Business

Businesses Groan As Lagos Roads Suffer Despite High IGR

Published

6 years ago

February 6, 2019

Businesses in Lagos State, the nation’s commercial capital, have been hard hit by the poor condition of roads in many parts of the state, leaving stakeholders such as the Lagos Chamber of Commerce and Industry worried.

Last week, a petrol tanker was reported to have fallen at a bad portion of the Lagos-Badagry Expressway at Ojo Barracks Bus-Stop, leading to an explosion that killed two persons and destroyed six vehicles, including a truck conveying generators to the Alaba International Market.

Stakeholders, who spoke with our correspondent in separate interviews on Tuesday, lamented that many roads had worsened in the state despite the high internal revenue generated by the government.

In May last year, the Lagos State Commissioner for Finance, Mr Akinyemi Ashade, said based on the first quarter results, the state achieved an average monthly Internally Generated Revenue of N34bn in 2018, compared to monthly averages of N22bn, N24bn and N30bn in 2015, 2016 and 2017, respectively.

“Lagos’ IGR, when compared with other states, is relatively high. Her IGR as of the end of 2016 was N287bn, higher than its 2015 level of N268.2bn,” BudgIT said in the 2018 edition of its ‘State of States’ report.

It said Lagos accounted for approximately 35.86 per cent of the total IGR collected by states in 2017.

The National President, Association of Small Business Owners, Dr Femi Egbesola, said the bad roads in the state had negative impacts on business activities.

He said, “Lagos roads these days have become so deplorable that where you usually spend 30 minutes, you can spend one and a half hours now. That is a massive waste of time and human capacity.”

“The government needs to put more than usual attention to infrastructure. Some people are very reluctant to pay tax because they believe that the government is not doing anything that is worthy of paying taxes. We have a lot of abandoned road projects in Lagos and other states in the country.”

According to him, the Mainland, especially the interiors, has a lot of deplorable roads.

“Apart from the IGR, the state has got a lot of loans for roads and other infrastructures. Lagos needs to remember that it is already a metropolitan state and must set the pace for others,” Egbesola added.

The Director-General, LCCI, Mr Muda Yusuf, described road infrastructure as a major issue in the cost of operation of businesses.

He said, “This economy, whether it is at the state or national level, is dependent almost 90 per cent on roads for logistics – moving of persons and goods. So, to that extent, the shortcomings with our road infrastructure, whether they are bad, inadequate or have a capacity problem, affect the cost of operation.

“Transportation cost is a major component of the costs of many products in the country; and once your cost begins to go up, it affects your competitiveness, profit margin and capacity to sustain your business. It can affect your sales because if you want to transfer the cost to the consumers and your price is too high, the consumers will resist, depending sometimes on the kind of products that you are selling.”

According to Yusuf, many densely-populated areas in Lagos such as Badagry and Abule-Egba are contending with the issue of quality of roads.

He said, “It is tedious going to and coming out of those places. So, those areas require the government’s attention. Some of the roads are not maintained properly, while some have gone bad.

“I think the bigger issue with Lagos is not so much about the state of the road, but the capacity of the roads vis-à-vis the volume of vehicles, especially at peak period.”

An economist and Senior Lecturer, Lagos Business School, Dr Bongo Adi, said, “The major constraint to doing business in Lagos, apart from electricity, is logistics, which includes transportation and connectivity.”

He, however, noted that over the years, there had been some progress in terms of maintenance of roads in Lagos, with some roads currently undergoing repairs.

Adi said, “But we haven’t seen much in terms of expansion. It is not just the problem of bad roads; even if you fix all the roads in Lagos today, we will still be having a transportation issue.”

“In terms of IGR, Lagos ranks the highest in Nigeria. In terms of fiscal sustainability, I think it is only Lagos that can sustain itself; but that has not translated into adequate infrastructure generally.”

Adi stressed the need for political will to expand the road network and ensure standard roads in the state.

When contacted, the Commissioner for Works and Infrastructure, Mr Adebowale Akinsanya, told our correspondent that the government had embarked on rehabilitation of the major and inner roads across the state.

“We just finished the first phase, and we are now embarking on the second phase. That is a comprehensive work ongoing,” he added.

