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Hunger ravages Nigerian as consumable cereals record 253%, 51% price jump

by Leading Reporters
written by Leading Reporters

Farmers decry worsening insecurity, FG promises intervention
The cost of food items in Nigeria has been recording significant increases in the past one year.

A survey carried out by our correspondents in markets across Lagos, Ogun and Federal Capital Territory showed that staple food commodities have witnessed astronomical price hikes.

Findings showed that within a one-year period, the cost of 50kg of beans rose by about 253 per cent, a basket of tomatoes leaped by 123 per cent, while the price of 50kg of rice rose by 51.48 per cent.

Other commodities such as bread, garri and onions also witnessed sharp increases in their prices during the period under review.

The food commodities surveyed included rice, beans, garri, maize, tomatoes, onions and bread, while the time frames examined were July 2020, January 2021 and July 2021.

In July 2020, the cost of one mudu of rice was N420.63, while 50kg of rice was between N21,125 and N28,500.

A price increase occurred in January 2021, with one mudu of rice rising to N500, while 50kg of rice was between N23,750 and N24,500.

The increase continued until in July 2021 as one mudu of rice rose to N1,100, while 50kg of rice increased to an average of N32,000.

As of July 2020, one mudu of beans cost N305.48, while 50kg of beans was N12,750.

However, by January 2021, the price of a mudu of beans had climbed to N373, while 50kg of beans was N30,000.

The increase continued in July 2021, with one mudu of beans costing N900, while 50kg of beans had risen to N45,000.

Between July 2020 to January 2021, the cost of a 1kg and onions rose from N180.56 to N411, while one big bag of onions climbed from N17,000 to N21,500.

In July 2020, the cost of one mudu of garri was N247.62, while 50kg of garri was N11,500.

A price increase occurred in January 2021, with one mudu of garri selling for N300, while 50kg of garri sold between N10,750 to N11,125.

The increase continued until in July 2021 with one mudu of garri going for N450 while 50kg of garri sold for N14,500.

In July 2020, a mudu of maize was sold for N186.89 to N184.52, while 50kg of maize was N17,500 to N17,250.

A price increase occurred in January 2021 with one mudu of maize selling for N216 to N230, while 50kg of maize was N20,000 to N20,167.

The increase continued in July 2021 with one mudu of maize selling N400, while 50kg of maize sold between N22,000 and N24,000.

In July 2020, the cost of 1kg of tomatoes was N284.49, while a big basket of tomatoes was N8,500.

A price drop occurred in January 2021 with 1kg of tomatoes going for N152, while a big basket of tomatoes sold for N6,500.

However, as of July 23, 2021 when this report was filed, 1kg of tomatoes cost N1,000, while a big basket of tomatoes was sold for N19,000.

The cost of bread continued to rise steadily within the review period.

As of July 2020, the cost of one loaf of bread was N375. The same unit was sold for N500 in January 2021 and N600 as of July 2021.

The composite food index (a measure of food inflation) rose to 21.83 per cent in June compared to 22.28 per cent in May 2021, according to the National Bureau of Statistics.

This rise was caused by increases in prices of bread and cereals, potatoes, yam and other tubers, milk, cheese and eggs, fish, soft drinks, vegetables, oils and fats, and meat.

In January, food inflation was 20.57 per cent, compared to 19.56 per cent in December 2020. This rise was caused by increases in prices of bread and cereals, potatoes, yam and other tubers, meat, fruits, vegetable, fish and oils and fats.

In June 2020, food inflation was 15.18 per cent. An increase caused by increases in prices of bread and cereals, potatoes, yam and other tubers, fruits, oils and fats, meat, fish and vegetables.

According to the NBS, food inflation on a year-on-year basis was highest in Kogi (30.34 per cent), Enugu (25.18 per cent) and Kwara (24.78 per cent), and lowest in Bauchi (18.97per cent), River (18.92per cent) and Abuja (17.09per cent) in June, 2021.

On month-on-month basis, food inflation was highest in Jigawa (2.67 per cent), Edo (2.43 per cent) and Cross River (2.16 per cent), and lowest in Lagos (0.14 per cent), Borno (0.06 per cent) and Kwara (0.02 per cent) in June, 2021.

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BusinessHeadlines

Quality Control, Solution to Building Collapse – BSTAN GROUP

by Leading Reporters
written by Leading Reporters

Kenny Folarin, Abuja

The President, BSTAN GROUP, Dr. Becky Olubukola has identified Quality Control as a panacea to reduce the incidences of Building Collapse in the country.

Olubukola while speaking in Abuja on Friday at the signing of four new brand Ambassadors for BSTAN GROUP noted that quality control, regulations and right orientation for the public will reduce incidences of building collapses and housing deficit in the country.

