Business

Tensions soar over high cost of living in Benin Republic

Published

6 months ago

May 10, 2024

admin

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.

READ No Christmas, New Year street carnivals in Osun- Police

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.

READ World Bank to approve $1.5bn loan to Nigeria by September 26

– 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.

READ Another Chibok girl rescued with baby in Borno

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

Related Topics:Camille Segbedji COST OF LIVING Delphin Agossohou REPUBLIC OF BENIN Roberte Akododja World Bank

Up Next

Nigerian Army arrests soldier with 756 rounds of ammunition, grenades hidden in bag of rice

Don't Miss

Army releases rescued Chibok girl, three children to Borno govt

Click to comment

Business

‘We are changing lives every day’ — Oando restates commitment to a sustainable energy future for Nigerians

Published

2 hours ago

November 2, 2024

admin

In continuation of his dedicated mission to ensure a robust sources of energy for Nigerians, Wale Tinubu, the CEO of Oando, has emphasized the company’s long-standing dedication to transforming lives through accessible energy sources.

“This is an energy story we’ve been writing for over 30 years. We are changing Nigeria’s lives every day by providing access to varied energy sources that power industries and fuel the economy,” Tinubu stated.

Tinubu, in a compelling narrative about Nigeria’s energy landscape, conveyed a strong sense of purpose, asserting that Oando has a mission to demonstrate the capacity of indigenous companies to lead the nation’s energy sector.

While drawing a parallel to Nigeria’s independence in the 1960s, he explained, “We see this as the emancipation of Nigeria’s indigenous oil and gas community.

“With a deep understanding of the resources beneath the surface, Oando is determined to excel and embrace meritocracy. We do not understand limits; we strive for the best,” Tinubu affirmed.

He noted that the company adheres to global standards in operations and maintenance, while at the same time showcasing its commitment to quality and excellence.

Highlighting the significance of the Okpai Phase I and II projects, Tinubu explained that the facilities boast a combined capacity of approximately 1GW, marking them as “the most reliable and efficient plants in the country.

“Since 2005, Okpai has contributed over 43,435 GWh to the national grid, enabling communities across Nigeria to thrive. Okpai Phase II is set to make an immediate impact, with an expected injection of 300 MW into the national grid, followed by an additional 180 MW anticipated by the third quarter of 2025.”

Tinubu emphasized that the $800 million, 480 MW facility is centered on the company’s mission: “Building our nation remains at the heart of what we do.”

He went further to highlight Oando’s commitment to local communities, noting that over 8.5 GW of electricity has been delivered since the commissioning, and stressing the company’s role in fostering employment.

“We have achieved 12,332,594 LTI-free man-hours as of September 2024,” he proudly announced.

Oando continues to lead the charge in the energy sector, taking significant strides in illuminating the lives of Nigerians and securing a sustainable energy future for all.

READ Sexual Harassment: New York Governor Andrew Cuomo resigns

Business

Marketers can’t lift petrol without NNPC approval – Dangote refinery

Published

1 day ago

November 1, 2024

admin

The Dangote Petroleum Refinery says it has not received any payment from the Independent Petroleum Marketers Association of Nigeria (IPMAN) for refined petroleum products.

In a statement on Thursday, Anthony Chiejina, the company’s group chief branding and communications officer, told IPMAN that the refinery cannot be held accountable for payments made to the Nigerian National Petroleum Corporation (NNPC), adding that no approval has been received from the national oil firm on the sale of petrol to marketers.

On October 29, Aliko Dangote, founder of the Dangote Industries Limited (DIL), said the refinery currently holds over 500 million litres of petrol, but oil marketers are not buying the product.

In a counter-response, the IPMAN said its members had been unable to load petrol from the Dangote refinery for days.

Speaking on Channels Television’s Sunrise Daily programme on October 30, Abubakar Garima, IPMAN’s president, said the association has paid N40 billion to the NNPC, but still cannot source the product.

