Nigeria’s Central Bank dissolves the boards of Union, Keystone, Polaris Banks

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Africa Headlines

Nigeria’s Central Bank dissolves the boards of Union, Keystone, Polaris Banks – As largely expected, following the report of the special investigator of the former Central Bank governor Godwin Emefiele, raising red flags about the acquisition of the banks, the Central Bank yesterday dissolved the boards of directors of the banks. The action followed what is largely regarded as non-compliance with critical regulatory provisions by the banks and their boards. Part of the statement reads: “This action became necessary due to the non-compliance of these banks and their respective boards with the provisions of Section 12(c), (f), (g), (h) of Banks and Other Financial Institutions Act, 2020. “The Bank’s infractions vary from regulatory non-compliance, corporate governance failure, disregarding the conditions under which their licenses were granted, and involvement in activities that pose a threat to financial stability, among others. None of the banks is publicly listed, so there are no ramifications for public investments. Union Bank was recently delisted after Titan Trust Bank acquired it. The apex Bank also announced Yetunde Oni, Hassan Imam, and Lawal Akintola as new CEOs of Union Bank, Keystone, and Polaris Banks, respectively. 

De Beers to expand Botswana mine with US $1 billion – De Beers, the largest diamond producer in the world is going ahead with its expansion plans for its Jwaneng, Botswana mine, planning to spend US $1 billion. According to reports, the investment will be used for “establishing a drilling platform to facilitate sampling of kimberlite pipes and for developing essential infrastructure to support the project development.” When completed, the mine is expected to produce 9 million carats per year. The mine has been in operations since 1982 and has produced an annual average of 11 million carats per year. De Beers is not only one of the largest companies in Africa, but also one of the oldest, owned by the Oppenheimer family. It is a private subsidiary of the Anglo American, the London quoted natural resources conglomerate.

Morocco to lead UN Human Rights Council despite South Africa’s disapproval – Morocco will head the United Nations Human Rights Council for the next three years despite disagreements on the continent regarding the position. South Africa, especially campaigned vigorously against Morocco position, arguing that the country’s human rights record is awful. The votes in Geneva yesterday between Morocco’s Ambassador Omar Zniber and South Africa’s ambassador Mxolisi Nkosi ended in a 30 / 17 split. The position was regarded as Africa’s turn, but the continent could not agree on a consensus candidate before the vote. Following his success, Zniber said the council’s work was “so important and so fundamental: the promotion of, respect toward and guarantee of human rights as universally recognised”, according to a statement from the body. The UN Human Rights Council is a United Nations body whose mission is to promote and protect human rights around the world. It has 47 members elected for staggered three-year terms on a regional group basis, and it is based in Geneva.

Global

Record U.S. oil production a big headache for Saudi Arabia and OPEC – Oil production in the US is set to reach over 13 million barrels per day over the next two years, according to the country’s Energy Information Administration (EIA). The projection comes amidst the continuous determination of the Saudi Arabia led Oil Producing Exporting Countries (OPEC) to moderate supply for higher crude oil prices. While US have always been the largest oil producer in the world, a growing supply will continue to put pressure on Saudi Arabia and its OPEC allies. US produces about 15% of global oil production while Saudi Arabia produces 13.2%, followed by Russia 12.7%. The expanded production means that the US is exporting more of its crude oil production after becoming a net exporter in 2020. According to IEA, crude oil exports was 9.52 million barrels per day in 2022, while importing 8.33 million barrels per day. 

Software firm SAP to pay US $220m over bribery charges – SAP, one of the world’s software giants has been fined US $220 million over bribery conduct. The bribery conduct involves SAP moving money and gist through third parties for the purpose of wining businesses in South Africa, Indonesia, and Azerbaijan, according to reports. The investigations span 8 years from 2014 – 2022. This is not the first time that SAP, a German firm listed in the US is fined for bribery. It was also fined in 2016 in relation to its activities in Panama. US authorities will not prosecute SAP for three years if it keeps to the terms of the agreement, including the sacking of officials involved in the conducts. 

Chris Christie exits 2024 White House race – Chris Christie, republican and former Governor of New Jersey has withdrawn from the 2024 presidential race. The 61-year-old politician suspended his campaign in New Hampshire on Wednesday, following inability to get traction for the republican candidature to face President Biden in the 2024 presidential elections scheduled for November 5^th. The Republican had faced pressure to step aside and allow the party to unify around a viable challenger to Mr Trump. He did not endorse anyone as he bowed out of the race.