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Banks’ Lending To Private Sector Declines By N600.60bn

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The total loans granted by Nigerian banks to the private sector declined by N600.60bn, from N16 trillion in the first quarter of 2017 to N15.34 trillion, in the second quarter of 2018.
A report by the National Bureau of Statistics (NBS) on Selected Banking Sector Data: Sectorial Breakdown of Credit, ePayment Channels and Staff Strength (Q2 2018), recently released, revealed that credit to the private sector declined for six consecutive quarters.
A breakdown of the total N63.27 trillion credit provided in 2017 by banks to finance activities of the private sector shows that N16 trillion was provided in the first quarter.
The second, third and fourth quarters had N15.7 trillion, N15.83 trillion and N15.74 trillion, respectively.
According to the report, banks lent N15.6 trillion to the private sector in Q1 2018, while the total value of credit allocated by banks stood at N15.34 trillion as at Q2 2018.
Credit allocation to the Oil & Gas sector increased to N3.45 trillion in Q2 from
N3.42 trillion in Q1 2018, while finance to the Manufacturing sector dropped to N2.02 trillion from N2.07 trillion in Q1.
The money lent to the agriculture sector increased to N523.08 billion from N501.6 billion recorded in Q1, Power and Energy dropped to N416.34 billion from N426.5 billion while Mining and quarry also declined to N10.18 billion from N10. 461 billion in Q1.
While credit to Government increased to N1.47 trillion from N1.411 trillion, Trade/General Commerce decreased from N1.054 trillion to N1.044 trillion, Finance, Insurance and Capital Market also dropped to N991.22 billion from N999.491 billion.
Similarly, Real Estate declined to N744.56 billion from N784.228; Information Communication and Technology received N814.57 billion and Construction had N612.85 billion, as at the review period.
The Education sector received N71.8 billion, while Transportation and Storage and other Sectors received N304.4 billion and N361.7 billion, respectively.
Dr Frank Jacobs, President, Manufacturers Association of Nigeria (MAN), said the Deposit Money Banks (DMB) had consistently showed unease to lend to the real sector of the economy.
“One of the greatest challenges facing the manufacturing sector in the country is lack of long-term financing and high interest rate.
“It is quite disturbing to us that the banks are not lending as much as we need because that is the only way to grow the economy,” he said.
Jacobs said the association would continue to engage the banks to bridge the funding gaps.
He commended the Central Bank of Nigeria (CBN) for its plan to implement a special regime to make funds available to the manufacturing and agriculture sectors at nine per cent interest.
However, Jacobs reiterated that to spur economic growth, recovery and industrialisation, funds should be made available to the real sector at five per cent.
Similarly, Mr Muda Yusuf, Director-General, Lagos Chamber of Commerce and Industry (LCCI), said more funds should be allocated to the private sector to enhance productivity, employment and economic growth.
“If lending is declining, it shows that there is a lot of more work to be done. Some of the issues affecting private sector lending needs to be revisited.
“When the economic environment is not too conducive, the risk of lending to the private sector increases,” he said.
Yusuf said fiscal and monetary policies should be created and implemented effectively to reduce the risk of lending to the private sector and to fix the operating environment.
Also, Mr Tunde Balogun, co-founder, Rent Small Small Ltd, a real estate company, said little attention had been paid to the real estate sector in terms of investment and funds compared to manufacturing, agriculture and oil and gas sector.

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NPA Assures On Staff Welfare 