According to Olubukola, regulatory agencies in the building and construction industry must ensure regulations and enforce sanctions to defaulters.

“For me it is about quality control, building what people can live in while thinking about yourself, the COREN and other regulatory agencies should come out with regulations that can stop the deficit in housing and collapse of structures”.

Olubukola further stated that people should be orientated and be abreast of information in building and construction so as not to fall victim of building collapse.

“People should also have orientation about building, when an engineer serve you a bill, negotiate, don’t say the Bill is too high and you give a bricklayer,

“it is for both parties as far as we need to put regulation and sanctions in the industry, there is also a need for the people of Nigeria to know the right thing about good building”.

Meanwhile, Olubukola urged the new ambassadors to be of goodwill and represent the standard and quality of BSTAN GROUP brand anywhere they go.

“For our newly appointed ambassadors, we are expecting goodwill, good information, spread good news and represent the quality and standard of BSTAN GROUP brand, give out information to people on how they can afford affordable homes”.

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Business

CBN’s decision on Naira to unlock $1.5 bln loan from IMF

by Leading Reporters
written by Leading Reporters
  • In the last five years, Naira has been officially depreciated more than 92% from N197 to a United States dollar in 2015 to N379 as of April but then scrapped and replaced by NAFEX rate priced at N410.25.
  • CBN will continue to drive the Naira-for-Dollar scheme to foster the inflow of dollar from abroad

Nigeria’s central bank decision to unified foreign exchange (FX) rates is expected to unlock a $1.5 billion loan from the International Monetary Fund (IMF) which required the convergence of the monetary policy authority’s multi-tiered exchange rates as a pre-condition for disbursement.

Move to unified rates comes after the Federal Government of Nigeria officially asked the Lawmakers to approve $6.18 billion foreign loans to shore up weak revenue amidst a heavy capital spending plan, and budget 2021 deficit financing.

As the Central Bank heeds the call for unification of its multi-tiered exchange rates, analysts said the convergence will partially resolve Nigeria’s foreign currency (FCY) liquidity challenges.

MarketForces Africa reported the monetary authority has replaced the official rate for which government conducts transactions with Nigerian Autonomous Foreign Exchange (NAFEX) rate. The CBN also adjusted the rate quoted on its website to reflect its non-lousy devaluation.

In the last five years, Naira has been officially depreciated more than 92% from N197 to a United States dollar in 2015 to N379 as of April but then scrapped and replaced by NAFEX rate priced at N410.25.

The Nigerian external reserves continue free-falling due to scarcity of foreign currency inflow, dropping to $34.3 billion, which barely covers 5 months of import for a nation that relies solely on foreign inputs for further production.

In the first quarter of 2021, Nigeria’s economic size grew marginally at 0.51% as against 0.11% reported in the fourth quarter of 2020. Analysts believe growth remains tepid on account of the widened output gap.

Both inflation and unemployment rate have been high, resulting in stagflation but the CBN remains unfazed by this weak macro condition as policy rates were held steady for the next two months

Nigeria’s FX Rates Convergence Will Partially Solve FCY Challenges Godwin Emefiele, CBN Governor
The MPC Decisions

The Monetary Policy Committee (MPC) maintained status quo on all policy rates at the end of the 2-day MPC meeting, which ended yesterday, 25th May 2021.

Meanwhile, the decision to hold rates steady was unanimous, based on the fact that the committee members considered achieving high economic growth to be a major priority at an early post-recession phase, regardless of the above-trend inflation rate.

Thus, the Monetary Policy Rate was maintained at 11.5%. The asymmetric corridor around the MPR was retained at +100bps/-700bps. The Committee also voted to retain the Cash Reserve Requirement (CRR) at 27.5%, and liquidity ratio at 30.0%.

Key considerations of the MPC

Chapel Hill Denham noted that the key considerations of the MPC include surge in Covid-19 cases in Brazil and India and the emergence of vaccine-resistant variant of the virus in some African countries like Tanzania and South Africa.

“This poses a threat to the reality of IMF’s growth projection of 2.5% for 2021. On one hand, India, being a major buyer of Nigeria’s crude oil has cut back on demand, and Nigeria is at risk of new cases if international travel is not properly managed”, analysts said.

Policymakers believe that economic growth will foreshadow a slowdown in inflation rate as the apex bank reiterated that rising inflation trend was due to pandemic-driven supply chain disruption.

The committee discussed that the fundamentals for growth in 2021, which they consider strong and a low MPR will foster the pace of growth, which will increase domestic production and decelerate the inflation rate.

