6 BUSINESSDAY C002D5556 NEWS Why I proposed 1% private sector contribution to healthcare delivery - Dangote President of Dangote Group of Companies, Aliko Dangote, has given insight into why he is advocating private sector operators in Nigeria commit 1 percent of their profit annually to funding healthcare services. Dangote suggested to members of an expanded National Economic Council meeting recently the need to have a trust fund to revitalise the nation’s sorry public health sector similar to the education trust fund operated at the federal level, and security trust fund run in some states. Dangote expressed the conviction that such trust fund would go a long way to help the nation’s health sector and improve the people’s wellbeing in the face of multiple challenges confronting the nation with limited resources available to government. His advice came on the day the co-chair, Bill and Melinda Gates Foundation, Bill Gates, picked holes in the economic policy of the Federal Government, when he said “the Economic Recovery and Growth DANIEL OBI Plan (ERGP) being bandied by the government does not address the needs of Nigerians.” Gates said the ERGP was just a mere document that identified the need to invest in people but which had failed to reflect so in its implementation, adding that though Nigeria had economic potential, it had to be maximised through investment in people as the greatest resource. The Microsoft founder stated emphatically that Nigeria was a dangerous country to give birth, as it was the fourth worst country in maternity mortality rate in the world, only better than Sierra Leone, Central African Republic and Chad. He therefore urged the government to invest in healthcare, education and human capital because Nigeria’s fiscal system is built on low equilibrium, which in turn produces low level of service. Dangote, while speaking with newsmen in Lagos at the weekend on the proposal for 1 percent profit for health care trust fund, said for Nigeria to invest in her people, “the same people must have good health and it is glaring that government does not have enough resources to execute all health care infrastructure, hence the need for private sector to come in.” Such fund could be administered by government and private sector together for maximum impact, just as being done in the educational sector, he said. While expressing his readiness to offer necessary assistance to government on how to come about the trust fund, he enjoined private sector operators to be ready to join hands with government “to achieve the overall objective of improving our public health sector and turn around our human capital availability.” Dangote had through his foundation, the Dangote Foundation committed billions of Naira on critical intervention in the health sector by building hospitals and equipping teaching hospitals. His Foundation is currently building the biggest maternity wards in Aminu Kano specialist hospital and state of the arts Surgical Operating Theatre and Diagnostic Centre (SDC), at a cost N7 billion, which soon be completed. Mining: Why international investors are cautious of Africa … the good news of DAMEA’s intervention Africa’s resource wealth is incontrovertible. According to statistics, 30 percent of the world’s mineral resources – gold, iron ore, platinum, bauxite, cobalt, graphite, manganese, nickel, phosphate, etc., – are deposited by nature in Africa. While it is true that the mining and natural resources of a country can contribute meaningfully to growth, development and transformation, there is a growing question of the impact of mining on the environment, host communities, social structures, tourism, and other industries when juxtaposed with the benefits accruable from its operations. There is also concern about policy and regulatory uncertainty, such as the view that investors are at the mercy of the politics of the day in the countries and those in power. Analysts cite examples of the recent mining legislature change in Tanzania and South Africa exposing the fragility of investment decisions relating to so-called “frontier markets” such as Tanzania, and emerging markets, such as South Africa. Only last year in Tanzania, the third or fourth largest gold producer in Africa, the President, John Magufuli, signed into law the Natural Wealth and Re- Obaseki swears-in two Edo High Court justices Edo State governor, Godwin Obaseki, has sworn-in Orobosa Omotoso (female) and Terry Momodu (male) as justices of the State High Court. At the swear-in ceremony in Government House, Benin City, Obaseki said he remained committed to strengthening the judicial system to ensure the delivery of justice and sustenance of the democratic system in the state. He said, “Without an effective judicial system, it will be impossible to sustain the democratic system. In sources Bill 20<strong>17</strong>, and the Natural Wealth and Resources Contracts Bill 20<strong>17</strong>, on July 3, 20<strong>17</strong>. The laws, which have far-reaching consequences for foreign companies with investment in Tanzania, were hurried through the Tanzanian Parliament in a matter of weeks. Before the new legislation, however, there had been extensive investment in Tanzania’s gold mining industry, with a large percentage of this focused on prospecting operations, which are, of course, critical in the creation of a pipeline that can later be converted into mines. The uncertainties flowing from the new laws are likely to dramatically impact junior mining companies who are focused on exploration. It will also make capital raising exercises extremely difficult, if not impossible. Where ownership of mining assets in a company is put at risk, this is likely to scare off potential investors, and make existing investors exercise extreme caution. On June 15, 20<strong>17</strong> the South African minister of minerals, Mosebenzi Zwane, published the “Reviewed Broad-Based Black Economic Empowerment Charter for the South African Mining and Minerals Industry, 2016”. The response was immedi- Edo State, we are proud of the reputation of the judiciary as a separate arm of government, which is independent of other arms and has continued to discharge its duties with integrity and fairness. “We will continue to celebrate the fact that despite the allegations made against judges in other parts of the country, the judiciary in Edo State has remained scandalfree and continues to enjoy welldeserved respect.” The governor expressed optimism that the newly inducted ate, dramatic and far-reaching. It is estimated that mining stocks lost approximately ZAR50 billion in value, following the announcement, with the Rand losing ground. The Chamber of Mines, representing more than 90 percent of the miners in the South Africa mining industry, has challenged Zwane, through court processes. Whilst there was significant discord amongst various stakeholders, the most recent developments, where a group of NGOs has applied to the High Court, to join the court process initiated by the Chamber of Mines is a further significant positive step in South Africa’s democracy. While the South African and Tanzanian examples are of concern, this does not mean that Africa is un-investable. To the contrary, Africa has a significant and often thriving mining and minerals industry, providing millions of jobs and opportunities. It is likely that demand for certain precious metals will continue to grow, and that the demand for the so-called “battery metals” will grow exponentially. All of this creates opportunities for investors, provided that the investors have a proper understanding of the various risks that are faced in these investment opportunities. judges would put in their best towards building on the legacy of their predecessors. In her remarks, Justice Omotoso expressed appreciation to the state governor for the effort of his administration to repositioning the state judicial system. She pledged commitment to discharge her duties as a justice in the state High Court without fear or favour and in line with global best practice. Omotoso and Momodu were called to the bar in 1989 and 1991, respectively. Tuesday <strong>17</strong> <strong>Apr</strong>il <strong>2018</strong>
Tuesday <strong>17</strong> <strong>Apr</strong>il <strong>2018</strong> C002D5556 BUSINESS DAY 7