READ Sexual Harassment: New York Governor Andrew Cuomo resigns

In the refinery’s latest statement, the organisation said it currently has no direct dealings with IPMAN.

“Although discussions are ongoing with IPMAN, it is misleading to suggest that they (IPMAN members) are experiencing difficulties loading refined products from our Petroleum Refinery, as we currently have no direct business dealings with them,” the refinery said.

“Consequently, we cannot be held responsible for any payments made to other entities.

“The payment in mention has been made through the Nigerian National Petroleum Company Limited (NNPCL), and not us.

“In the same vein, NNPCL has neither approved nor authorised us to release our Premium Motor Spirit (PMS) to IPMAN.”

Dangote refinery reiterated its ability to meet the nation’s demand for all petroleum products, including petrol, diesel, and aviation fuel.

The Chiejina said the refinery is capable of loading 2,900 trucks per day and has also been evacuating petroleum products by sea.

READ No Christmas, New Year street carnivals in Osun- Police

He advised IPMAN to register with the refinery directly and make direct payments, noting that there is “more than enough petroleum products to satisfy the needs of their members”.

“It is instructive for all stakeholders to refrain from making unfounded statements in the media, as that could undermine the economic re-engineering efforts of His Excellency, President Bola Ahmed Tinubu,” Chiejina said.

The company also encouraged all stakeholders to collaborate and heed Tinubu’s advice, promoting a unified approach rather than engaging in media conflicts and unnecessary propaganda.

On October 10, IPMAN had asked the NNPC to sell PMS to its marketers at the Dangote refinery rate or refund the oil marketers’ money.

During the television programme, the president of IPMAN said the marketers’ monies have been with the national oil company for three months.

Business

Wema Bank Releases Q3 2024 Unaudited Results

Published

2 days ago

October 31, 2024

admin

… Reports Profit Before Tax of ₦60.62billion, a 174% YonY Growth

Wema Bank Nigeria (“Wema” or “the Bank”)) has released its unaudited Consolidated Financial Statements for the period ended September 30th 2024, to the Nigeria Exchange Group (NGX). The Bank reported profit before tax of ₦60.62bn, representing an increase of 174% over the ₦22.13bn recorded in the corresponding period in 2023.

Wema Bank’s balance sheet remained well structured with total assets growing by 38% to ₦3,084.27 trillion in Q3 2024 from ₦2,240.06trillion in FY 2023. The bank also grew its deposit base year to date by 23% to ₦2,292.30bn from ₦1,860.57bn reported in FY 2023. Loans and Advances grew by 25% to ₦1003.28bn in Q3 2024 from ₦801.10bn in FY, 2023. NPL stood at 3.19% as at Q3 2024.

The bank recorded an improved 3rd quarter performance as Gross Earnings grew by 91% to ₦288.32bn (Q3 2023: ₦150.90bn)). Interest Income was up 81% y/y to ₦229.11bn (Q3 2023: ₦126.67bn). Non-Interest Income up 144% y/y to ₦59.21bn (Q3 2023: ₦24.23bn).

READ UPDATED: Lagos residents protest rising cost of living crisis

Return on Equity (ROAE) of 38.62%, Pre-Tax Return on Assets (ROAA) of 2.64%, Capital Adequacy Ratio (CAR) of 14.06% and Cost to Income ratio of 60.47%, speak to the resilience of the brand.

The Managing Director/Chief Executive Officer of the bank, Mr. Moruf Oseni said, ‘our Q3 2024 numbers speaks to our resilience despite a tough operating environment. We will sustain our growth trajectory into 2025. The performance is headlined by impressive improvements in Profit before Tax which grew strongly by 174%. The growth of Gross Earnings by 91.07%, Total Assets by 38% and earnings per share at 328.1kobo shows the core improvements to our balance sheet. In addition, our cost to income ratio at 60.48% has witnessed significant improvement from the previous period.