Business

Access Bank to Host Pioneering Africa Trade Conference in Cape Town

Published

6 days ago

January 29, 2025

august24admin

Access Bank to Host Pioneering Africa Trade Conference in Cape Town

AJAGBE ADEYEMI TESLIM

Business

Union Bank Rewards 360 Customers with N21 Million in First Save and Win Palli Promo 4 Draw

Published

6 days ago

January 29, 2025

august24admin

Union Bank Rewards 360 Customers with N21 Million in First Save and Win Palli Promo 4 Draw

AJAGBE ADEYEMI TESLIM

Business

Access Bank Clinches THISDAY’s ‘Global Bank of the Year’ Award, Aig-Imoukhuede is Named ‘Titan of the Year’

Published

6 days ago

January 28, 2025

august24admin

Access Bank Clinches THISDAY’s ‘Global Bank of the Year’ Award, Aig-Imoukhuede is Named ‘Titan of the Year’

AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

Access Bank PLC (‘the Bank’), the flagship subsidiary of Access Holdings PLC (‘the Company’), has been honoured with the prestigious THISDAY Global Bank of the Year award for 2024, recognising its significant impact on the global banking landscape.

R-L: Roosevelt Ogbonna, Group Managing Director, Access Bank PLC; Tochi Wigwe, Daughter of Herbert Wigwe, former Group CEO, Access Holdings; Maame Saarah Buckman; Aigboje Aig-Imoukhuede, Chairman, Access Holdings PLC; Aigbovbioise Aig-Imoukhuede, Managing Director, Coronation Asset Management Limited, and Funke Aigbovbioise Aig-Imoukhuede, at the THISDAY Awards 2025 where Access Bank won Global Bank of the Year award and Aig-Imoukhuede was named Titan of the Year, in Lagos… Monday night

In addition, Aigboje Aig-Imoukhuede, Chairman of Access Holdings, received the distinguished THISDAY Titan of the Year award for his exceptional contributions to the banking sector in 2024.

At THISDAY Awards 2025, Access Bank emerged victorious, surpassing African Export-Import (AFREXIM) Bank and United Bank for Africa (UBA) to claim the coveted title. The prestigious award ceremony, held at Eko Hotels & Suites in Victoria Island, Lagos, marked the 30th anniversary of THISDAY Newspapers and the 12th anniversary of Arise News Channel, with the theme, “When the Going Gets Tough… The Tough Get Rewarded.”

THISDAY Newspapers highlighted Access Bank’s nomination, praising its strategic leadership, rapid expansion, and unwavering commitment to innovation and sustainability. The bank’s leadership in digital banking was also recognised, with Access Bank receiving multiple accolades, including the 2024 Digital Jurist Award for Best Digital Bank.

In addition to its achievements in digital banking, Access Bank has demonstrated a strong commitment to environmental, social, and governance (ESG) principles, earning the 2024 Euromoney Award for Best Bank for ESG in Nigeria and Ghana.
With an expanding international presence in the United Kingdom, Ghana, United Arabs Emirates, China, and several African nations, Access Bank continues to solidify its position as a major global banking player.

Lagos State Governor, Babajide Sanwo-Olu (left) and Aigboje Aig-Imoukhuede, Chairman, Access Holdings PLC, exchanging pleasantries at the THISDAY Awards 2025 where Access Bank won Global Bank of the Year award and Aig-Imoukhuede was named Titan of the Year, in Lagos… Monday night

The bank’s innovative approach is further evidenced by its cutting-edge technological initiatives, including Facepay, Access Closa, the AccessMore mobile app, and Africa Fintech Foundry—further establishing Access Bank as a leader in technological advancements, and underscoring its deserving recognition as Global Bank of the Year.

During his acceptance speech, Access Bank’s Managing Director and CEO, Roosevelt Ogbonna, expressed his gratitude to the public, THISDAY Newspapers, and Arise Media Group for the recognition. He remarked, “This award represents 30 years of hard work of doing things differently, and of building on the legacy of industry giants like Aigboje Aig-Imoukhuede and Herbert Wigwe. We are deeply grateful to our board, management, customers, and stakeholders, who have continuously supported us. This award is for you, and we accept it in your honour.”

In a similar vein, Aigboje Aig-Imoukhuede, along with 11 other influential leaders, was recognised with the THISDAY Titan of the Year award for 2024. Reflecting on his journey, Aig-Imoukhuede shared, “In 1991, Prince Obaigbena and I first met as customer and banker. He told me that anyone fortunate enough to manage his account would one day become a managing director of a bank, and I am thankful that God fulfilled that vision. It is an incredible honour to stand with such esteemed colleagues.”

The star-studded event, which brought together dignitaries from both the private and public sectors, celebrated excellence, innovation, and leadership across industries and the political landscape.