However, there was concerns about stagflation, representing a mutual co-existence of high inflation rate and low production in Nigeria amidst high record of joblessness.

In addition, the monetary policy committee factored in the fragile economic recovery, lagging population growth, saying the Q1-2021 growth of 0.51% remains fragile and insufficient to match the 2.6% population growth in 2020/21.

It also put into consideration the impressive performance of CBN intervention programmes, which require low-interest rates for subsistence.

The Anchor Borrowers’ Programme, National Youth Investment Fund, Mass Metering Programme, and others have helped to engender economic recovery in Q1-2021, and enabling them through an abased interest rate environment is critical at a time like this.

Meanwhile, there was apparent worry about persisting security challenges, which have fallout on food production as they noted that abating the impact on food security will require a ‘generous’ interest rate environment to maintain agricultural financing.

Chapel Hill Denham said the CBN is enthralled by the fragile economic recovery and the presence of shocks hence, the decision to hold rates steady to realise more growth before tilting monetary policy focus back to inflation.

It recalled three committee members had, in the last MPC meeting, voted for a rate hike on the back of escalating inflation rate and the need to nip the growth in the bud to avoid spiraling the existing case of stagflation.

Analysts said with inflation rising from 16.47% in Jan-2021 to 18.17% in Mar-2021, the justification to take a hawkish monetary policy stance was ominous.

“Our view prior to the MPC meeting was that the committee members will place a higher weight on inflation as a basis to vote a rate hike. Besides, the decline in headline inflation rate by 5bps to 18.12% in Apr-2021 was not considered significant to sway the conviction of a rate hike.

“However, the language of the MPC on Tuesday is that growth is a top priority in a post-recession phase and since the current MPR had supported recovery, it is in the best interest of the economy to maintain this position”, Chapel Hill Denham stated.

The firm said the CBN will continue to monitor inflation development in the coming months with the expectation that the retention of the MPR will drive domestic production activities, which will result in a drop in the inflation rate.

Besides, given the decline in the Apr-2021 inflation rate, Chapel Hill Denham’s analysts said there is a possibility of another marginal drop in inflation in May and June 2021, given the base effect. Subsequently, inflation can pick up and the CBN would be ready for another MPC meeting by then.

The investment firm said with the CBN updating the NAFEX rate of N410.25 on its website, the much anticipated convergence between the official and NAFEX rate has been achieved. The Minister of Finance, Zainab Ahmed, said the government had also adopted the NAFEX rate for government transactions.

While the CBN is yet to make an official statement, the Governor stated that the managed-float system will not be replaced with a freely-floating exchange rate, but the market will be monitored to adopt the right FX strategies for the economy.

Furthermore, the convergence between the official and the NAFEX rate is expected to partially resolve some of the liquidity challenges experienced by the CBN and also reduce pressure on the external reserves.

However, analysts added that the CBN will remain enmeshed in a complex policy ‘triangle’ of trying to achieve a single-digit inflation rate, high rate of economic growth sufficient for post-recession and exchange rate stability.

“Against these odds, what we think the CBN will do ahead of the next MPC meeting is to continue to intervene in the foreign exchange market to keep rates stable while leveraging on external support (remittances and foreign portfolio investment) to achieve reserve accretion.

“The CBN will continue to drive the Naira-for-Dollar scheme to foster the inflow of dollar from abroad.

“While doing this, the CBN will strategically allocate capital across different sectors under its different real sector interventions. With an attempted grasp on GDP and exchange rate, inflation rate is expected to maintain the April-2021 downside inflection”, Chapel Hill Denham said.

“While the CBN might have kept policy rate constant at the MPC meeting, we note that financing conditions remained considerably tight, owing to weaker level of liquidity in the money market, as well as a more hawkish balance sheet policy by the CBN”, it added.

Analysts explained that the CBN has used its balance sheet to tighten bank and non-bank liquidity, specifically using the issuance of Special bills, Cash Reserve Requirements (CRR debit), and OMO auctions to mop up liquidity in the financial system and raise market interest rates.

As a result, the one-year open market operations and Nigerian Treasury bill auction stop rates have risen to 10.10% and 9.75% from 6.75% and 0.15% in November 2020, respectively.

“We do not expect to see a reversal in this trend and retain our expectation of a 50-100bps rate hike in 2021. In our view, the consolidation of additional growth in the coming quarters will provide enough incentive for a more hawkish policy era, already signaled by some Central Banks globally.

“We see a very strong possibility of a 50-100bps rate hike at the July/September MPC meeting if the economy maintains a strong and positive GDP growth momentum in Q2-2021”, analysts at Chapel Hill Denham said.

