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Home Blog Page 4976

Liberate the mind via new knowledge at Tekedia Mini-MBA; Begins Sept 12

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Two african young women sitting in a car while have road travel

When was the last time you had a liberation through knowledge? In the last year of primary school, we read a small version of Things Fall Apart by Chinua Achebe. Our teacher, Mr. Chigbu, said if you want to know the full story, you have to register for common entrance to secondary school. Most registered because we wanted to know what happened next to …Ikemefuna, etc.

Quickly, we read African Writers Series #1 and knew what happened. Then in secondary school, in JS2, I read a remarkable novel: Bertha M Clay’s “Beyond Pardon”. Lionel,  Eleanor, Countess Vivian of Lynn – call it the finest novel of all time in its class. I followed that with “A Woman’s Temptation”, another masterpiece by the same author.

Where am I going? Until you bring new knowledge, you will not appreciate the extent of your ignorance. Experience new knowledge with us on markets, from Sept 12. Register here.

Trapped Fund: Emirates Suspends Flights Operation to Nigeria

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Two african young women sitting in a car while have road travel

Emirates Airline announced Thursday that it has suspended operation in Nigeria, more than a month after it made public its struggles to repatriate $85 million trapped fund.

A statement issued by the airline said its inability to repatriate the fund has forced it to take the regrettable action.

“Emirates has tried every avenue to address our ongoing challenges in repatriating funds from Nigeria and have made considerable efforts to initiate dialogue with the relevant authorities for their urgent intervention to help find a viable solution. Regrettable there has been no progress,” Emirates said in a statement.

Last month, the United Arab Emirates (UAE)-based company made what seems to be a final push to get Nigerian authorities to find a solution to the problem – it set August 15 deadline to reduce its flights from Dubai to Lagos from 11 per week to 7 per week. However, Emirates said there has been no progress in reaching Nigerian authorities for a solution.

In response to the development, Nigeria’s aviation ministry says it is “working hard” to release trapped funds.

Aviation Minister Hadi Sirika told CNN that it is not the first time Nigeria was withholding funds belonging to foreign airlines but there are efforts to see that the funds are released.

“In the past, Nigeria has demonstrated the capacity and the willingness and fairness to resolve this type of issue. It happened when we took over power in 2015: There were lots of blocked funds, about $600 million at that time. It was at a time when the country was in a recession and there were dwindling revenues coming to the country, yet we honored our obligation to pay out all those blocked funds,” he said.

“Unfortunately, due to many factors and reasons, the monies piled back up. Government is working hard to ensure that these monies are released, not only for Emirates but all airlines affected,” Sirika further said, adding that “mechanisms will be put in place to ensure that this does not occur in the future.”

Emirates $85 million, which has been rising by over $10 million monthly according to a letter the company sent to Sirika, is part of the $450 million belonging to foreign airlines that has been trapped in Nigeria for long.

The International Air Transport Association (IATA) said in June that efforts to repatriate the fund for its affected members have been futile. IATA’s Vice President for Africa and the Middle East, Kamal Al Awadhi, had described talks with Nigerian officials to release the funds as a “hectic ride”.

The difficulty in repatriating the fund has been attributed to the overwhelming shortage of foreign exchange in Nigeria. Africa’s largest economy has been grappling with the effects, which have seen its currency, the naira, freefalling against the dollar.

There is concern that the situation is going to further hurt the Nigeria’s aviation sector that is currently reeling on the mercy of high cost aviation fuel which has made airline fares largely unaffordable. There is also concern that more airlines, whose funds are also being held, will tow the path of Emirates.

Al Awadhi said “this is going to damage the country down the road.”

Emirates Suspends Flights To And From Nigeria, From September 1st Over Trapped Funds

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Dubai-Based airline Emirates, has recently disclosed that it will suspend all flights to and from Nigeria, from September 1st, due to the inability to repatriate millions of dollars of its funds from Africa’s most populous nation.

Emirates disclosed that it has been relentlessly battling to repatriate its millions of dollars in revenue from Nigeria, which prompted them to take the difficult decision to suspend flights to and from Nigeria, in order to limit further losses, citing circumstances beyond its control.

It was reported that Nigeria had to restrict access to foreign currency for imports and for investors seeking to repatriate their profits, as the nation currently tackles a severe dollar shortage. The country is said to have about 90% of its foreign exchange from oil, but is currently struggling to produce due to crude oil theft and years of under-investment.

Nigeria currently withholds $450 million in revenue that international air transport operating in the country has earned. The Vice President of the International Air transport association for Africa and the Middle East, Kamil Al Awadhi, displeased with this act, disclosed that talks with Nigerian officials to release the funds have been a “hectic ride”. Speaking about the trapped funds, some Nigerian officials have blamed the foreign currency shortage for the failure of the federal government to repatriate the airline’s revenue.

The International Air transport Association (IATA) disclosed that $1 billion of revenue belonging to foreign airlines is being withheld across Africa, although Nigeria is the only country where the value of blocked funds has risen.

