Showing posts with label Russia. Show all posts
Showing posts with label Russia. Show all posts

Sunday, May 28, 2023

MOVIE OF THE MONTH: Without Remorse


Click on the poster to watch it now.

Director: Stefano Sollima
Producers: Michael B. Jordan, Akiva Goldsman, André Nemec, more
Screenplay: Taylor Sheridan, Will Staples
Story by: Tom Clancy
Adapted from: Without Remorse

Without Remorse (also known as Tom Clancy's Without Remorse) is a 2021 American action thriller film based on the 1993 novel of the same name by Tom Clancy. It is directed by Stefano Sollima and written by Taylor Sheridan and Will Staples, and stars Michael B. Jordan, Jamie Bell, Jodie Turner-Smith, Luke Mitchell, Jack Kesy, Brett Gelman, Lauren London, Colman Domingo and Guy Pearce. The plot follows John Kelly, a U.S. Navy SEAL who sets out on a path of revenge after his pregnant wife and unit members are killed by Russian hitmen.

#America
#Russia
#USNavySeal
#actionmovie
#drama
#crime
#thriller
#Amazon
#Amazonprime





Tuesday, December 6, 2022

The World is Full of Unreasonable People

 Every conflict in history has been caused by Rebellion against rationality.

Humans have a preference for irrationality.
That's why the world has never known even one year of peace.
There is always a preventable war going on somewhere.

In the absence of noble ethos
The city burns in the violence of chaos.

The on going invasion of Ukraine by Russia is a rebellion against rationality.
The world is full of unreasonable people.

- Ekenyerengozi Michael Chima,
Author of "The Prophet Lied", "Scarlet Tears of London", "Diary of the Memory Keeper", "Children of Heaven" and other books distributed by Amazon, Barnes and Noble and other booksellers.
#people #london #amazon #books #Ukraine #Russia #war #conflict #rebellion #rationality #noble #ethos #heaven #children #prophet #history #chaos #world
https://www.instagram.com/p/Cl1ubbitW4c/?igshid=MDJmNzVkMjY=

Wednesday, September 21, 2022

The Speech by His Excellency, President Muhammadu Buhari at the 77th Session of the United Nations General Assembly

 


STATEMENT BY HIS EXCELLENCY, MUHAMMADU BUHARI, PRESIDENT OF THE FEDERAL REPUBLIC OF NIGERIA, AT THE GENERAL DEBATE OF THE 77TH SESSION OF THE UNITED NATIONS @UN GENERAL ASSEMBLY, WEDNESDAY 21ST SEPTEMBER, 2022


#UNGA #UNGA77 #NigeriaAtUNGA
#PMBatUNGA

Mr. President,
Heads of State and Government,
Mr. Secretary-General,
Distinguished delegates,
Ladies and gentlemen,

Mr. President,
On behalf of the Government and people of Nigeria, I congratulate you on your well-deserved election as President of #UNGA77. I assure you of the full support and cooperation of the Nigerian delegation during your tenure. I commend your predecessor, H.E Abdullah Shahid for the many remarkable achievements of the General Assembly under his leadership during these challenging times.

May I also congratulate the Secretary-General, Mr. @antonioguterres on his ceaseless and untiring efforts to promote peace, security and development, very much in line with his exalted role.

Mr. President, The first time I could have addressed this August Assembly was in 1984, when I was the Military Head of State of the Federal Republic of Nigeria.

Thirty-one years later, I had the great privilege to personally address the Assembly in 2015, as the democratically-elected President of my country. As I approach the end of my second and final four-year term, I am reminded of how much has changed in Nigeria, in Africa, and in the world, and yet, how some challenges remain.

We are now more severely tested by these enduring and new global challenges, paramount among which are conflicts increasingly being driven by non-state actors, proliferation of Small Arms and Light Weapons, terrorism, violent extremism, malignant use of technology, climate change, irregular migration, and disparities in opportunities for improved standards of living.

Despite the challenging international environment, the United Nations has proved that it can be strong when the will of its members is harnessed for positive collective action. The guiding principle of this extra-ordinary institution is the promotion of peace and security, development and human rights.

Latest in a chain of events challenging these principles is the Ukraine conflict which has already created strains that are perhaps unprecedented for a generation.Such a conflict will have adverse consequences for us all, hindering our capacity to work together to resolve conflicts elsewhere, especially in Africa, the Middle-East and Asia.