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Business

CBN needs bankable policy to reduce Nigeria’s $1.5 billion import bill on Wheat

by Leading Reporters
written by Leading Reporters

Nigeria boasts of 34 million hectares of arable land area, with about 6.5 million hectares for permanent crops. Little wonder, Agriculture serves as the country’s main driver of the economy after oil.

But despite the goodies in the sector, the country imported wheat worth N2.2 trillion in the last four years.

According to data from the Food and Agriculture Organization (FAO) of the United Nations, Nigeria has witnessed low wheat yields amidst declining production in the last ten years. Within the period, the wheat area harvested reduced significantly. It also propelled the wheat yield to drop to the level of 10,678 hectograms (100 grams) per hectare (Hg ha) in 2018, the lowest since 1991 and one of such decline ever.


Between 2010 to 2019, wheat production was also on free fall, dropping to the range of 60,000 tonnes per annual from 165,000 tonnes production capacity in 2011. These staggering statistics (area farmed, yield, production) are the reasons why the country imported about 98 per cent of its total consumption. By implication, there are a vast population (market) but less capacity to produce one of its significant interest crops.

Why so much dependence on import Nigeria’s Minister of Agriculture and Rural Development, Mr Sabo Nanono, recently identified seeds’ unavailability as one major factor hampering investment and low production in the wheat value chain. He, however, said the ministry would provide quality seeds and agricultural inputs to Nigerian farmers.

Challenges facing the value chain include limited access to improved seed varieties, high production cost, inadequate irrigation infrastructure, insufficient funding systems, lack of a cohesive national strategy on wheat development, and unclear role of government and other stakeholders. These challenges factored in how Africa’s biggest economy managed to produce an average of 107,000 tonnes of wheat between 2001-2014. Africa produces more than 25 million tons of wheat on 10 million hectares (Mha) of land area, per FAO. Ethiopia and South Africa account for the largest production area with 1.7 Mha and 0.5 Mha, respectively.

Nigeria ranks low compared to other African peers in area harvested, yield, and production of wheat. While South Africa, Kenya and Ethiopia harvested hundreds of thousands of arable land, Nigeria only harvested on an average of 70,000 to 80,000 per annum.

What factors responsible for low local production
The reasons for low local production can be categorised into two main areas; technical and economic challenges. Analysis of the FAO data for sub-Saharan Africa showed that these factors influence farmers’ low yields in Nigeria’s wheat market. In 2011, when Nigeria harvested 128,992 hectares, its recorded peak production levels at 165,000 tonnes.

On the technical side, farmers in Nigeria have limited access to improved seed varieties, fertilizers & chemicals, high cost of production, and inadequate irrigation infrastructure, often leading to low yields. On the economic side, lack of investment opportunities, insufficient funding systems for research, and lack of a coordinated national strategy resulted in Nigeria’s dependence on imported wheat to meet its large population’s growing demands.

A Financial Derivatives Company’s report cited insecurity in Nigeria’s wheat belt, the lack of mechanized and modernized farming techniques, and uncompetitive pricing as challenges facing low wheat production.

Similarly, the International Food Policy Research Institute attributed a lack of policy support and support from international organisations to be responsible for low domestic production.

Low yield propels lack of investment despite the massive market for wheat in Nigeria, a perennial low yield often leads to low revenue and profits. This situation discourages the cultivation of wheat by farmers.

They instead divert their funds into more rewarding agricultural produce. Several reports, including direct comments from farmers, have decried the government’s lack of commitments as one significant factor. Due to this, farmers have shifted focus towards the cultivation of rice, while bakers go after imported wheat because it is cheaper.


A look at the 2011 figure of the FAO data showed that yield dictates the propensity for investment (Area farmed/harvested). Also, the area planted, in turn, determines output (production). A classic case is Ethiopia’s wheat value chain, which shows consistency in growth in the last decade. The country’s healthy production is influenced by its continued investment in seeds, fertilizers, and mechanization, according to the OECD-FAO Agricultural Outlook 2018-2027.


Presently, Nigeria has no actionable policy for its wheat market. The Anchor Borrowers’ Programme (ABP) captured wheat production, but the approach was mere paperwork for wheat farmers. Alhaji Salim Mohammed, the National President of the Wheat Farmers Association of Nigeria (WFAN), told Dataphyte that there is no specific outlined policy for Nigeria’s wheat market. He said both the FMA&RD and CBN have no serious concern about it. Wheat is an essential grain belonging to the grass family. When milled into flour, it makes a wide range of foods, including bread, noodles, pasta, biscuits, cakes, cookies, pastries, cereal bars, sweets and crackers. On another aspect, it is one of the most common grains which serve as feed for livestock. Research also suggests grain improves the calcium and energy status of cows to help them in transition.

