’s second-biggest economy, will increase output by 7.5 percent this year, from 7.8 percent in 2012, according to analyst estimates compiled by Bloomberg. India’s economy is expected to expand 5.4 percent in 2014, compared with 5.1 percent last year.

Emerging markets may outperform developed markets over five years, Aberdeen Asset’s chief investment officer, Anne Richards, said at a briefing in Sydney this week. The fund manager likes Indian stocks on their valuations and growth potential, Peter

Elston, Singapore-based head of Asia-Pacific strategy at Aberdeen Asset, told Bloomberg TV India on Aug. 16.

Chinese stocks are attractive as the risk of a sudden economic slump is receding and valuations trail other markets, Agnes Deng, head of Hong Kong and China equities at Baring Asset, said Aug. 12.
- BusinessDay

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