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AFRICAN LEADERSHIP

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Leadership £5 $8 N3000 ZAR100

SPECIAL EDITION

Adesola Kazeem

MARCH-APRIL 2020

ADEDUNTAN CEO First Bank Nigeria

125 years of redeﬁning banking and enabling dreams across Africa

CONTENTS

Lord Dolar Popat Africa is a Natural Home for UK Businesses

AKINWUMI ADESINA: Africa's Optimist-in-chief & ALM African of the Year 2019

RAWYA MANSOUR: The Inspiring Journey of Africa’s Female Leader of the Year 2019 -

18 Africa's free-trade agreement needs supporting interventions

Media & Entertainment in Africa A peep into the Future

CRDB: Tanzania’s Emerging Financial Power House Op-Ed: Mthuli Ncube - This is

Zimbabwe’s economy will 64 how overcome its hurdles

Leveraging Sports for National Development

Liberia: Through the Eyes of Cletus Wotorson

Cissé - Why Africa’s Job 50 Ismael Numbers aren’t Growing

FBN - 125 years of redefining banking and enabling dreams across Africa

Category Publisher’s Porch

It is Africa’s time!

No doubt, perceptions about Africa, especially in the west, is far from the realities on the ground. These not-so-correct perceptions have adversely affected trade on the continent as the average western business person would rather trade with other blocs than with Africa, in spite of the tremendous potentials and opportunities that Africa has to offer. As a result, the continent continues to lag behind, on most business leaders’ trade partnership agendas. Between 2014 and 2016, US exports to Africa fell by almost half, from $38 billion to $22 billion. Also, the latest available UK continent-specific export data showed that total UK exports to Africa in 2018 stood at only 2.3%, compared to 46.6% to neighbouring Europe, 24.1% to Asia and 15.3% to North America. However, the prevailing circumstances in most African nations notwithstanding, savvy business leaders and leading governments have continued to sustain the truism that Africa represents enormous opportunities as the last trade frontier. This narrative can be seen in the swelling number of business and investment conferences centred on Africa, and more nations and governments joining the Africa business and investment talk circuit. With the United Kingdom and Russia being the most recent, following the January 2020 UK Africa Investment Summit, and the Russia-Africa Summit in October 2019, these events all underlining the scramble, as it were, for what opportunities that Africa represents.

While this global attention on the continent has not risen out of just sheer love for the African people, but in furtherance of the strategic interests of these nations, which often goes beyond only trade; it does signal the beginning of mutually beneficial relationships that could significantly leapfrog the continent in the areas of critical development indicators much needed in Africa today. Some of these vital areas are in jobs creation, healthcare delivery, education, energy and infrastructural development, among others. To buttress the case for jobs creation, according to the United Nations statistics for 2015, there were over 226 million youth between the ages of 15-24 in Africa, and a staggering 75% of Africans are under the age of 35, making her the world’s youngest continent. Moreover, the share of Africa’s youth in the world is forecasted to increase to 42% by 2030 and more than double the current levels by 2050. These young people need jobs, and every possible opportunity they can get, be it in education, healthcare, and the various fields of human endeavour. They also represent tremendous value and are potentially Africa’s greatest asset. The distinct role of the Dr Akinwumi Adesina led African Development Bank Group in leading investments into Africa is unequalled, through

4 | African Leadership | March - April 2020

the provision of both financial and technical support to its member nations. The quality of data, facts and figures, products generated by the bank, multi-level engagements and partnerships, and her expert advice are unmatched. And the continued impact and success of its flagship Africa Investment Forum, and its 2019 edition with 56 boardroom deals valued at $67.6 billion tabled, is both refreshing and a game changer for the continent. This is the way to go, and as President Adesina proclaimed recently, Africa is indeed bankable. Little wonder he was voted by our readers and Africans from all shades of thought as the African of the Year 2019.

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Moreover, the share of Africa’s youth in the world is forecasted to increase to 42% by 2030 and more than double the current levels by 2050. These young people need jobs, and every possible opportunity they can get.

