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ASUU Strike: Airlines to suffer losses as NANS commences protest to ground airport operations

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…Storms Murtala International airport in Lagos

…Threatens not to ‘back down,’ to ground activities in other airports, ports, major highways

…Tension as Court to rule Wednesday on FG’s suit seeking to compel ASUU back to work

…Reps to meet ASUU today

…Imo University pulls out, opens for academic session

By Moses Adeniyi, Deborah Onatunde, Ridwan Adekunle

Airlines in Nigeria are at the risk of suffering huge losses, should the negotiations and legal   struggle between the  Federal Government and the Academic Staff Union of Universities (ASUU) over the lingering strike of the latter fail to record success, as the National Association of Nigerian Students (NANS) on Monday commenced demonstration to ground operations at Airports across the Country.

The students on Monday reiterated that they would continue the protest and  would not for any reason back down until the Federal Government takes the educational sector as a priority.

Students under the platform of National Association of Nigerian Students (NANS) on Monday stormed the Murtala Muhammed International Airport in Lagos to press down their demands for the government to resolve the prolonged ASUU strike.

Recall NANS had earlier said it will ground activities at the local and international airports across the country beginning from Monday, September 19 over the lingering strike.

The students on Monday who barricaded access roads to the Murtala Muhammed International Airport in Lagos held placards bearing inscriptions such as: “NANS SAY NO TO IMPUNITY,” “IF YOU  HAVE MONEY FOR ELECTION FORM, YOU CAN FUND EDUCATION,” “NO NATION CAN DEVELOP WITHOUT GENUINE COMMITMENT TO EDUCATION.”

The situation caused gridlock along the axis as vehicular movement in and out of the airport was stalled amid the presence of a combined team of officers of the Lagos State Police Command, Rapid Response Squad, Lagos Airport Police Command, and other security agencies.

…Airlines suffer losses

Following blockage of the Lagos airport’s access roads, the Airline Operators of Nigeria (AON) on Monday lamented huge loss in their operations.

The blockage lasted for about 14 hours while the students chanted solidarity songs, insisting that they would continue until the strike is called off.

No fewer than 20 Police vans, and cars, along with over 100 operatives were on standby to monitor the development and avert any possible chaotic outbreak.

Although, there were no official cancellation of flight, the demonstration grounded vehicular movement, while forcing flight crews to trek down to the airport.

Impeding passengers from accessing the airport, some passengers were officially confirmed to have rescheduled their flight.

The development also led to delay of flight, a development that impacted negatively on the operators with losses.

…It is your struggle – Sowore 

The presidential candidate of the African Action Congress and  activist, Omoyele Sowore, also joined the Nigerian students in protest at the Murtala Muhammed International Airport, Lagos.

Sowore, who is a former President of NANS said at the protest ground that it was the Nigerian students that delivered independence to Nigeria in 1960.

“Nigerian students delivered independence to Nigeria in 1960, after they hijacked it and started using it against us. Nigerian students delivered the democracy we have today in 1999,”  he said.

He also said it was important for the students to intensify their action saying, “this is your struggle.”

“I am a comrade and I remain a comrade forever, anything you need from us, let us know, but this is your struggle.” Sowore said.

He urged drivers, traders and well-meaning Nigerians to support the students’ struggle.

…It is their right – Osodeke

ASUU National President, Prof. Emmanuel Osodeke, in an interview with journalists praised the students for fighting for their rights.

“We commend NANS members for fighting for their rights. It is their right.

“The pro-chancellors are doing well too. We hope the government will listen to them because they (pro-chancellors) understand what is happening in the Nigerian universities,” he said.

… NANS further threatens to ground activities in NPA, Third Mainland Bridge 

This is just as NANS has expressed its readiness to ground activities at the Nigerian Ports Authority (NPA) and the Third Mainland Bridge in Lagos.

In a statement signed by its Chairman, NANS National Taskforce on #EndASUUStrikeNow, Ojo Raymond, on Monday, the student body said it is ready to go on a week-long protest till the Federal Government accedes to its demands on the resolution of the strike action of ASUU.

The statement reads, “For the past few days, we have been protesting simultaneously round the states of the country to protest the continued ASUU strike which has lasted over seven months as a result of the ‘crass irresponsibility’ of the Federal Government to fulfil the terms of the agreement they willingly signed with ASUU.