They disclosed that the $450 million revenue withheld by the Nigerian officials is the largest amount withheld by any African nation. As every means to dialogue with the relevant authorities in Nigeria was to no avail, which was what prompted Emirates airline to take the difficult decision of suspending flights to and from Nigeria to limit further losses and impact on operational costs that continues to accumulate in the market.

Although Emirates airline has disclosed that it is ready to re-evaluate its decision of the situation over the trapped funds’ if there are changes in the coming days. Just recently, it has been reported that the trapped funds have now increased from the previous amount of $450 million to a whopping $600 million.

There are predictions that if the funds remain withheld, it may likely rise to $1 billion by December. This act by the federal government of Nigeria has sparked reactions from stakeholders across the sector, with many warning that if the blocked funds continue to pile up, it may pitch the FG against countries of foreign airlines.

Despite claims from some Nigerian officials that the trapped funds are beyond the government, due to the global scarcity of forex, several others have accused the federal government of failing to comply with the international trade agreement existing in the Bilateral air service agreements policy between Nigeria and the countries of foreign airlines.

This has forced some of these airlines to no longer sell their fares cheaply in Nigeria, as they have also stopped selling their flight tickets in Naira.

Women’s only ride-hailing platform, HerRyde, launches in Abuja

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Two african young women sitting in a car while have road travel

Women’s only ride-hailing platforms are beginning to gain widespread adoption, as there is a significant number of them emerging in different countries of the world. Just recently, HerRyde, a women-only ride-hailing firm launched operations in Abuja, Nigeria.

CEO of HerRyde Monsurah Oluwafuyi, COO Muhammad Muaza, and product officer Kamaldeen Ibrahim, disclosed that the launch of the platform was to provide a safer option for female drivers and riders, while also creating work opportunities for women.

The company disclosed that the idea behind launching a women only ride-hailing platform, was due to the issue that too many women are harassed and abused on ride-hailing trips, which is becoming alarming. In a bid to curb this menace, they had to launch a ride-hailing platform only for women drivers and riders to ensure their safety.

It has been disclosed that women are more at the receiving end of such incidents by predominantly male drivers. Earlier this year, Uber was sued by 550 women in the United States who claimed they were sexually assaulted by male drivers on the ride-hailing platform.

The complaint filed, alleged that female passengers in multiple states in the U.S were sexually assaulted, sexually battered, raped, Stalked, Harrassed, etc by Uber drivers with whom they had been paired through the Uber application.

Also, another ride-hailing app Lyft, received more than 4,000 reports of sexual assaults during rides from 2017 to 2019, of which 1,800 reports were recorded in 2019 alone. It was reported that more than half of the incidents in 2019 were reported as “non-consensual touching of a sexual body part”.

Due to the incessant complaints of sexual harassment against women on ride-hailing platforms, some of these companies have had to put out a mixed bag of preventative policies to address sexual harassment.

Although such policies seem not to be enough, as more women continue to complain that despite their reports to the company, some of these sexual predators are still allowed to drive using the platform, thereby continuously attacking female passengers. Most of the assaulted ladies have accused some of these ride-hailing companies of prioritizing “growth over customer safety”.

Also, female riders of these ride-hailing companies have disclosed that they are left to fend for themselves despite complaints of abuse to relevant authorities. A female elementary school English teacher Tara, who resides in Charleston, South Carolina, and drives for Uber shared her horrible experience.

According to her, late one night she picked up a male passenger outside of a bar. A few minutes into the ride, the man suddenly unzipped his pants and exposed himself to her. Tara disclosed that she reported the passenger to Uber, as the company assured her that she would not be paired with the rider again, but unfortunately, nothing was done about his ability to use the app in the future.

Several months later, she was outside the same bar in Charleston, waiting for a surge in requests with some other female drivers. They got talking, and she narrated her horrible ordeal to them. To her surprise, both women told her that they had recently picked up the same passenger weeks after Tara said she had reported him.

Due to the levity and lackluster attitude, most of these ride-hailing companies have shown in handling sexual harassment cases, this has spurred some ride-hailing companies to launch a women-only feature.

The women-only ride-hailing app is no doubt beginning to gain widespread adoption across the world. In Saudi Arabia, Uber launched the “women preferred view” feature for female drivers, which provides them with a choice in selecting a preference to be connected to women riders.

Also, ride-hailing platform Bolt, has adopted a women-only feature on its platform which is currently active in five countries across the globe. More ride-hailing companies are now beginning to include women-centered services to ensure their safety, which is a great development.

Build the Empires of the Future in Nigeria Today

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This is an entrepreneurial  cambrian moment and Nigeria is being redesigned by young innovators who are building empires of the future. Their technologies will eat frictions and save markets and sectors. From education to healthcare, from financial services to logistics, from construction to real estate, and beyond, it would be exciting.

The empires of the future are being built – and the next club of Nigeria’s richest will be techies. The military has already made way for the industrialists. The stable state now is that as we move into the application utility era, tech will rule infinito.

The world is numbers, say the Greek philosophers. Those who build with numbers will win the world. I am an #engineer; I am building. Forget the gossip, go and build and advance your nation. You would be rewarded – by the market.

By 2030, I expect 80% of richest Nigerians to have made money from tech.