Publisher’s Category Porch

As we take on the 2020s decade, It is therefore time for Africans to lead the charge for an African renaissance; and for leading OECD countries and the rest of the west to prioritize trade and investments engagements with Africa above aid and every other equally good considerations. While several African countries would still require aid in the coming years, what is more essential and mutually beneficial would be to deepen fair trade engagements and well-thoughtthrough equitable investments agreements that embraces international scrutiny and meets best practices, as this would ultimately result in more jobs creation, technology transfer, improved infrastructure, and a lift in the overall standard of living of the people. It is projected that by 2030, African countries will have the highest number of workingclass populations with greater purchasing power and improved overall livelihoods according to the AfDB outlook 2019, thereby creating a robust middle class with high purchasing power – an amazingly huge market by all standards. This, by implication, means that 30% of Africans by 2030 will have regular income, be able to afford quality education for their children and can provide a paid holiday annually. Also, 45% of Africans are predicted to live in cities which will make the continent the most urbanized continent in the world. Herein lies opportunity for trade with the continent. Africa - an Integrated Trade Region According to the AU, Africa currently has the lowest percentage of intra-regional trade in the world at 18%. However, African ExportImport Bank believes that this figure could more than double within the first decade after implementing the recently signed Africa Intercontinental free trade deal.

Hence, from the foregoing, Africa’s economic attractiveness and appeal continue to be on the rise. Since the African Growth and Opportunities Act (AGOA) was approved by the US Congress in May 2000, and the very first Forum on ChinaAfrica Cooperation in November 2006, major leading economies, are strategically positioning themselves for the future prosperity that is trade and investments in Africa. In closing this piece, what quickly comes to mind are myriads of questions such as – does Africa clearly understand the sheer scope of the opportunities that lie within her boundaries? Do we have integrating mechanisms to maximize the benefits of the FDI these summits may likely generate? Is the future wealth of Africa sustainable, judging by the level of future skills deficiency on the continent today? Do we have our trade deals structured and designed to ensure the terms of engagement with foreign investments are not dangerously skewed in favour of some of the socalled investors, almost making certain “FDIs” look like daylight robbery? How productive are the conversations around the AfCFTA and how ready are the African nations signed on implementing this agreement in individual countries? Answering these questions may well help us structure better deals for the future of our unborn ones, as we explore home grown solutions and strategies for the future we seek. Conclusively, in an age of ever-complex and interconnected challenges and risks, we are greater together than the sum of our individual parts. Let us harness Africa’s investment potentials – let us harness the future today!

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Ken Giami

www.africanleadershipmagazine.co.uk

Category Cover

First Bank Nigeria - 125 years of redefining banking and enabling dreams across Africa The banking ecosystem in Nigeria is in a state of constant change which is evident in the increased use of technology and other innovations to create a seamless banking experience for customers. In this exclusive interview with African Leadership Magazine, Dr Adesola Kazeem Adeduntan, Managing Director/CEO, First Bank of Nigeria, shares with us the impact of technology on the banking industry as well as initiatives created to tackle unemployment in the nation. Excerpts: FirstBank celebrated its quasquicentennial anniversary recently, no doubt a huge milestone. Can you share some of the major milestones of the Bank in the last 125 years?

Dr Adesola Kazeem Adeduntan Managing Director/CEO, First Bank Of Nigeria Limited & Subsidiaries

24 | African Leadership | March - April 2020

Belonging to the club of institutions of over 100 years is in itself a cherished milestone. FirstBank is a pioneer in every aspect of the financial services industry. In over 125 years, we have been supporting and enabling dreams unreservedly. We are trusted as a long-term value provider to all stakeholders beyond the banking halls. We have led the way from mergers and acquisitions to international expansion, from product innovation to brand reinvention. FirstBank is the only Bank that served as a regional Central Bank, surviving two world wars and transiting through two centuries. As a quoted company, FirstBank became the first Nigerian Bank and indeed the first quoted company in the country to hit â‚Ś2 Trillion market

Category Cover

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One major important shift that we have seen in banking today is the transition from a banking/regulator-led service delivery model to a customer-led model. Global trends in the use of technology in other business sectors have led to customers demanding for banking services to be delivered nontraditionally.

capitalisation. FirstBank is the only Bank that has produced two Governors of the Central Bank of Nigeria and continues to feed the public and private sectors with an extremely experienced wealth of human resources. FirstBank has the distinguished position of emerging the best banking brand in Nigeria six years in a row. We are proud of our contributions to the growth and development of Nigeria. FirstBank is undoubtedly woven into the fabric of society and is beyond comparison. Having witnessed Nigeria’s amalgamation, independence, and all the major landmarks in Nigeria’s history, it is safe to say that the Bank is an integral part of the country’s history. What would you say has been the Bank’s role in the country’s socio-economic development? As you are likely aware, FirstBank was here before Nigeria emerged as a unified entity. The Bank has been entrenched in the Nation’s development for over 125 years and its significance as a nation builder and a national icon cannot be overstated. From serving as the Central Bank to