“As an association, we are saddened by this development which has resulted in the closure of universities. And, this act, we believe, is deliberate by the Federal Government to deny the children of the common Nigerian access to quality education which violates the provisions of Chapter two of the Constitution of the Federal Republic of Nigeria, 1999 (as amended).

“We are using this medium to reiterate that this protest continues and that we will not for any reason back down until the Federal Government takes the educational sector as a priority.

“It is quite pathetic that the Federal Government is making use of the armed forces to quench a genuine struggle of Nigerian students despite the fact that these officers are also victims of the system whose children are also affected the same way we are.

“Today’s protest at Muritala Muhammed International Airport (Domestic and International wings) is just a preamble of what is to come in days ahead. And, we are informing the general public and the international community to pay serious attention to this struggle because we have been duly informed of the plan of the Federal Government to mobilise heavily against this protest.

“This was even witnessed today as anti-riot police officers and men of the Air Force were mobilised to attack us not until they were prevented by the mass of Nigerian students.

“We maintain that this protest shall last a week here in Lagos State and would be held simultaneously at the Muritala Muhammed International Airport, Nigerian Ports Authority and the third mainland bridge until our demands are met.”

This is just as NANS, Kwara Chapter, has threatened to embark on a peaceful protest and occupy Kwara airport, if the protracted ASUU strike is not suspended.

Mr Salman Issa, the NANS Kwara Chairman told journalists on Monday in Ilorin that members were just waiting for directives from its national secretariat.

Issa said once the national body of the students gave the order to the remaining 36 states, they would comply with the protest.

The Kwara NANS chairman was reacting to the blockage of the Murtala Mohammed Airport by the NANS, who stormed the Airport in Lagos to mount pressure on the government to resolve the seven-month industrial strike by the Academic Staff Union of Universities (ASUU).

“The directives of the protest is only binding on South West states which has been ongoing for the past five days.

“When given directive, we shall comply too,” he said.

…Tension as Court to rule Wednesday on FG’s suit seeking to compel ASUU back to work        

The over seven months lingering strike by ASUU has gathered more controversies setting in confusion in the struggle to end the strike, as the Federal Government on Monday further pressed on compelling the Union to call off the strike through court order.

The Minister of Labour and Employment, Senator Chris Ngige, on Monday, said against the wide claim, the Federal Government did not drag but referred ASUU to court over the prolonged strike.

The Minister also regretted that the ASUU leadership does not understand the import of the Collective Bargain Agreement (CBA) negotiation alleging that they lack the nutrients of labour unionism.

Senator Ngige according to a statement by the Head of Press and Public Relations, Federal Ministry of Labour and Employment, Olajide Oshundun, said he would have failed in his duties if he didn’t refer the matter to the National Industrial Court of Nigeria (NICN) after seven months of protracted discussions and negotiations with the union, which failed.

The Minister who according to the Statement, spoke in Abuja, at the public presentation of the NLC at 40 publication, titled, “Contemporary History of Working Class Struggles,” said: “We have to counsel our brothers on negotiation. No negotiation is forced. You cannot say it is either you give me 200 per cent or I will continue my strike. There are laws guiding strikes. There are ILO principles on the right to strike. Nobody can take it away.

“But, there are things that follow it when you embark on strike as a worker and they are enshrined in the laws of our land. It is written in Trade Dispute Act. The ILO principles of strike talks about the right of a worker to withdraw services. There is also the right to picket. These are things that are done.

“Nigeria is respected in ILO. Some people said Federal Government took ASUU to court. No. I referred the matter after seven months of protracted discussions and negotiations that failed.”

Ngige recalled that he conciliated the dispute twice, first on February 22, one week after the commencement of the strike and some agreements were reached, and he brought everybody back on March 1, 2022 for another conciliation.

According to him, the only thing left was going back to the Federal Ministry of Education for the renegotiation of the 2013 agreement.

“Some people are saying 2009 agreement. The 2009 agreement has been renegotiated in 2013/2014 with the administration of former President Goodluck Jonathan. It is an anathema to use 2009 agreement.

