Tuesday, 8 July 2014

Latest Update newsChina thinks it can defeat America in battle

The bad news first. The People's Republic of China now believes it can successfully prevent the United States from intervening in the event of a Chinese invasion of Taiwan or some other military assault by Beijing.
Now the good news. China is wrong — and for one major reason. It apparently disregards the decisive power of America's nuclear-powered submarines.
Moreover, for economic and demographic reasons Beijing has a narrow historical window in which to use its military to alter the world's power structure. If China doesn't make a major military move in the next couple decades, it probably never will.
The U.S. Navy's submarines — the unsung main defenders of the current world order — must hold the line against China for another 20 years. After that, America can declare a sort of quiet victory in the increasingly chilly Cold War with China.
How China wins
The bad news came from Lee Fuell, from the U.S. Air Force's National Air and Space Intelligence Center, during Fuell's testimony before the U.S.-China Economic and Security Review Commissionin Washington, D.C. on Jan. 30.
For years, Chinese military planning assumed that any attack by the People's Liberation Army on Taiwan or a disputed island would have to begin with a Pearl Harbor-style preemptive missile strike by China against U.S. forces in Japan and Guam. The PLA was so afraid of overwhelming American intervention that it genuinely believed it could not win unless the Americans were removed from the battlefield before the main campaign even began.
A preemptive strike was, needless to say, a highly risky proposition. If it worked, the PLA just might secure enough space and time to defeat defending troops, seize territory, and position itself for a favorable post-war settlement.
But if China failed to disable American forces with a surprise attack, Beijing could find itself fighting a full-scale war on at least two fronts: against the country it was invading plus the full might of U.S. Pacific Command, fully mobilized and probably strongly backed by the rest of the world.
That was then. But after two decades of sustained military modernization, the Chinese military has fundamentally changed its strategy in just the last year or so. According to Fuell, recent writings by PLA officers indicate "a growing confidence within the PLA that they can more-readily withstand U.S. involvement."
The preemptive strike is off the table — and with it, the risk of a full-scale American counterattack. Instead, Beijing believes it can attack Taiwan or another neighbor while also bloodlessly deterring U.S. intervention. It would do so by deploying such overwhelmingly strong military forces — ballistic missiles, aircraft carriers, jet fighters, and the like — that Washington dare not get involved.
The knock-on effects of deterring America could be world-changing. "Backing away from our commitments to protect Taiwan, Japan, or the Philippines would be tantamount to ceding East Asia to China's domination," Roger Cliff, a fellow at the Atlantic Council, said at the same U.S.-China Economic and Security Review Commission hearing on Jan. 30.
Worse, the world's liberal economic order — and indeed, the whole notion of democracy — could suffer irreparable harm. "The United States has both a moral and a material interest in a world in which democratic nations can survive and thrive," Cliff asserted.
Fortunately for that liberal order, America possesses by far the world's most powerful submarine force — one poised to quickly sink any Chinese invasion fleet. In announcing its readiness to hold off the U.S. military, the PLA seems to have ignored Washington's huge undersea advantage.