Indeed, the ongoing war in Ukraine is making it more difficult to tackle the perennial issues that feature each year in the deliberations of this Assembly, such as nuclear disarmament, the right of the Rohingya refugees to return to their homes in Myanmar, and the Palestinians’ legitimate aspirations for statehood and reduction of inequalities within and amongst nations.

The danger of escalation of the war in Ukraine further justifies Nigeria’s resolute calls for a nuclear-free world and a universal Arms Trade Treaty, which are also necessary measures to prevent global human disasters. In this regards we must find quick means to reach consensus on the Nuclear non-proliferation Treaty with related commitments by nuclear weapon states.

I remain firmly convinced that the challenges that have come so sharply into focus in recent years and months emphasize the call by #Nigeria and many other Member-States for the reform of the Security Council and other @UN Agencies.

We need more effective and representative structures to meet today’s demands that have since outgrown a system designed for the very different world that prevailed at its foundation in 1945. CHANGE IS LONG OVERDUE.

Mr. President, This is the first meeting we are having here in New York without the restrictions that characterised the last three years. The COVID-19 pandemic ripped across National borders like a toxic whirlwind, leaving in its wake a legacy of pain and loss.
Happily, we also witnessed an incredible level of innovation and creativity from those who devised treatments & vaccines. These laudable achievements were underpinned by partnerships and international cooperation.

We have also seen the bravery, care and endurance of health professionals at every corner of the globe.I am happy to note that in Nigeria, our healthcare agencies were able to form effective local management and engaged international partnerships with multinational initiatives like COVAX and private groups like the Bill and Melinda Gates Foundation @gatesfoundation

These efforts helped mitigate the impact of the pandemic and we were mercifully spared the images
of overwhelmed hospitals, overworked healthcare personnel and high mortality which sadly we saw elsewhere.With #COVID19, we saw very clearly how states tried to meet the challenge of a threat that could not be contained within national borders.

The results were mixed; but at its best, cooperation among stakeholders was outstanding. It facilitated solutions that saved countless lives and eased the huge burden of human suffering.That same theme of unilateralism and the promotion of national interest competing with the common cause in the face of an existential threat has been our recurring experience in recent times.

In every address I have delivered to this august Assembly, I have dwelt on the issue of climate change, especially as it fuels conflicts and complicates food security. Climate change reduces opportunity and prosperity which, in Africa, Latin America and some parts of Asia, also contributes to transnational organized crimes.

As part of Nigeria’s efforts at achieving our Global Net-zero aspiration, the current Administration last year adopted a National Climate Change Strategy that aims to deliver climate change mitigation in a sustainable manner.The measures we took at the national level also require climate justice. Africa & other developing nations produce only a small proportion of green-house gas emissions, compared to industrial economies.

Yet, we are the hardest hit by the consequences of climate change as we see in the sustained droughts in Somalia and floods of unprecedented severity in Pakistan. These and other climate-related occurrences are now sadly becoming widely commonplace in the developing world. We are, in effect, literally paying the price for policies that others pursue. This needs to change.

At the #COP26 in Glasgow last year, I did say that Nigeria was not asking for permission to make the same mistakes that others have made in creating the climate emergency. Fortunately, we now know what we can do to mitigate the effects of the climate crisis and the related energy challenge. As a first step, we must all commit to releasing the financing and the technology to create a stable and affordable framework for energy transition.

Development Finance Institutions must prioritise de-risking energy projects to improve access of renew-able projects to credit facilities. There should be no countries “left behind” in this equation.Rocketing energy costs worldwide are, in part, the product of conflict and supply disruptions to Europe and the Americas.

Yet, we are all paying the price. It is, therefore, our expectation that this UNGA 77 & the upcoming COP 27 will help galvanise the political will required to drive action towards the fulfilment of the various existing climate change initiatives.

Another feature of the last decade has been the growing partnership between states and increasingly influential non-state actors.There was a time when the most important event at this Assembly was speech by the world’s most powerful leaders. Now a Tweet or Instagram post by an influencer on social or environmental issues may have greater impact.

Technology offers us nearly limitless opportunities and sometimes runs ahead of the imagination of regulators and legislators. At its best, social media helps strengthen the foundations of our society and our common values.At its worst, it is a corrosive digital version of the mob, bristling with intolerance and division.