Per a report by Emerald, Nigeria’s wheat importation stood at 4.2 MMT on average annually, costing $1.5 billion in import bill. For Nigeria to grow its wheat market, it needs to close the production gap and reduce the import bill as essential ingredients for best agric practices. These include improvement in seedlings, mechanizations, commercial agriculture, addressing insecurity in the North-East, a significant zone for Nigeria’s wheat.

The central bank and policymakers can also learn from Ethiopia and Egypt’s wheat value chain by giving full attention to crop production to ensure food security. The Nigerian Bureau of Statistics (NBS) recent report shows that crop production remains a significant portion of Nigeria’s GDP. In the fourth quarter, the Nigerian economy grew by 0.11% (year-on-year) in real terms, representing the first positive quarterly growth in the last three quarters. Quarter-on-quarter, crop production grew by 3.42 per cent compared to 1.39 per cent in Q3, nearly double the increase.

Investment and funding are also critical factors in expanding the wheat value chain, especially by supporting Lake Chad Research Institute in research and development to improve wheat seeds.

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Africa & WorldBusiness

Among 20 Companies Behind World Environmental Pollution, One Operates in Nigeria

by Leading Reporters
written by Leading Reporters

In 2019, more than 130 million metric tons of single-use plastics were thrown away, with most of that waste burned, buried in a landfill or dumped directly into the ocean or onto land.

Now, a new report finds that just 20 companies account for more than half of all single-use plastic waste generated worldwide. One of the companies, according to the study is Exxon Mobil, an oil exploration company operating in Nigeria through its affiliate company, Mobil Producing Nigeria Unlimited.

The report, published Tuesday by Australia’s Minderoo Foundation, offers one of the fullest accounting, to date, of the companies behind the production of single-use plastics that researchers believe could account for as much as 10% of global greenhouse emissions by 2050.

Single-use plastics are meant to be thrown out immediately after use, such as bags, drinking straws, bottles and packaging.

The study identifies 20 companies as the source of 55% of the world’s single-use plastic waste, while the top 100 companies account for more than 90%.

Nearly all the single-use plastic manufactured by these companies — 98% according to the report — is made from ” ‘virgin’ (fossil-fuel-based) feedstocks” rather than recycled materials.

At the top of what the foundation calls its “Plastic Waste Makers Index” is the energy giant Exxon Mobil, followed by the Dow Chemical Co. and China’s Sinopec. The report found that Exxon Mobil was responsible for 5.9 million metric tons of such waste in 2019, while Dow and Sinopec contributed 5.6 million and 5.3 million, respectively. Taken together, the three companies account for 16% of all waste from single-use plastics such as bottles, bags and food packaging, according to the report.

In a statement, Exxon Mobil said it “shares society’s concern about plastic waste.” The company said it is “taking action to address plastic waste” but said the problem requires collective action from “industry, governments, nongovernmental organizations and consumers” alike.

The report also traced the money invested in the production of single-use plastics, finding that 20 institutional asset managers hold shares worth close to $300 billion in the parent companies that make up the foundation’s rankings. The top three investors are U.S.-based Vanguard Group, BlackRock and Capital Group, which according to the report have an estimated $6 billion invested in the production of single-use plastics.

“The trajectories of the climate crisis and the plastic waste crisis are strikingly similar — and increasingly intertwined,” former Vice President Al Gore said in a statement that accompanied the report.

“Since most plastic is made from oil and gas — especially fracked gas — the production and consumption of plastic are becoming a significant driver of the climate crisis, already producing greenhouse gas emissions on the same scale as a large country and causing the emission of other harmful toxins from plastics facilities into nearby communities — disproportionately harming people of color and those in low-income communities,” he wrote.

The report warned that in the next five years, the global capacity to produce the materials needed for single-use plastics could grow by more than 30%.

“An environmental catastrophe beckons: much of the resulting single-use plastic waste will end up as pollution in developing countries with poor waste management systems,” according to the report.

Solving the issue will require drastic changes from producers, investors and banks, the authors wrote. The report said that producers of polymers — known as the building blocks of plastics — should begin disclosing their single-use plastic waste “footprint,” while banks and investors should move to “phase out entirely” any financing that goes toward the production of single-use plastics.

But confronting the challenge will also require “immense political will,” according to the authors, who noted that roughly 30% of the sector, by value, is state-owned.

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Business

Shell in-talks with Nigerian govt to sell stakes in Niger Delta’s oilfields

by Leading Reporters
written by Leading Reporters

Royal Dutch Shell is in talks with the Nigerian government to sell the Anglo-Dutch company’s stake in onshore oilfields, CEO Ben van Beurden said on Tuesday.