“What is left is the renegotiation of their conditions of service, which is their right. It should be done but they are negotiating it under the principle of offer and acceptance and it broke down irretrievably there at the Federal Ministry of Education.

“That kick-started Section 17 of the Trade Dispute Act whereby the Minister of Labour and Employment, whoever it is, if you don’t transmit according to the dictates of Section 17, TDA, 2004, Laws of the Federation of Nigeria, you would have failed in your function. Therefore, I had to transmit.”

Ngige, however, said the transmission does not mean that the matter cannot be settled out of court.

He said either of the parties involved, the Federal Ministry of Education and ASUU could approach the NICN for an out-of-court settlement.

He maintained that Nigeria must be guided by laws and nobody should use the dispute to harangue anybody.

“The pro-chancellors said they want to do a counteroffer. I told them to do it as quickly as possible. Those are ingredients of labour relations. It is not enough if you misinform your membership. That should be a disservice. We should read through things as it is and interpret same way. If I leave them in education, they will stay there two years,” he said.

Regarding the issue of inflation and workers’ salary, Ngige assured that the Federal Government will adjust workers’ salaries to meet current realities.

He said although they inserted a provision in the 2019 Minimum Wage Act to review wages either next year or 2024, the Federal Government has started the review with ASUU.

He recalled that ASUU was at the stage of CBA negotiation with their employers, the Federal Ministry of Education when they embarked on strike.

As the lawsuit seeking to compel ASUU to stop the strike persist, the National Industrial Court (NIC) sitting in Abuja, would rule on Wednesday, on an application the Federal Government filed for an interlocutory order to compel the ASUU to call off its ongoing strike action.

Justice Polycarp Hamman adjourned the application for ruling after he entertained arguments from both counsels to FG, Mr James Igwe and that of ASUU, Mr Femi Falana, SAN.

FG’s lawyer, Igwe, at the resumed proceedings in the matter on Monday, prayed the court to order the striking lecturers to in the interim, return to the classroom, pending the determination of the suit.

He maintained that the matter was not only urgent but of great national interest as millions of students who have been at home since February 14, 2022 have to return to school.

“Sections 47 of the Trade Dispute Act gives your lordship the power to direct that no worker should continue to embark on strike pending when the applications are heard and determined,” he argued.

According to him, since the dispute between FG and the lecturers is already before the court for adjudication, it would be proper and in the interest of justice for the strike action to be called off.

On his part, ASUU’s lawyer, Mr. Falana, SAN, said the union was currently meeting with stakeholders to ensure an amicable resolution of all the controversial issues.

Falana, therefore, appealed to the government to cooperate with the union to resolve the issue.

He, however, faulted a referral the Minister of Labour and Employment, forwarded to the court for an order to compel ASUU to return to work.

Arguing that such referral amounted to a directive from the Minister to the court, he maintained that neither a Minister nor the President could wield such powers as to control a court of competent jurisdiction.

Recall that ASUU had on February 14, embarked on an initial four weeks strike. It subsequently extended the strike action indefinitely, on August 29, following the breakdown of negotiations between the aggrieved varsity lecturers and FG.

However, FG, said it wants the court to adjudicate on the propriety or otherwise of the strike action.

While ASUU accused FG of not being sincere in its negotiation, the government, through the Ministry of Labour and Employment, approached the court to compel the striking lecturers to return to the classroom.

Specifically, it urged the court to, “interpret in its entirety the provisions of Section 18 LFN 2004, especially as it applies to the cessation of strike once a trade dispute is apprehended by the Minister of Labour and Employment and conciliation is ongoing.”

As well as requested for, “an order of the Court for ASUU members to resume work in their various universities while the issues in dispute are being addressed by the NICN in consonance with the provisions of Section 18 (I) (b) of the TDA Cap T8. LFN 2004.”

…Reps to meet ASUU Today

Meanwhile, the House of Representatives is set to meet with the ASUU and other stakeholders towards a  lasting solution to the lingering strike by the union.

This is contained in a statement by the Clerk of the House of Representatives,  Mr Yahaya Danzaria, on Monday in Abuja, as he made it known that the meeting would be taking place on Tuesday at the National Assembly, the House of Reps wing.

He stated that the meeting with ASUU and other critical stakeholders was tailored towards providing a lasting solution to the persistent strike embarked upon by ASUU.