When I began my tenure as President in 2015, distinctions were drawn between the experience of poorer countries and those apparently better able to manage the avalanche of unfiltered information.
Nigeria has had many unsavoury experiences with hate speech and divisive disinformation. Increasingly, we also see that many countries face the same challenge. Clearly, data also know no borders.

In confronting these challenges, we must also come together to defend freedom of speech, while upholding other values that we cherish.We must continue to work for a common standard that balances rights with responsibilities to keep the most vulnerable from harm and help strengthen and enrich communities.

Efforts to protect communities from the scourge of disinformation and misinformation must also be matched with efforts to reduce inequalities and restore hope to our poorer and most vulnerable of our communities as a means to stem the many socio-economic conflict drivers with which we are faced.

In spite of our efforts, humanitarian crises will continue to ravage some of our communities. Nigeria, therefore, implores our global partners to do more to complement our endeavours.Indeed, the multifaceted challenges facing most developing countries have placed a debilitating chokehold on their fiscal space.

This equally calls for the need to address the burden of unsustainable external debt by a global commit-ment to the expansion and extension of the Debt Service Suspension Initiative to countries facing fiscal and liquidity challenges as well as outright cancellation for countries facing the most severe challenges.

Mr. President, Your Excellencies, Distinguished Delegates, Democracy is an idea that crosses time and borders.Certainly democracy does have its limitations. The wheels of democracy turn slowly. It can demand compromises that dilute decisions.Sometimes, it bends too much to special interests that exercise influence, not always for the general good, in a manner disproportionate to their numbers.

But it has been my experience that a democratic culture provides a Government with the legitimacy it needs to deliver positive change. In Nigeria, not only have we worked to strengthen our democracy, but we have supported it and promoted the Rule of Law in our sub-region.

In The Gambia, we helped guarantee the first democratic transition since independence. In Guinea-Bissau we stood by the democratically-elected Government when it faced mutiny.And in the Republic of Chad, following the tragic death of its President, the late Idris Deby Itno in the battlefield, we joined forces with its other neighbours & Int'l partners to stabilize the country & encourage the peaceful transition to democracy,a process which is ongoing.

We believe in the sanctity of constitutional term limits and we have steadfastly adhered to it in Nigeria. We have seen the corrosive impact on values when leaders elsewhere seek to change the rules to stay on in power.Indeed, we now are preparing for general elections in Nigeria next February. At the 78th UNGA, there will be a new face at this podium speaking for Nigeria.

Ours is a vast country strengthened by its diversity and its common values of hard work, enduring faith and a sense of community. We have invested heavily to strengthen our framework for free and fair elections.I thank our partners for all the support that they have provided our election institutions.

As President, I have set the goal that one of the enduring legacies I would like to leave is to entrench a process of free, fair and transparent and credible elections through which Nigerians elect leaders of their choice.Mr. President, The multiple challenges that face us are truly  interconnected and urgent, and your choice of this Session's theme, “A watershed moment: transformative solutions to interlocking challenges” is apt.

In keeping with our obligations as Member States of this noble Organisation, we all must do our utmost to work with you toward resolving them. In this regard, I reiterate my Delegation's full & resolute cooperation.

Let me convey my final reflection from this famous podium.We live in extraordinary times with interdependent challenges but enormous opportunities. The pace of change can seem bewildering, with sometimes a palpable and unsettling sense of uncertainty about our future.

But if my years in public service have taught me anything, it is that we must keep faith with those values that endure. These include, but are not limited to, such values as justice, honour, integrity, ceaseless endeavour, and partnership within and between nations.

Our strongest moments have always been when we remain true to the basic principles of tolerance, community, and abiding commitment to peace and goodwill towards all.

I thank you all.









Friday, August 5, 2022

King Vidor

 


Film at Lincoln Center presents King Vidor, a retrospective of the Academy Award®-winning director’s work, from August 5–14.

Tickets are now on sale!  Save 20% on membership and get $5 off all tickets year-round. 