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The Managing Director, Nigerian Ports Authority (NPA), Dr. Abubakar Dantsoho, has said the management will continue to accompany its port infrastructure  and equipment  modernization drive  with the development of the welfare of its personnel.
Dantsoho made the disclosure recently while responding to the commendation by the Maritime Workers Union (MWUN) and the senior Staff Association of Statutory Corporations and Government-Owned Companies (SSASGOC) on the  clearing  of the age-long problem of employee stagnation, when the union paid him a courtesy visit at the Authority’s headquarters in Lagos.
A Statement by NPA’s General Manager Corporate & Strategic Communications, Mr. Ikechukwu Onyemekara, quoted Dantsoho as saying,  “our Port infrastructure and equipment modernization drive will go hand-in-hand with continuous staff welfare improvement”.
The NPA MD disclosed that human capital development constitutes the key strategy for creating and sustaining superior performance under his watch, adding that “talent development constitutes a critical success factor for the actualization of the big hairy audacious goals we have set for ourselves especially in the area of Port competitiveness.
“The only way we can meet and indeed exceed stakeholders’ expectations is to deepen the competencies of our human resources assets and boosting their morale.”
Speaking further, Dantsoho commended the Honourable Minister of Marine & Blue Economy, Adegboyega Oyetola, for approving the strategic proposal of the Dantsoho-led Management team that solved the over a decade-long problem of lack of promotion that had fuelled industrial disharmony.
“I must specially appreciate our amiable Minister for graciously approving the multi-pronged stratagem we deployed that cleared all outstanding cases of employee stagnation by conducting examinations in one fell swoop and instituted timelines to forestall a recurrence of such anomaly”, he sad.
Speaking on behalf of the joint maritime labour unions, the President  of Senior Staff Association of Statutory Corporations & Government-Owned Companies (SSASCGOC), Comrade Bodunde stated, “In addition to clearance of the backlog of stagnated promotions, we also wish to express our appreciation for the increase in productivity bonuses, provision of end-of-year welfare packages for staff, and the revision of the Financial Guide to the Condition of Service, which now addresses our members’ concerns about inflationary pressures.”
Nkpemenyie Mcdominic, Lagos
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ANLCA Chieftain Emerges FELCBA’s VP

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National Secretary of the Association of Nigerian Licensed Customs Agents (ANLCA), Elder Olumide Fakanlu, has been elected Vice President of the Federation of ECOWAS Licensed Customs Brokers Association (FELCBA).
The election took place during the FELCBA Congress, held from Tuesday, June 17th to Thursday, June 19th, 2025, in Freetown, Sierra Leone.
Fakanlu’s emergence as Vice President marks a significant achievement for Nigeria within the regional customs brokerage community.
Apart from Fakanlu, Secretary of the Seme Chapter of ANLCA, Austin Nwosu, was also elected, securing the role of Secretary of Relations with Institutions.
The Nigerian delegation played an active role in the congress, with Michael Ebeatu nominated as a member of the electoral officer team, ensuring a fair and transparent election process.
The three-day congress concluded with delegates undertaking a visit to the Sierra Leone Port, offering insights into the host nation’s maritime operations, followed by a recreational trip to the Tokeh Beach.
The newly elected executives are expected to lead FELCBA in its efforts to harmonize customs brokerage practices, promote trade facilitation, and advocate for the interests of licensed customs brokers across the ECOWAS sub-region.
Nkpemenyie Mcdominic, Lagos
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NSC, Police Boost Partnership On Port Enforcement 

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In a bid to enhance more enforcement in the nation’s Port, the Nigerian Shippers’ Council (NSC) has reaffirmed its commitment to stronger inter-agency collaboration with the Nigeria Police Force (NPF).
The Council said the collaboration is aimed at enhancing stronger enforcement, compliance and improve operational efficiency across Nigeria’s ports.
Executive Secretary/Chief Executive Officer of  NSC, Dr. Pius Akutah, made this known during a visit to the  Inspector-General of Police, Dr. Kayode Adeolu Egbetokun, at the Force Headquarters, Abuja.
The visit, which he said, focused on strengthening institutional synergy, comes in the wake of growing responsibilities for the NSC under the newly created Ministry of Marine and Blue Economy.
Akutah emphasized the critical role of security agencies in supporting port operations and ensuring regulatory compliance.
He called for the posting of police officers to assist the Council’s monitoring and enforcement teams at key port locations including Lagos, Warri, Onne, Port Harcourt, and Calabar.
“The posting will complement the activities of our revived task teams and enhance our ability to enforce standards across the maritime logistics chain”, he said.
Earlier, the Inspector-General of Police, Dr. Egbetokun, assured the Council of the Force’s readiness to continue supporting the growth of the maritime sector.
The IGP acknowledged that compliance enforcement is essential to the successful implementation of Nigeria’s Blue Economy objectives.
“The NSC and NPF are expected to deepen collaboration in the months ahead, with a shared focus on building a secure, efficient, and competitive port environment”, to the IGP emphasized.
Chinedu Wosu
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