According to him, the House of Reps is sincerely concerned about the static strike which seems to have defied all attempt made to find solution.

He further maintained that the House was unsettled been that there had been no yielding agreement reached between the Federal Government and the striking University lecturers leading to negative consequence than good on the quality of education.

…Imo University pulls out, opens for academic session

Meanwhile, the management of the Imo state university (IMSU) on Monday pulled out from the ongoing over seven months strike, announcing that it has opened the university for academic activities.

The management made this known to journalists in Owerri, through the IMSU, Public Relations Officer, PRO, Ralph Njoku.

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NDIC increases deposit insurance coverage for financial institutions

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…New review ensures safety of depositors’ funds — MD

…Warn depositors against patronising unregistered operators

By Matthew Denis, Abuja

The Nigeria Deposit Insurance Commission (NDIC) has announced an increase in maximum deposit insurance coverage for financial institutions in the country.

The new review was announced at a press briefing held at the NDIC headquarters in Abuja.

The Managing Director of the NDIC, Mr. Bello Hassan revealed that the increase of the maximum deposit insurance coverage from N500,000 to N5,000,000, would provide full coverage of 98.98percent of the total depositors compared with the current cover of 89.20 percent.

The MD said, “Findings indicate that high percentages of depositors ranging from 89.20 percent to 99.99 percent were fully insured under the maximum deposit insurance coverage levels across different bank categories (DMBs, PMBs, MFBs, and PSBs), meanwhile, a substantial portion of the total value of deposits, remain uninsured.

“We need to stress at this juncture that high levels of uninsured deposits pose a risk of bank runs. Indeed, the International Association of Deposit Insurers (IADI) Brief No. 9 of 2023 that examined the recent bank failures in the United States of America and Switzerland, concluded that, high levels of uninsured deposits in insured institutions might increase the likelihood of bank runs with dire impact on the stability of the financial system,” he explained.

 Mr. Bello stressed “that based on these considerations, and in line with our commitment to enhancing depositors’ protection, public confidence, financial inclusion, and stability of the financial system, I am pleased to announce that the NDIC’s Interim Management Committee (IMC), during its 18th meeting held on April 24th and 25th, approved an 3 increase in the maximum deposit insurance coverage levels for all licensed deposit-taking financial institutions with immediate effect.

“The adjustments are as follows: i. Deposit Money Banks (DMBs) The increase of the maximum deposit insurance coverage from N500,000 to N5,000,000, would provide full coverage of 98.98 percent of the total depositors compared with the current cover of 89.20 percent.

“In terms of the value of deposit covered, the revised coverage would increase the value of deposits covered by deposit insurance to 25.37 percent compared with the current cover of 6.31 percent of total value of deposits.”

The NDIC  boss explained  that at the Microfinance Banks (MFBs) the increase of the maximum deposit insurance coverage from N200,000 to N2,000,000, would provide full coverage of 99.27 percent of the total depositors compared with the current level of 98.76 percent and would increase the value of deposits covered by deposit insurance to 34.43 percent compared with 14.38 percent of total value of deposit, currently covered.

He revealed that Primary Mortgage Banks (PMBs) The increase of the maximum deposit insurance coverage from N500,000 to N2,000,000 would provide full coverage of 99.34 percent of the total depositors compared with the current 97.98 percent and would increase the value of deposits covered by deposit insurance to 21.04 percent compared with 10.77 percent of total value of deposit, currently covered.

 ”While the Payment Service Banks (PSBs) the increase of the maximum deposit insurance coverage from N500,000 to N2,000,000 would provide full coverage of 99.98 percent of the total number of depositors and would increase the value of deposits covered by deposit insurance to 43.10percent  of the total value deposits from the current cover of 40.60 percent.”

“Subscribers of Mobile Money Operators:  The increase of the maximum Pass-through deposit insurance coverage from N500,000 to N5,000,000 per subscriber per MMO as the applicable coverage level for depositors of DMBs. 4 7.0 I must emphasise that, the revised deposit insurance coverage has balanced the NDIC’s goals of deposit protection and financial system stability with incentives for depositors to practice market discipline and prevent banks from unnecessary risk-taking and moral hazard. Consideration was given to ensure that the coverage was limited but adequate enough to protect a large number of depositors and credible enough to prevent the destabilizing effect of bank runs,” he said.