A fascinating and prolific figure whose career bridged the silent and sound eras of Hollywood, King Vidor completed over 50 feature films during a career that spanned nearly seven decades. Vidor’s cinema, rich with idiosyncratic takes on well-trod Hollywood forms, arced across a wide range of genres, from the Western to the musical to the maternal melodrama (late in his career, he even produced a philosophical primer on metaphysics). These movies also made a considerable impression on the critics-turned-directors of Cahiers du Cinéma and the French New Wave, namely Luc Moullet and Jean-Luc Godard. Yet, for all his on-screen achievements, Vidor is seldom given his due as one of the studio system’s enduringly great auteurs. Join us at FLC as we seek to change that with a long-awaited retrospective, a survey of his vast body of work that highlights his most celebrated pictures alongside undersung efforts.

Notable films include but are not limited to: Vidor’s most acclaimed film, The Big Parade, often considered a model for numerous future war movies; Vidor’s adaptation of Olive Higgins Prouty’s 1923 novel Stella Dallas, featuring Barbara Stanwyck as of one of the most indelible heroines of Hollywood’s Golden Age; Comrade X, part spy film, part screwball satire starring Clark Gable and Hedy Lamarr, which prophetically anticipated the invasion of Russia and Ukraine by Germany less than a year after its release; and Duel in the Sun, a Western staged as a grand, Freudian frenzy.

As a special treat for filmgoers and Vidor fans alike, there will be live musical accompaniment to select screenings of four silent films in the retrospective: La Bohème, The Crowd, The Patsy, and Show People, performed by Donald Sosin, well-known for creating and performing music for silent films.

https://www.filmlinc.org/series/king-vidor-retrospective/


Monday, April 4, 2022

Video: Tolulope Dolapo Rocks The American King T-shirt


Popular OAP, #Nollywood  actress and model, Tolulope Dolapo, looking so beautiful in The American King T-shirt.

  
Popular OAP, #Nollywood actress and model, Tolulope Dolapo, has been chosen as Model for The American King T-shirt, becoming the first model of a movie T-shirt in Nollywood and the NIgerian film industry.

Oshikokhai Tolulope Dolapo: official_tdbalsam on Instagram is a fast rising star in the entertainment sphere in NIgeria.

If you haven't heard her voice on radio, you should have seen her gracing the red carpets at celebrity events.

Shhe got nominated for the OAP of the Year of the annual Elite Awards in 2019.

She loves talking; quality conversation and traveling.

She is a graduate of the University of ilorin where she studied Public Health and Preventive Medicine.

She is from Yoruba speaking part of Akoko Edo in Edo State.

The American King T-Shirts Are Free @ Magnificent Cinemas in Lagos 

The American King T-shirts are available now free at the Magnificent Cinemas, Moyosore House, 182 Ikorodu Road, Onipsnu Bus Stop, Lagos. Magnificent Cinemas will give The American King T-shirts to those who buy more than one ticket.

Showtimes of 5 pm and 7.30pm daily.

Don't miss the giveaway T-shirts.

#TheAmericanKing 

#magnificent 

#cinema 

#Tshirts

#Hollywood

#Nollywood

#Lagos

#Nigeria

The American King is the most exciting Hollywood and Nollywood comedy in cinemas in Nigeria starring famous singer Akon with Hollywood stars Andrew Howard, Nick Moran, Dani Renee and Nollywood stars, Nse Ikpe-Etim and Enyinna Nwigwe. 

The film tells the story in 2020, a mysterious Priestess arrives in the USA to fulfill a 400 year old Prophecy: to choose an American King (Akon) who will rebuild an ancient African Kingdom . The CIA scrambles to find information for the President, leading to the unraveling of the most guarded Secret about the founding of the USA. The President running for re-election, has to decide if he can Make Africa Great Again.




Tuesday, August 2, 2011

Re : Russia woos Nigeria on nuclear power plant


The nuclear accident that occurred on 26 April 1986 at the Chernobyl Nuclear Power Plant in Ukraine?


Re : Russia woos Nigeria on nuclear power plant

The Guardian newspaper of Nigeria reported on Monday, 01 August 2011 that Russia is bidding to build Nigeria’s first nuclear plant. It is the most unfortunate thing that will happen to this country. Yes it works in the developed countries, but they have actually been challenged by the difficulties to manage their various nuclear plants and at a great cost too.

We don’t have the technological advancement to handle it. We can’t even maintain our roads, railways, no national carrier, etc. Look at the white elephant project at Ajaokuta and the mismanaged Delta Steel project which was almost taken over by the son of one of Nigeria’s former rulers.

