13 Dec

Daily Watch – PENGASSAN meets govt today , NUATE pickets Kenya Airways

  • A major Nigerian oil union that has threatened to launch a nationwide strike next week will meet government officials today to discuss their labour dispute, the union’s general secretary. PENGASSAN, whose members mainly work in the upstream oil industry, would hold talks with the Labour Ministry without one of the firms at the centre of the row being present, Lumumba Okugbawa, general secretary of the union, said in a statement. The strike, planned from 18 December, could hit oil production and dent exports, as they did in December last year during a PENGASSAN action against ExxonMobil. The dispute arose after domestic oil and gas companies and marginal field operators laid off union members.
  • Finance minister, Kemi Adeosun says the FG has released an additional ₦750 billion for the implementation of capital projects to MDAs. This brings to ₦1.2 trillion, the total money released for capital projects in the 2017 budget after an initial ₦450 billion release. Philippe Labonne, head of the French delegation which consisted of 30 companies, said investors have indicated interest in sectors such as banking, infrastructure, renewable energy, agriculture and youth empowerment.
  • Nigeria plans to repay ₦198.03 billion ($647 million) worth of treasury bills maturing in December with part proceeds of Eurobonds it raised last month. The announcement sent yields down by more than half. The DMO said the bills due on 14 December and 21 December would be redeemed rather than rolled over as before, freeing up space in the bond market for corporates as the government tries to rebalance its debt mix. The central bank has kept liquidity tight in Nigeria to support the naira by attracting foreign inflows into its bond market to boost dollar liquidity in the wake of a currency crisis. The DMO has said it was wanted to raise Eurobonds or syndicated loans for $3 billion to redeem part of a local treasury bill holding worth ₦2.7 trillion.
  • The National Union of Air Transport Employees on Tuesday picketed the operations of East African carrier, Kenya Airways over labour issues. The picketing of the airline took place as early as 7 am and disrupted the check-in process of its passengers who were slated to depart Lagos for Nairobi by 8 am. Scores of passengers were seen either sitting down on the floor of the terminal building or loitering about the premises and unsure of when the union would allow the airline to commence the check-in of passengers. Kenya Airways operates daily flights between Lagos and Nairobi. The union members and some workers of the airline were seen with different placards alleging that the airline treats its workers like slaves. The union also insisted that it would continue to picket the airline until its demands were met, the NUATE General Secretary, Olayinka Abioye saying the airline reneged on agreements it reached with the union since 2016.