Shell, the operator of the West African country’s onshore oil and gas joint venture SPDC, has struggled for years with spills in the Niger Delta as a result of pipeline theft and sabotage as well as operational issues. The spills have led to costly repair operations and high-profile lawsuits.

Speaking at the company’s annual general meeting, CEO Ben van Beurden said that Shell can no longer be exposed to the risk of theft and sabotage.

“We cannot solve community problems in the Niger Delta, that’s for the Nigerian government perhaps to solve. We can do our best, but at some point in time, we also have to conclude that this is an exposure that doesn’t fit with our risk appetite anymore,” van Beurden said.

“We’ve drawn that conclusion, and we’re now talking to the Nigerian government on the way forward.”

Nigerian Oil Minister Timipre Sylva confirmed the government was in talks with Shell on how to divesting its onshore stakes.

The sides are considering transferring the stakes to SPDC or to another local company or selling it to a foreign company, Sylva said in a statement.

In February, a Dutch court held Shell’s Nigerian subsidiary responsible for multiple oil pipeline leaks in the Niger Delta and ordered it to pay unspecified damages to farmers, leading van Beurden to call its Nigerian onshore assets as a “headache”.

Last year Shell also lost a Nigerian high court case that could lead to $44 million in damages for spills.

Shell’s Nigerian onshore joint venture SPDC has sold about 50% of its oil assets over the past decade. Shell’s stake in SPDC gave it 156,000 barrels per day of oil equivalent in 2020, of which 66,000 barrels were oil.

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Africa & WorldBusiness

World’s third Climate Clock arrives in South Korea

by Leading Reporters
written by Leading Reporters

Herald Corp. installs Climate Clock on roof of Seoul headquarters to raise awareness about climate crisis…

At a glance, the series of numbers — six years, 235 days, six hours, four minutes and 55 seconds — makes little sense.

But they are arguably the most important numbers for humanity. They represent the time we have left until the Earth’s deadline: the “point of no return” in the climate crisis.

The monument-sized Climate Clock showing the numbers was unveiled Thursday on the roof of the Herald Corp. headquarters in Seoul, sending a chilling warning that the Earth is racing toward catastrophe.

The digital clock, which is 8.5 meters wide and 1.8 meters long, is the first permanent Climate Clock in Asia and the third in the world. The first was set up in Berlin in 2019 and the second in New York in 2020. 

With South Korea’s landmark N Seoul Tower in the background, the Climate Clock in Seoul shows that as of Thursday the Earth had about six years, 235 days, six hours, four minutes and 55 seconds before global warming reaches irreversible levels, based on current emission rates.

The Climate Clock installed in Berlin, Germany in 2019. (The Climate Clock)
The Climate Clock installed in Berlin, Germany in 2019. (The Climate Clock)
The Climate Clock installed in New York City, the US in 2020. (The Climate Clock)
The Climate Clock installed in New York City, the US in 2020. (The Climate Clock)

Created by artists Gan Golan and Andrew Boyd, the Climate Clock counts down how much time is left before we deplete the Earth’s carbon budget — that is, the amount of carbon dioxide we can still release into the atmosphere while limiting global warming to 1.5 degrees Celsius above preindustrial levels.

According to scientists, keeping the world from warming by more than 1.5 degrees Celsius from preindustrial levels is crucial if we are to avoid the catastrophic impact of climate change — rising sea levels, flooding, droughts, extreme heat waves, wildfires and other disasters.

“Grounded in the latest climate science, the Climate Clock tells us what we need to do by when,” Boyd told The Korea Herald. “In short, we need to build a 100 percent renewable-powered future in less than seven years.”

The numbers on the Climate Clock are based on the amount of global carbon emissions as well as the amount of the world’s energy supplied from renewable sources, currently at 12 percent and slowly rising. The data comes from the Mercator Research Institute on Global Commons and Climate Change, and from One World in Data, respectively.

The arrival of the Climate Clock is part of the Herald Corp.’s campaign to address the climate emergency, which the company sees as the defining challenge of our time.

Through the campaign, Herald Corp., which owns two of Korea’s major newspapers, The Korea Herald and The Herald Business, seeks to draw attention to the climate crisis and remind Koreans that the Earth has a deadline, it said. 

The monument-sized Climate Clock, which is the third of its kind in the world and the first in Korea, is set up on the roof of the Herald Corp. headquarters office in Huam-dong, Yongsan-gu, Seoul. (Park Hae-mook/The Herald Business)
The monument-sized Climate Clock, which is the third of its kind in the world and the first in Korea, is set up on the roof of the Herald Corp. headquarters office in Huam-dong, Yongsan-gu, Seoul. (Park Hae-mook/The Herald Business)

The Climate Clock’s co-creators welcomed its presence in Seoul.