Speaking further, Bello said the adoption of the revised maximum deposit insurance coverage is supported by the Corporation’s current funding, represented by the balances in the various Deposit Insurance Funds (DIFs), expected annual premium collection, enhanced supervision that would reduce the likelihood of bank failures, effective bank resolution frameworks and other funding arrangements provided by the NDIC Act No. 33 of 2023.

He buttressed further by noting, “I would like to reaffirm the NDIC’s unwavering commitment to protecting depositors and contributing to the stability of the financial system. These adjustments to the maximum deposit insurance coverage reflect our dedication to adapt and evolve in response to the changing landscape of the financial industry, and we remain steadfast in our pursuit of a secure and resilient banking environment for all.”

The MD also advised depositors to patronise only licensed and registered financial operators by the Central Bank and NDIC to avoid falling prey to mouth-watering Fintech operators who deceive customers with a lot of incentives and high interest rates.

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Minimum wage: Governors await committee decision, assure workers of increased wages

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The 36 states Governors of Nigerian states have stated that they are awaiting the decision of the 37-member tripartite committee inaugurated on the National Minimum Wage before taking an action on minimium wage.

Recall that the Federal Government had earlier set up a committee to look into the demands of the Organised Labour regarding measures to cushion the effects of the removal of fuel subsidy.

Edo State has since go on to increase her minimium wage to N70,000 while other Governors have initiated wage awards for workers in their respective states.

In a statement signed yesterday by the Nigeria Governors Forum (NGF) Chairman and Governor of Kwara State, AbdulRahman AbdulRazaq, at the end of the virtual meeting held Wednesday night, the state executives disclosed that they were committed to looking into issues bordering on the remuneration of state judicial officers and the infrastructure of the courts.

The 36 state governors under the aegis of the NGF said that they celebrate with workers across the country for their dedication to service and patience, as all have worked with the Federal Government, labour, the organised private sector, and relevant stakeholders in arriving at an implementable national minimum wage.

According to the governors, while they acknowledge various initiatives adopted recently by way of wage awards and partial wage adjustments, it was imperative to state that the 37-member tripartite committee inaugurated on the National Minimum Wage was still in consultation and yet to conclude its work, just as they said that they would remain committed to the process and promise that better wages would be the invariable outcome of their ongoing negotiations.

The statement read, “We, members of the Nigeria Governors’ Forum (NGF), at our meeting held today, deliberated on various issues of national importance.

“The Forum celebrates with workers across the country their dedication to service and patience as we work with the Federal Government, labour, organised private sector, and relevant stakeholders to arrive at an implementable national minimum wage.

“While we acknowledge various initiatives adopted recently by way of wage awards and partial wage adjustments, it is imperative to state that the 37-member tripartite committee inaugurated on the National Minimum Wage is still in consultation and yet to conclude its work.

“As members of the committee, we are reviewing our individual fiscal space as state governments and the consequential impact of various recommendations to arrive at an improved minimum wage we can pay sustainably. We remain committed to the process and promise that better wages will be the invariable outcome of ongoing negotiations.

“Members received the outgoing Country Director, Mr. Shubham Chadhuri, and the incoming Country Director, Mr. Ndiame Diop, of the World Bank, to discuss the Bank’s vision for transitioning. Mr. Chadhuri appreciated the Forum for the strategic role it continues to play in coordinating collective action for developmental change.

“He applauded the non-partisan character of the Forum, the professionalism of its Secretariat, and state governments’ commitment to mutual accountability mechanisms such as performance-based financing interventions by the Bank. Members expressed confidence in the choice of Mr. Diop to lead the collaboration going forward and look forward to a sustained and deepened relationship.

“The Forum discussed the revised National Policy on Justice (2024–2028) from the just concluded National Summit on Justice on 24th & 25th April 2024. Members agreed to consider the submissions from the summit as may concern their individual states, including recommended legal amendments, administrative improvements, and policies to strengthen the justice sector. Also, the Forum committed to looking into issues bordering on remuneration of state judicial officers and the infrastructure of the courts.”