Our tertiary institutions cannot be upgraded where you see our beautiful daughters going to toilet with polythene bags while those who have ruled this country instead of upgrading them have established their own private universities and even boasting that they pay their lecturers in dollars.

Nigerian legislators are earning more than lawmakers in America and Britain and even more than the U.S. President, the most powerful leader in the world today.

The recent Fukushima Daiichi nuclear disaster, the largest of the 2011 Japanese nuclear accidents after the Tōhoku earthquake and tsunami, was an eye opener that even Venezuela abandoned the idea of having a nuclear plant. Japan was able to handle their catastrophe, because of their technological expertise as a super power. They started by using robots before it was safe for any human to get into the nuclear plant complex.

Have we forgotten the Chernobyl disaster? The nuclear accident that occurred on 26 April 1986 at the Chernobyl Nuclear Power Plant in Ukraine?

Think of Nigeria of today, with the madness of terrorist bomb explosions by Niger Delta militants, Boko Haram and other errant groups. I am not talking of corruption that is our religion and indiscipline that is now our culture. How can we cope with a nuclear plant? There is this African adage; if a rotten egg breaks in your hands you will need more water to wash it off. Can we handle the emergencies of nuclear plant accidents?

If the country is serious on how to handle the issue of power supply, there are safer options readily available to be explored.

Solar energy is cheaper and safer to handle which some Europeans and American companies have been using successfully.

The northern parts of this country have vast land mass and sunlight most period of the year. We have been lamenting about desert encroachment, but the Chad basin can be utilized to use solar panels that can generate light for the arid regions.
The coastal littoral states of Niger Delta, including the Cross Rivers and Lagos are all good for wind mills that we have all seen in some European countries. If some street lights in Lagos are using solar panels to operate, then why can’t the government explore that means to take care of our lingering problem of inadequate power supply?

The use of coal will also play a very important role in getting Nigeria light.
The gas being flared before I was born can be converted for energy. How many oil producing countries in the world today still flare gas?

The Russians who laid gas pipelines through Ukraine to other parts of Europe should advise us on how to stop gas flaring and use the surplus liquefied natural gas to supply power in Nigeria instead of exporting it to the developed countries.

To be honest, we cannot maintain a nuclear plant and if Russians build it, how long are they going to stay to keep operating it for us or is this going to be another kind of enslavement which I believe the western world will always want projects that will keep the developing world perpetually under their apron strings in another kind neo colonization.

We launched our communications satellite NigeriaSat-1 into orbit, but of what value is it today? Is it still there since it was even reported missing sometime ago?
For nuclear plant, the answer is capital NO!

We can’t handle it, otherwise one day all of us will be killed due to lack of maintenance and greed.

Our people, animals, farmlands and water will be polluted one day. Remember it is odourless and tasteless. How can we dictate that there is problem?

The cost of taking care of a nuclear accident is costlier than installing it.

Our children will not forgive us for bringing in a rotten egg that we will need more water to wash our hands.
A stubborn fly always follows the corpse to the grave”

~ By Obi Ikeoku.




Thursday, February 5, 2009

The Meltdown of the Nigerian Capital Market: Causes and Consequences


The Nigerian Stock Exchange

The Meltdown of the Nigerian Capital Market: Causes and Consequences

By A.G. Olisaemeka


The current crash of the Nigerian Capital Market as been
unprecedented in its historic evolution since 1960 to date. Its market capitalization has nose-dived from an all time high of N13.5 trillion in March 2008 to less than N4.6 trillion by the second week of January 2009. Besides, the All-Share Index (a measure of the magnitude and direction of general price movement) has also plummeted from about 66000 basis points to less than 22000 points in the same period. The stock prices have experienced a free-for-all downward movement regime with more than 60% of slightly above 300 quoted securities on constant
offer (supply exceeding demand) on a continuous basis. Consequently many of the quoted stocks lack liquidity as their holders are trapped, not being able to convert them to cash to meet their domestic and other investment needs. On the other hand, fresh investors are cautious of jumping into a vehicle that does not seem to have a brake should they wish to disembark.




A number of factors have been blamed for this sorry state of affairs and they include:

1. A Global Phenomenon
The present seeming collapse of the world economy has not excused that of Nigeria. Many stock markets of countries, from USA to Britain, from China to Japan, Russia, France and others are in serious trouble. The world is indeed a global village and the interrelatedness of world economies is very evident that any development in any part of the world affects other parts as well. Consequently, the Nigerian capital
market is not insulated from this global malignant cancer.