“After too many years where governments and major media platforms did not take the climate crisis seriously enough, it is incredibly heartening to partner with Herald Corp., who are making the climate emergency a priority focus of their reporting and advocacy,” Boyd said.

“Media companies and organizations such as The Korea Herald play an indispensable role in highlighting the urgency of the climate crisis as well as the many solution pathways, particularly the rapid deployment of renewable energy, available to address it,” he added.

The installation of the Climate Clock comes at a critical point for the global efforts to combat the climate crisis.

This year is marked by significant political events, including the P4G summit — Partnering for Green Growth and the Global Goals 2030 — to be held in Seoul on May 30-31, as well as the UN Climate Change Conference, also known as COP26, set for Glasgow on Nov. 1-12.

“We hope the Seoul Climate Clock will serve as a lightning rod for South Korea’s climate movement and raise the country-wide emission-reduction targets that South Korea brings to the COP26 UN Climate Summit in Glasgow, Scotland later this year,” said co-creator Golan.

“With luck, Seoul’s Climate Clock will not only spark momentum nationally, but also encourage other key countries in East Asia to raise their climate ambitions,” he added. 

The monument-sized Climate Clock, which is the third of its kind in the world and the first in Korea, is set up on the roof of the Herald Corp. headquarters office in Huam-dong, Yongsan-gu, Seoul. (Park Hae-mook/The Herald Business)
The monument-sized Climate Clock, which is the third of its kind in the world and the first in Korea, is set up on the roof of the Herald Corp. headquarters office in Huam-dong, Yongsan-gu, Seoul. (Park Hae-mook/The Herald Business)

The Climate Clock project, which involves a team of artists, scientists, engineers, designers and activists from around the globe, is an open-source project presenting a “critical window” for internationally-coordinated action to reduce emissions and avert climate disaster.

According to the founders, the Climate Clocks — some small, others large — are being built temporarily or permanently at homes, schools and public spaces all over the world from Sydney to Istanbul. Another monumental clock is set to be unveiled in Rome in May at the earliest.

The creators said they had previously made a small-sized climate clock for Greta Thunberg, the teenage activist from Sweden, before her appearance at the United Nations Climate Action Summit in 2019.

In an effort to contribute to achieving climate equity and justice, the Climate Clock team charges licensing fees to for-profit organizations, municipalities and governments that want to set up the clocks. The funds are spent on activists seeking to bring the Climate Clocks to their cities, according to the organization.

For individuals hoping to make their own watches or portable clocks, free kits are available on its website.

By Ock Hyun-ju (laeticia.ock@heraldcorp.com)

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U.S. Announces Priority Appointments for Student Visa Applicants

by Leading Reporters
written by Leading Reporters

The U.S. Mission will prioritize student visa applicants and ensure Nigerian students resuming this Fall get visa interview appointments well in advance of their program start date.

U.S. Mission Country Consular Coordinator Susan Tuller announced on Friday that the Embassy in Abuja and Consulate General in Lagos will make every effort to assist student visa applicants in a timely fashion while keeping personnel and customers safe.

“As we continue to prioritize the health and safety of our staff and customers, processing student visas remains a high priority for the U.S. Mission in Nigeria,” Country Consular Coordinator Tuller said.

“We will increase the number of student visa appointments in May and June to ensure that we can offer appointments to as many students as possible.

If your U.S. studies are scheduled to begin this Fall, we encourage you to schedule your appointment as quickly as possible.”

Tuller explained that all student visa appointments must be booked through the U.S. Travel Docs website at www.ustraveldocs.com/ng/.

She warned applicants against the use of third-party services, including touts, and fixers who broker visa appointments.

According to her, agents or third parties often seek to benefit by charging a fee for their services and they may not always provide the correct information, which can harm an applicant’s chances of qualifying for the visa.

“Both Nigeria and the United States benefit when Nigerian students study at one of our world-class educational institutions.

To prepare for your U.S. educational opportunity, we encourage you to check out EducationUSA Advising Centers at our American Spaces in Abuja, Lagos, Ibadan, and Calabar, or at educationUSA.state.gov,” she added.

Nigeria sends more students to American colleges and universities than any other country in Africa and is the eleventh largest source worldwide of international students to the United States.

In academic year 2019-2020, a record-breaking number of nearly 14,000 Nigerians pursued graduate and undergraduate degrees in the United States.

Over the last 21 years, the EducationUSA Advising Centers in Nigeria have directly contributed to an increase in the number of highly qualified Nigerian applicants to U.S. institutions.

