In the heart of Cotonou’s large Dantokpa market, Diane Makpenon’s family corn shop is less busy than usual these days.The business run by her mother like others in Benin’s economic capital has been slowing down as they struggle with rising prices.

The price of a kilo (2.2 pounds) of corn, one of the country’s most widely consumed foods, rose from 200 CFA francs (0.30 euro cents) to 450 CFA francs, before falling again to 400 CFA francs within a few days, according to traders.

A 120-kilo bag is now sold for between 33,000 (about 50 euros, nearly $54) and 36,000 CFA francs compared to barely 30,000 CFA francs before.

The increase in food costs in the small West African nation prompted Benin’s labour unions to call for an unprecedented series of protests against the cost of living — the first was dispersed by police firing tear gas and a second banned by the authorities.

A third planned for Cotonou on Saturday has been granted authorisation by city officials.

Benin’s consumer prices and economy have been hit by fallout from the Ukraine war and by the closure of the border with major trading partner Niger to the north following a coup there last July.

Neighbouring Nigeria’s naira currency devaluation and abrupt end of a decades-long fuel subsidy have also impacted Benin’s fuel prices and trade.

“Going to the market has become torture. Everything costs us so much that we are helpless,” said Roberte Akododja, 42, owner of a bistro in Cotonou’s popular Gbegamey district.

“Even in restaurants, you have to pay more for usual meals or settle for small portions,” said Delphin Agossohou, a private administration executive.

Camille Segbedji, one of the leaders of the National Union of Secondary Teachers and Administrative Personnel of Benin (SYNEPAS), criticised the absence of a “fair agricultural policy” from the government in the face of declining purchasing power.

The World Bank said Benin’s economy in 2023 was still resilient despite the external economic shocks the country had to weather.

At a cabinet meeting this week, the government temporarily suspended shipments of cereals outside the country in a bid to ease pressure on prices.

– In the streets –
Political protests have become less common in Benin since President Patrice Talon came to power in 2016, with some major opposition leaders either in exile or jailed.

Critics regularly accuse the cotton magnate of taking an authoritarian turn in a country once praised as a beacon of pluralism in West Africa.

Protesting over high costs, the main unions organised a demonstration in Cotonou on April 27 which was banned by the police who used tear gas to break up the rally.

Nearly 30 demonstrators and leaders of the trade union movement were arrested on that day, before being released a little later.

“The workers are struggling to make themselves heard. We have demands, but no way of expressing them,” explained nurse Arsene Olory-Togbe, aged 48.

On May 1, the Confederation of Benin Workers’ Unions (CSTB Benin), the country’s main trade union, rallied in a new demonstration, which was immediately banned by the authorities.

This time, 72 demonstrators were arrested, including 21 placed in pre-trial detention for cannabis consumption.

“Our motivations relate to the unhappiness among citizens today. The high cost of living and the decline in purchasing power,” said Anselme Amoussou, general secretary of CSA Benin, the country’s second-largest trade union organisation.

Despite the ban and cancellation of demonstrations in recent days, trade unionists have once again called on the population to protest against the high cost of living on May 11 in the economic capital of Benin.

“No worker is happy to take to the streets, it is never light-hearted. But in certain situations it is necessary,” said teaching union representative Segbedji.

For CSA union leader Amoussou workers just wanted dialogue, a more human approach from the government and the guarantee of labour union rights.

“Wondering whether the peaceful march will be repressed is sad for a democratic country like Benin,” he said.

AFP

It is no longer news that Oando Plc Group Chief Executive, Jubril Adewale Tinubu, has been instrumental in the transformation of Oando group into a multinational energy player across the upstream, midstream, and downstream sectors.

Over the years, he has succeeded in positioning Oando as a leading integrated energy solutions provider in the continent of Africa.

From its current 25,000 barrels per day, Oando expects to double its oil equivalent output to 50,000 barrels per day upon finalizing its landmark deal with energy giant Eni.

This projection, disclosed by Oando Chief Operating Officer, Mr. Alex Irune to S&P Global Commodity Insights, in a recent interview, comes with the expectation of further scaling up to 100,000 barrels daily by 2029 through new drilling and security improvements.

The disclosure follows the announcement eight months ago of a historic agreement with Eni for the acquisition of 100 percent of Nigerian Agip Oil Company Limited (NAOC Ltd).

The proposed deal, awaiting ministerial consent and regulatory approvals, would elevate Oando’s stake in OMLs 60, 61, 62, and 63 from 20 percent to 40 percent.

This reflects a shift in Nigeria’s oil and gas sector, with indigenous firms taking over from departing International Oil Companies (IOCs).

Irune, in a recent interview, downplayed concerns about approval delays.

He stated that the focus is on “ensuring the country isn’t materially impacted” and that “indigenous players are able to take advantage of this opportunity.” Oando, poised to become a major domestic producer, is “on track” to close the deal this quarter, Irune added.

S&P Global Commodity Insights estimates the acquisition value at $500 million.

It covers four oil-producing blocks (OMLs), a joint venture with the Brass terminal, onshore exploration concessions, and power plants.

Eni currently holds a 20 percent operating stake alongside Oando and the Nigerian National Petroleum Company Limited (NNPC), which holds the remaining 60 percent.

The company’s dual listing on the Nigerian and Johannesburg Stock Exchanges underscores its regional and global reach.

Tinubu’s influence extends beyond Oando’s direct operations. Through Ocean and Oil Development Partners (OODP), co-owned with Omamofe Boyo, he indirectly holds a significant 66.67 percent stake in Oando to solidify his position in Nigeria’s energy sector.

The Central Bank of Nigeria (CBN) has ordered all banks to start charging a 0.5 per cent cybersecurity levy on all electronic transactions within the country excluding 16 listed banking deals.

According to a circular signed by the Director, Payments System Management Department, Chibuzo Efobi; and the Director, Financial Policy and Regulation Department, Haruna Mustafa; the cybersecurity would commence two weeks from May 6, 2024.

The apex bank, in the circular, directed to all commercial, merchant, non-interest, and payment service banks, among others; to start the implementation of the cybersecurity charges after two weeks of the information.

“The levy shall be applied at the point of electronic transfer origination, then deducted and remitted by the financial institution. The deducted amount shall be reflected in the customer’s account with the narration, ‘Cybersecurity Levy,’” the circular partly read.

However, the CBN listed 16 banking transactions exempted from the new cybersecurity levy.

The exempted transactions are listed below:

1. Loan disbursements and repayments

2. Salary payments

3. Intra-account transfers within the same bank or between different banks for the same customer

4. Intra-bank transfers between customers of the same bank

5. Other Financial Institutions instructions to their correspondent banks

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6. Interbank placements,

7. Banks’ transfers to CBN and vice-versa

8. Inter-branch transfers within a bank

9. Cheque clearing and settlements

10. Letters of Credits

11. Banks’ recapitalisation-related funding – only bulk funds movement from collection accounts

12. Savings and deposits, including transactions involving long-term investments such as Treasury Bills, Bonds, and Commercial Papers

13. Government Social Welfare Programmes transactions e.g. Pension payments

14. Non-profit and charitable transactions, including donations to registered non-profit organisations or charities

15. Educational institutions’ transactions, including tuition payments and other transactions involving schools, universities, or other educational institutions

16. Transactions involving bank’s internal accounts such as suspense accounts, clearing accounts, profit and loss accounts, inter-branch accounts, reserve accounts, nostro and vostro accounts, and escrow accounts.