2. Pull-Out of Various Foreign Investors
This is another factor believed to have contributed to the continuous fall of the Nigerian stock market. Many foreign investors that already have troubles in their home economies have pulled out of the Nigerian stock market leading to dumping of shares beyond the ability of domestic investors to contain. Supply of equities has, in consequence of this, overwhelmed demand, leading to price fall. According to the Director-General of the Nigerian Stock Exchange, Prof. Ndi Okereke-Onyiuke, "…available statistics shows purchase by foreign investors during 2008 to be in excess of N150.135 billion representing 6.3% of the aggregate turnover. This is a decline when compared with the N256 billion recorded in 2007. Concurrently, total sales during the year were in excess of N556.93 billion, culminating in a net outflow of about N406.8 billion."

3. Lack of Infrastructure and High Production Costs

The cost of doing business is high in Nigeria. Basic infrastructures like good roads, power supply are lacking, leading to high cost of doing business. Many quoted and unquoted companies like Dunlop Nigeria Plc and Michelin Nigeria have closed down shops. Most of the textile industries have also stopped production, leading to the crash of their share prices. The shares of Dunlop Nigeria Plc that sold above N6 per
share a few months ago now trade below N0.6 per share. Evidently, high production costs reduce profitability or increase loses which also impact negatively on the share prices.


4. Impact of Commercial Banks
Following the forced capitalization of banks to a minimum of N25 billion, almost all banks utilized and accessed the capital market to raise funds. Within two years plus, many of the banks besieged the capital market more than once, falling over one another in raising funds through mega offers in a single tranche. The banks competed to suck every liquidity from the Nigerian financial system, thus overheating it. Through enticing marketing strategies, the banks succeeded in their various offers, but left the capital market place bleeding and gasping for breath. The primary market seemed to experience a boom while the secondary market was sucked dry as many investors dumped their shares in the secondary market, in favour of
the primary market offers achieved through bewitching marketing efforts of banks. A total of N2.2 trillion was raised through various public offers dominated by the banks in 2008. Much of this came through disposal of shares in the secondary market.


5. Avalanche of Private Placement Offers

A number of private companies did private placement of their shares at lower prices while they sought or intended to seek quotation of their shares at higher values on the Nigerian Stock Exchange, thus making such private placements very attractive. This lured investors to dispose or dump their shares in the secondary market, purchase the private placements and dispose of same immediately after their listing
on the Stock Exchange at higher prices. The Nigerian capital market thus became a battleground as private companies were falling on each other through avalanche of offers. The regulating bodies were impotent as the Investment and Securities Act, 2007, does not place private companies under their control. A number of companies that did private placements to suck liquidity from the Nigerian capital market,
include: Investment and Allied Plc, Globe Reinsurance Plc, Multiverse Ltd, Swap Technologies Ltd, Starcomms Ltd, Equity Assurance Plc, Oasis Assurance Plc, IHS Ltd, Indomie Nigeria Ltd, Tetrazzini Ltd, Food Concepts Ltd, Geolfluids Ltd, Goldlink Insurance Ltd, Universal Insurance Ltd, Chams Plc, Fidson Health Care Plc, Reltel Wireless Ltd, MTN Ltd, etc. Thus so much liquidity was sucked from the Nigerian
capital market in favour of private placements of private companies, many of which remain unquoted till date, leading to the crash of the Nigerian capital market.

The Director-General of the Nigerian Stock Exchange, Prof. Ndi Okereke-Onyiuke admitted this fact in her review of the performance of the Nigerian capital market when she observed inter alia "…a significant portion of funds that left the stock market for private placement market are still locked-in as many of the issues have not applied to the Nigerian Stock Exchange for listing…."