the West African sub-region, providing the earliest loans to the then colonial government, funding the railways, to funding the recent commercialization and privatization programmes of the Federal Government, FirstBank has been at the forefront of national economic development. Through its social responsibility and sustainability programmes, the Bank’s social impact reverberates nationwide resulting in increased appreciation from all stakeholders. We are proud of our sponsorships as the leading light in promoting economic development, education, health and welfare, sports and youth development. We are the foremost partner of the Nigerian Economic Summit Group, the largest public-private sector engagement in the country. We have sponsored the Georgian Cup of the Kaduna International Polo Tournament, for the 100th year in 2019, the oldest sports trophy in Nigeria and perhaps the longest consecutive sports sponsorship in the world; it is a Guinness World Record potential. We have sponsored the Lagos Amateur Open Golf Tournament for almost 60 years. Apart from sports, FirstBank supports education. Today, we have provided structured professorial endowments and infrastructure development in 17 Universities and many secondary schools for 25 years. Our targeted programmes continue to empower women, youth and SMEs to contribute immeasurably to the development of the national and global economy. Beyond these, FirstBank remains the biggest player supporting the real sector in every industry nationwide. FirstBank currently processes over 20% of the financial services transactions in the country, this also coincides with the rebranding initiative carried out by the Bank over the years. What was the idea behind the rebranding innovation and was it responsible for the upsurge in the Banks’ market share? FirstBank has proven itself as a bastion of trust, safety

and security in the past 125 years. Continual rebranding is part of our Bank’s culture. This is necessary as the Bank has evolved over time and perfected the art and science of re-inventing itself to remain dynamic, responsive and relevant to every generation of clients and other stakeholders. The recent brand refresh was another opportunity to reposition our brand to align with both local and global trends in the corporate world. We also needed to create an icon which can be owned. Unlike the former logo we created an icon which can be owned, and this has helped to create the right perception for the iconic FirstBank brand. It is important to note that the refresh was not just a facelift. The Bank has done a lot in upscaling its services to customers. We have provided alternative banking channels for customers in order to decongest the banking halls and enable customers bank with ease and convenience. We have deployed virtually 3000 ATMs and 14000 POS machines. We have over nine million USSD users and 10 million cards in circulation. Due to its ease of use, our Firstmobile app won the Best Mobile Banking App in Nigeria award recently. Our other alternative channels of banking like Firstmonie Agent Banking (over 48,000 agents nationwide) and Chat Banking on Whatsapp are making enormous impact nationwide. The Central Bank of Nigeria (CBN) adopted the National Financial Inclusion Strategy (NFIS) in 2012 to increase access to financial services in the country to 80% by 2020 yet about 41.6% of the adult population are still financially excluded. What role is FirstBank playing to increase access to financial services in the country? FirstBank of Nigeria Limited is at the vanguard of implementing strategies to improve access to finance and enhance financial inclusion in the country. Currently, we have over 48,000 agents in 770 Local Government Areas across the country, actively

www.africanleadershipmagazine.co.uk

PRINCESS VICKY HAASTRUP

54 | African Leadership | March - April 2020

Economy

ENL: A One-Stop Shop for Logistics Solutions in Nigeria PRINCESS VICKY HAASTRUP With over 45,000 square meters of warehouses, 1,098 Human capacity, and over 152 equipment, ENL Consortium is arguably one of the continent’s one-stop-shop for Logistics solutions. ENL, an indigenous company and operators of the Terminals C and D at the Lagos Port Complex, Nigeria, won an award for Terminal and Container Development in the 5th Edition of the Seatrade Maritime Award in 2015. The Consortium has continued to prioritize excellent service delivery and client’s satisfaction. The Executive Vice Chairman, Princess Vicky Haastrup in this interview with African Leadership Magazine, talks about, the company’s strides in the Logistics subsector in Nigeria, excerpts:

The ENL boasts of many years of service and qualitative involvement in Nigeria’s business sector. Of great importance is the revolution coming up in the form of the smart shipping solutions. How is the ENL positioned for this? Smart shipping means self-driven vessel. Vessels that are able to sail and operate completely by themselves. It’s considered to be the future of maritime industry, which has the potential to influence the shipping and port operation positively. It should be noted that smart shipping is far from becoming a reality because regulatory, technical and safety issues have not been addressed. Current rules required vessels to be manned. This technology when put into operation in the

future will be of great benefits to port operation as port value chain will be greatly enhanced. ENL has positioned itself to explore the opportunities the new technology will present in the future for improving operation and optimisation. This definitely will involve huge investment on the part of Terminal operators in new technology compatible with smart shipping revolution as well as training of personnel in this regard.

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It has been very challenging given the ugly gridlock that has bedevilled Lagos ports. However, we have made significant progress in cargo evacuation through the use of barges in the last two years of this novel idea. We’ve so far evacuated 60,073 metric tons of cargo equating about 2400 numbers of trucks.