“The Forum received a presentation from the National Human Capital Development (HCD) Programme—Core Working Group Secretariat, led by Ms. Rukaiya El-Rufai and Dr. Ahmad Abdulwahab. Both highlighted the marginal progress made by states and its contribution to Nigeria’s Human Development Index (HDI), especially across health, nutrition, education, and labour force participation.

“Having reviewed the previous program design and national strategy, a revised governance and implementation roadmap was proposed to scale up impact and ensure sustainability. Members pledged to support the effective domestication of proposed revisions to the national HCD strategy.

“Members received a briefing from Mrs. Oyinda Adedokun, Program Manager, State Action on Business Enabling Reforms (SABER) Federal Ministry of Finance Programme Coordination Unit.

“The briefing highlighted states’ performance in implementing advocated reforms relating to land administration; regulatory framework for private investment in fiber optic infrastructure, services provided by investment promotion agencies and public-private partnership units; efficiency and transparency of government-to-business services, under the World Bank financed program.

“The Forum commiserated with the Governors of Rivers State, H.E. Siminalayi Fubara, and Ogun State, H.E. Prince Dapo Abiodun, over the petrol tanker explosion and gas explosion that occurred on April 26th and 27th, 2024, respectively. Members called for proper maintenance of trucks, especially those fitted to convey Compressed Natural Gas (CNG), and recommended appropriate training for truck drivers.

“On enforcement of regulations, members resolved to engage relevant Ministries, Departments, & Agencies (MDAs) in order to align the activities of federal regulators with the operations of officials at the sub-national level.”

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Fidelity Bank records 120.1% growth in PBT to N39.5bn in Q1, 2024

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In line with its upward growth trajectory, leading financial institution, Fidelity Bank Plc, has posted an impressive 120.1 percent growth in Profit Before Tax from N17.9bn at the end of Q1 2023 to N39.5bn for Q1 2024. This was made known in the Bank’s unaudited financial statements released on the issuer portal of the Nigerian Exchange (NGX) on Tuesday, 30 April 2024.

According to the statement, Gross Earnings increased by 89.9 percent yoy to N192.1bn from N101.1bn in Q1 2023. The increase was led by a combination of interest income (90.7 percent yoy) and non-interest income (84.0 percent yoy). Growth in interest income was primarily spurred by a higher yield environment and strong earning assets base, while the increase in non-interest income was led by double-digit growth in account maintenance charges, FX-related income, trade, banking services, and remittances, supported by increased customer transactions.

Commenting on the results, Nneka Onyeali-Ikpe, MD/CEO, Fidelity Bank Plc stated, “We are pleased to report another quarter of strong financial performance driven by our strategic focus on customer-centricity, digital innovation and operational excellence. Despite the challenging macroeconomic environment, we remained resilient and agile, delivering double-digit growth on key income lines while advancing our business sustainability agenda.”

In the period under review, the bank grew Net interest income grew by 89.5 percent yoy to N99.6bn from N52.6bn in Q1 2023, driven by interest and similar income as the yield on financial instruments improved to 14.7 percent from 10.1 percent in Q1 2023 (2023FY: 11.6 percent). In line with the steady rise in interest rates through the year, average funding cost increased by 80bps ytd to 5.2 percent. However, NIM came in at 8.8 percent  compared to 8.1 percent in 2023FY, as increased yield on earning assets surpassed funding cost to 15.1 percent from 13.3 percent in Q1 2023 (2023FY: 13.5 percent).

Similarly, Total Deposits increased by 17.2 percent ytd to N4.7tn from N4.0tn in 2023FY, driven by double-digit growth across all deposit types (demand, savings and term). Net Loans and Advances increased by 21.2 percent to N3.7tn from N3.1tn in 2023FY.

“Beginning the year on this inspiring note reaffirms our strategy of helping individuals to grow, inspiring businesses to thrive and empowering economies to prosper. We are committed to our guidance as we build a more resilient business franchise with a well-diversified earnings base in 2024,” explained Onyeali-Ikpe.

Ranked as one of the best banks in Nigeria, Fidelity Bank is a full-fledged customer commercial bank with over 8.5 million customers serviced across its 251 business offices in Nigeria and the United Kingdom as well as on digital banking channels.

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