6. Banks Short-Term Orientation Imposed on Long-Term Capital Market

At a time, banks were financing about 65% of the Nigerian capital market through margin facilities granted to investors and stock broking firms. Many banks abandoned or sidelined their core operation of providing credit to the real sector in favour of "playing" the capital market for short-term speculative activities that seemed to pay off up to March 2008 before the cancer that afflicted the market set in. It is estimated that the total exposure of banks to the capital market in terms of trapped funds is in excess of N1 trillion. Thus, the capital market place became overheated with so much speculative activities of banks that by the time the market caved in,
it became difficult for them to exit through the narrow door as there were no mega investors to "check them out". The Nigerian capital market was no longer seen as a market for long-term funds, but that of a short one. The banks embarked on unguarded short term treasure hunting spree from the capital market as their speculative activities soon overheated the capital market.


7. Inability of the Federal Government to Plot a Bailout Option

There were blunt statements from the Federal Government that it will not intervene directly in the capital market which it sees as a purely private affair. The government lacked the wisdom to examine the socio-economic implications and chain effects of a failed capital market. It therefore became impotent of hatching a bailout plan for its beleaguered capital market unlike the governments of USA, Britain, France and so on, playing politics with such a sensitive issue that borders on "life and death". Thus the government outright refusal to intervene directly in the crashing stock market has depleted any hope of a possible market rebound leading to further loss of confidence among investors. This has sparked off supply of shares by desperate investors who, having seen no hope in the horizon, wish to cut their losses short by rushing to sell at any price.

8. Structural Deficiencies of the Nigerian Stock Market

There appears to be some inadequacies of the Nigerian capital market, especially the absence of market makers. As at third week of January 2009, the Nigerian Securities and Exchange Commission (SEC) has licensed five market makers, but the Nigerian Stock Exchange was yet to also license them due to avoidable administrative bottlenecks. Thus, there are no functional market makers that can provide exit windows for investors who wish to check out.


9. Regulating Inconsistencies and Pronouncements

The apex regulator of the Nigerian stock market, the Securities and Exchange Commission, prior to the crash of the market had alleged publicly that stock market prices were being manipulated and it announced that it was probing some quoted companies, such as Dunlop Nig. Plc, Eternal Oil Plc, Capital Oil Plc, and so on. Following the publication, investors became afraid that such statements coming from
the principal regulator evidenced the existence of unrealistic prices of all stocks, thus provoking panic selling of stocks among investors. This contributed to the crash of the market. Unfortunately till date, not much has been heard of the outcome of the SEC investigation that transmitted shockwaves down the spines of investors.

Opportunities of the Capital Market Meltdown

The current meltdown of the Nigerian capital market has provided excellent opportunities for both local and foreign investors to grab the shares at rock-bottom prices with the greed of a hungry lion. There appears to be no better time to buy the shares in the Nigerian capital market than now. The fundamentals of the Nigerian capital market are still very strong- high earnings per share, high dividends per share, high earning yields, high dividend yields, good bonuses and low price earning ratios. With the complete internationalization of the Nigerian capital market, foreign investors can acquire up to 100% of Nigerian companies and exercise full control. It is believed that the acquisition opportunities offered by the current capital market meltdown in Nigeria can only come, but once-now! Corporate hawks
should be on the prowl now.

10. Pressure from Banks
Following the more than N1 trillion of banks’ funds tapped in the capital market, the banks have become violent on the borrowers of funds (investors and stock broking firms) used to acquire shares. Currently these banks have brought suicidal pressure to bear on these borrowers, compelling them to sell their shares at any price, just to have a moment of respite. This has further increased the supply of shares at ridiculous prices, leading to greater market crash.



Consequences of the Market Melt doom.

The meltdown of the Nigerian capital market characterized by the crash of the market capitalization from a record high of N13.5 million in early 2008 to less than N4.5 trillion in the corresponding period of 2009 has manifested the under listed costs and consequences.

1. Loss of confidence in the Nigeria economy, as many investors prefer to convert their naira to foreign currencies, especially the dollar and hold them through their domiciliary accounts. This has in part led to worsening exchange rate against the naira.

2. Mega losses by investors in the capital market whose total losses are not below 2/3 of their investment before the meltdown. In other words, investors now have less than one third of the value of their investments before the free-for-all fall.

3. Trillions of naira – what remains of the capitalization – tied down in unsaleable stocks. Most of the securities are on serious offer – an indication that there are no willing buyers to check out any investors who wishes to do so. Here investors not only contend with their losses to date, they also contend with a supply glut that they seem trapped with the remaining securities in their sad possession.

