Press Releases

Be Creative And Definitive To Open Up New Opportunities, Fashola Charges Banks

May 28, 2009 - Lagos State Governor, Mr Babatunde Fashola (SAN) on Thursday charged banks and financial institutions to become definitive and creative in order to be able to generate new business opportunities.

Governor Fashola who spoke when he received the management team of United Bank for Africa Plc led by its Deputy Managing Director, Mr. Philips Oduoza on a courtesy visit to Lagos House, Alausa, Ikeja added many new business opportunities remain largely untapped.

The Governor told the audience that over N48 Trillion is waiting to be taken on mortgage in the country considering the number of people in the country, wondering why banks are not taking advantage of that sector.

He charged the financial institutions to realize that it is their ability to dare and break new grounds that would help in addressing the issue of long term funding which is not currently available in the housing sector.

He added that another area which could be explored by banks is football, adding that on Wednesday night over a billion people all over the world were involved in the UEFA Champions League finals between FC Barcelona and Manchester United FC that saw goods being advertised.

The Governor reiterated that nothing stops business entrepreneurs from using sports as a token statement of their presence.

He said five Africans were on display during the match, adding that these players could as well have been plying their trade in Lagos and not taking it to far away Europe if the right investment is made into the sport.

He said Nigeria needs entrepreneurs who can float high caliber performing clubs which Nigerians can be proud of and even be ready to be part owners by buying shares from them.

Governor Fashola said the market that exists in Lagos is bigger than being currently visioned by the people, saying untapped opportunities also exists in the transportation sector which any discerning business man can buy into.

Said he: “People are buying new buses, investing in ferry services and taking taxi franchise licenses just as we are also building new roads and this represents areas that can still be explored by our commercial banks”.

Governor Fashola added that in the agricultural sector, investing in seedling is also possible just as the real value added local manufacturing and exporting is a potential goldmine.

While describing the private sector as the engine of growth, he explained that the policy of government provides the critical fuel that drives that growth.

He described the government as a large corporation which offers services in sectors ranging from healthcare delivery to provision of infrastructure but declares no physical profit.

He added that the profit of government go to the people in terms of development and ensuring that prosperity goes around.

The Lagos State helmsman acknowledged the contribution of UBA Plc to the initiative of the government for improved security as well as a sustainable environment, saying the state has also had to take a lot on its shoulders in terms of ensuring a safe and prosperous business environment by virtue of the wide presence of the bank in Lagos.

Speaking earlier, the Deputy Managing Director (South) United Bank for Africa Plc, Mr. Philip Oduoza said the bank management team was in Alausa to seek ways of expanding and improving its relationship with the State.

He commended the Governor for the infrastructural transformation which the state is undergoing in the course of his tenure, adding that it is very evident for everyone to see.

He revealed that UBA Plc has N10Billion agricultural financing in place whose disbursement would soon commence.

He said the bank which was part of the first Debt Bond issue of the state is also interested in participating in the new redeemable bond issue of Lagos State.

Mr Oduoza also called for a revisit of the capital contribution account which Lagos State used to maintain with the defunct Gulf bank which has since been acquired by UBA.

Also speaking, a non executive director of the bank who was also a former Commissioner for Finance in the State, Mrs Folake AbdulRasak commended the Lagos State Governor for the wonderful job he is doing and commended the resuscitation of the schools debate programme.

The Commissioner for Finance, Mr Rotimi Oyekan, Special Adviser on Commerce and Industry, Mrs Sola Oworu and some directors of the bank including a non-Executive Director, Mr Olumide Adekunle were also at the event.