In 2020, advisees of EducationUSA services received scholarships worth $28 million.

Additional information on U.S. travel and student visas is available at travel.state.gov or ng.usembassy.gov.

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Nigeria’s external debt grows by 411% in 8 years — ActionAid

by Leading Reporters
written by Leading Reporters

Study commissioned by ActionAid Nigeria has revealed that the country’s external debt stock increased by 410.9 per cent between 2012 and 2020, with the highest year-on-year growth recorded in 2017 at 65.82 per cent, followed by 35.16 per cent growth in 2013 and 33.63 per cent in 2018.

“The states and FCT external debt stock calculated in USD grew by 29.5 per cent, while the calculation in naira produced 136.7 per cent growth. The external debt component had risen to 31.82 per cent of overall debt as at end of 2018, while the domestic debt was 68.18 per cent of overall debt. Furthermore, Nigeria’s debt to GDP has been growing over the years and stood at 19 per cent by end 2018.”

Onyekpere said the Central Bank of Nigeria (CBN) and banks are heavily exposed to these domestic instruments up to 45.2 per cent of overall and the non-bank public is mainly about Pension Fund Administrators, Asset and Fund Managers, as well as Insurance companies hold the remaining part.

“The current debt to retained revenue profile of about 83 per cent is not sustainable. The drive to raise new domestic revenue is a struggle of the generation and it should attract the energy, vision and vigour of both government and citizens. The major driver should be a commitment to expand available resources, rather than the current clamour for sections of the country to have more of the stagnant pool of available resources. Debt can be reduced if we generate more revenue.”

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OCP Africa, NISS move to solving 75% of Acidic Soils in Nigeria

by Leading Reporters
written by Leading Reporters

OCP Africa and the Nigeria Institute of Soil Science (NISS) on Wednesday signed a Memorandum of Understanding (MoU) to solve issues of 75% acidic soils which are problematic to agriculture produce in Nigeria.

The Registrar/CEO, Nigeria Institute of Soil Science, Prof. Victor Chude while speaking in Abuja at the Inception Workshop on Management of Problematic Soils in Nigeria stated that the workshop is kick starting a project aimed at addressing issues of problematic soils, improve soil quality and increase agricultural productivity through effective sustainable management of problematic soil.

According to Chude, 75% of Nigeria soils which are acidic are problematic and as such, new innovations and technologies that are ecosystem friendly will be disseminated to managing the problematic soils in Nigeria.

“We are targeting soil such as acidic soils, saline, alkaline and other problematic soils, but the major problematic soil is the acidic soils that covers about 75% of this country.”

“Then alkaline soils because they don’t support agricultural growth, the implication is that farmers facing this limitations suffer from making good yields.”

“75% of Nigerian soils are acidic when I say acidic, I mean from strongly acidic to slightly acidic, the slightly acidic soils are still productive but then if you collect the acidity it will improve the productivity but only 20% of the soils are strongly acidic and this strong soils are found in the southern part of the country as a result of high rainfall, high litching of basic element and nutrients that will ultimately make them low productive soils so we need to do something”.

The Production and Technical Manager, OCP Africa Fertilizer Limited, Oluwatobi Asana, stated that an average productivity per hectare of farmlands in Nigeria is very low due to problematic soils which has led to insecurity and poverty within the farming population.

Meanwhile, Asana noted that management of the problematic soils should be directed towards enhanced crop productivity through addition of soil amendment or by manipulating the agronomic practices depending on the climatic conditions.

“Managing soils so they are sustainable for future generations is our collective responsibility and there is no better time to rise to the challenge than now”.

He added that in order to achieve this, a multidisciplinary approach is required to breed specialized root system types which match the most urgent constraints of different locations.

“There is therefore a dire need to maintain good soil health for increased and sustained agricultural production”.

Permanent Secretary, Federal Ministry of Agriculture and Rural Development, Dr. Ernest Umakhire stated that the project is important as it holds immense potentials for the agricultural sector while complimenting the renewed effort of the ministry aimed at introducing modern farming techniques to Nigerian farmers and empowering them to enable rapid adoption.

Umakhire added the pain experienced by farmers who are compelled to use this problematic soils cannot be underestimated

“We therefore have to explore ways and means of reclaiming our previously arable lands and take necessary steps to prevent abandonment of farmland as a result of low productivity.”

He pointed out that the technologies to be introduced to the soil should be such farmers can easily adopt and implement at very minimal cost.

“The methodology for the proposed project should focus on those technology that will address the challenges of problematic soil in agriculture while not overlooking the root causes.”

“Please bear in mind the need to protect our environment as we deploy this technology and innovation for soil amelioration so that our ecosystem in not adversely affected”. He added.

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