4. Over exposure of investors and stock broking firms to banks. Before the meltdown, banks engaged in lending frenzy through margin account. Borrowers were required to contribute 30% while the banks contributed 70% and the entire 100% was used for stock speculation. Currently the market meltdown has wiped out the investors 30% contribution, while half of the banks 70% have also been wiped out. Notwithstanding this scenario, the banks are still calculating interest on daily basis and posting to the debit of the borrowers account investors and stock broking firms, thus to sting perpetual liabilities on the borrowers which only Divine intervention can save these borrower from the hangman – the banks.

5. The market meltdown has also led to credit crunch in the economy as banks do not have enough to lend to the productive sector leading to high interest rate. Given that interest rate – cost of fund to manufacturers is a very significant component of cost of production, this translates to higher prices of goods and services, leading to inflation.

6. The meltdown has also led to the loss of confidence of banks and other lenders on shares as collateral for loan facilities. Shares which were before now readily accepted by banks as collateral are now shunned by them. The few of them that dare to touch them for this purpose only do so with a hundred meter pole, at ridiculous discounts as some of them seek up to 300% cover.

7. The market meltdown has led to loss of depositors funds with the banks. It is estimated that banks are exposed to the capital market in excess of N1 trillion through loss in the value of securities for which margin facilities were granted investors in Nigeria. This has significantly increased the quantum of banks non-performing assets – Toxic assets.

8. The market meltdown has also induced massive withdrawal of foreign investors from the Nigerian financial system, damping the remaining source of hope for possible market recovery.

9. Loss of value of pension Asset. Following the passage of the Pension Reform Act, 2004, pension assets are now privately managed. Under the Act, every employer, whether in the private or in the public sector is obligated to deduct 71/2% of every employee’s emolument, then add another 71/2% totaling 15%. This is remitted on monthly basis to a pension asset custodian under the superintendence of a pension fund administrator. The PFAs manage the pension assets by investing in a variety of instruments including equities. The PFAs also maintain retirement savings account for employees showing the monthly deductions remitted on their behalf as well as the profits or losses arising from their investments. It is estimated that more than N2 Trillion of pension assets has gone down the drain casting doubts on the ability of PFAs to repay retirees their pension and gratuities.


10. Inability of stock broking firms to settle their clients for securities sold. With the current meltdown, many stock broking firms cannot discharge their obligation to their clients. Proceed of shares sold by these stockbrokers for their clients are greedily seized by the banks to whom the stock broking firms are owing billions of naira through margin accounts. Incoming credits or debits arising from sale of securities or purchase of securities can only be settled through the appointed settlement banks. This gives the banks the opportunities to absorb any incoming credits to service huge margin facilities granted to stockbrokers. Thus many stock broking firms rejects sale orders as they know that the banks will seize the credits, leading them to contend with their clients.

11. Loss of Confidence in the regulatory bodies.
There appears to be a loss of confidence on the regulatory bodies of the Nigerian Stock Exchange as well as the Securities & Exchange Commission whose regulatory impotence has been largely blamed for the present woes of the capital market and whose principal officers appear to have exhausted all they know and all they can offer to change the fortunes of the market. Many market analysts believe that they ought to have thrown in the towel instead of trying to stay put and superintend the "funeral mass' of the market as they have nothing again to offer.

12. On a positive note, the Nigerian Capital Market meltdown has compelled investment diversification to other assets, especially real estate and government bonds. Investors now scamper for safety rather than high returns at the expense of possible huge or near total losses which equity investment symbolizes –where the investor either enjoys too much or suffers too much.

The market meltdown: The Way out

Only physical injection of funds can change the direction of the market. No amount of grammar from "this-ism" to 'that-ism" will avail. With the present liquidity crunch and investors loss of confidence, it is not reasonable to expect salvation from individual and institutional investors. A strong government bail-out as obtains in USA, Russia, Britain and Singapore, is the magic wand needed to be waived in the four corners of the market. The issues of government intervention should not be politicized. The Nigerian Capital Market is not a southern affair. Already the effect of its meltdown may give rise to the collapse of many banks whose hundreds of billions of naira are trapped unless urgent government intervention is articulated and hurriedly implemented.

© Nigerians Report 2009.All rights reserved.

~ A.G. Olisaemeka is a chartered stock broker and consultant on financial matters on doing business in Nigeria. He is the Author/Editor of Scientists Discover Hell: As Astronauts Find Heaven distributed by Amazon.