Saturday, 14 June 2014

How To Grow Micro Insurance

Micro insurance has been identified as a major plank to upscale the insurance industry business by creating more opportunities for operators and to cover the length and breadth of the country.
The industry regulator, the National Insurance Commission (NAICOM), also sees the huge potentials offered by this class of insurance. Experts believe this will help drive growth and put Nigeria ahead of South Africa.
Since the presentation of the Market Development Restructuring Initiative (MDRI) report in 2009, which identified micro insurance as a new market to be explored, the NAICOM has made remarkable progress in the area of introducing it into Nigeria’s big market which has huge opportunities.
The German Development Corporation and NAICOM embarked on a diagnostic study of micro insurance in Nigeria in 2012. The study sought evidence-based report on the position of micro insurance in Nigeria and further identified the capacity of the low-income people in Nigeria to use financial products and make the report a public resource in itself.
To capture this focused group, discussions were held for the demand side in nine states and five regions of Nigeria with 207 family units made up of over 2,000 family members. 54 public and private sector organisations were also met in the two states on the supplier and enabler side during the six months of the study.
The nine demand side states were made up of two urban communities, three semi-urban and four rural communities. All the communities identified their major risk exposure as sickness, accident, flood, drought, fire, political violence, religious violence, unforgiving quarrels and death. Some other risks were water borne diseases, hazardous jobs, snake bite and falling from tree top. They also had social expenses like weddings, funerals, extended family members, and absence of medical facilities to diagnose and to treat.
Experts maintain that  a national micro insurance goal and strategy statement together with a national business plan and regulatory framework should have to be put in place by the regulator to kick-start this new phase of insurance and sustain it.
Speaking on the subject recently, a consultant to the NAICOM and the managing director of Riskguard Africa Nigeria Limited, Chief Yemi Sholadoye,  disclosed that the insurance industry’s minimum capital requirement (MCR) has been increased by 6,250 per cent over a period of 40 years. Sholadoye shares the belief that Nigeria has the potential to surpass South Africa or any other country in micro insurance record, if not in penetration at least in absolute figure, within five years.
Out of the 1,079,000 micro insurance insured in Nigeria in 2012, 70 per cent had credit life policy; 7.5 per cent personal accident; 2.5 perc ent property insurance; 10 per cent savings life; and 10 per cent health insurance. In essence, only 20 per cent of the people were voluntary insured. Usually, those under compulsory insurance always do not know that they have bought insurance.
But he said that for micro insurance to be relevant to the low income people in Nigeria, it must be made simple. There must be staple bundled products, ankle risks embedded into many other trusted and every day use products like telephone, banking, fertiliser, mass transit and so on. The products have to be developed in local languages of Nigeria, at least in four languages – pidgin English, Yoruba, Hausa and Igbo.
The contract or application form which is the basis of an insurance contract, must be a simple, maximum of one page document extracting simple pieces of information about the applicant. The agreement (policy) document is the evidence of an insurance contract. It must also be a simple, maximum of one page document, and possibly in the local language. It must not contain long list of exclusions, clauses, technical and legal jargons or be separated into headings like operative clause, recital clause and so on.
Claims administration must not be cumbersome. Claims notification may be made on phone and there may be no completion of forms. With the experience in the microfinance, business, fraud is not commonly perpetrated by the low income people, except by or with the connivance of the loan officer. There is no long process of claim investigation and adjustment or excess and deductibles.

Naira Weakens As Liquidity Keeps Interbank Market Stable


Naira notes
Despite the auctions by the Central Bank of Nigeria (CBN) and the Debt Management Office (DMO), the Nigerian interbank market remained stable yesterday amidst excess liquidity even as increased demand for the greenback weakened the naira to N162.65 to the dollar.
Traders said although they had expected the naira to close stronger on expected dollar sales by oil companies and the CBN’s Retail Dutch Auction on Wednesday, increased demand weakened the naira against the dollar.
The naira which closed on Tuesday at N162.57 to the dollar, lost value yesterday despite dollar sales by four oil companies as well as the CBN.
Currency analysts at Ecobank, Olakunle Ezun, told LEADERSHIP, “We actually thought that the naira will close stronger around N162.00 with the sales from the oil companies but the demand was high causing it to close weaker than Tuesday’s value.”
The CBN had on Monday offered $400 billion at the RDAS but eventually sold $355.44 billion at N155.73 to the dollar. Last week, it sold $635.84 billion at the two RDAS on Monday and Wednesday.

Boko Haram Threatens US Security- Congress


Nigeria’s Ambassador to the United States, Prof. Adebowale Adefuye
Chairman of the Congress Sub-Committee on Africa, Global Health, Global Human Rights and International Organisations, Hon Christopher Smith, has said that the activities of Boko Haram threaten the United States’ security and that of the American citizens globally.
He added that the Nigeria-based terrorists also threaten the economic interest of his country.
This is just as the Nigerian ambassador to the US, Prof Adebowale Adefuye, who was at the Congress to listen to the testimonies especially from Ambassador Robin Sanders which was generally positive and sympathetic to Nigeria, revealed that the Boko Haram activities would soon come to an end.
Speaking yesterday during a testimony on Boko Haram at the Rayburn Building in Washington, DC, Rep Smith noted that the threat of the group’s activities was the reason why the United States designated the group as a Foreign Terrorist Organisation (FTO).
“Surely, Boko Haram/Ansaru meets the criteria for an organisation to be declared an FTO,” he said.
Rep Smith said further that it was imperative that the US provided the training and support for Nigerians to develop their own capacity to help Nigeria end the Boko Haram threat, stressing that there was also need to ensure that America’s investigative capacity under the Foreign Terrorist Organisation designation was sufficient to identify those providing material and other assistance to Boko Haram. “Without this element, our sanctions on Boko Haram and its leaders will not be effective,” he noted.
After the hearing which included Ambassador Robin Sanders, Mr Anselm John-Miller, Mr Emmanuel Ogebe, and Dr Peter Pham, Ambassador Adefuye held informal meetings with US Senators and Congressmen where he informed them of steps that the federal government has been taking to deal with security and other challenges facing Nigeria.
During the meeting with the US parliamentarians which Adefuye described as the continuation of diplomatic efforts that the Nigerian Embassy is making to correct the misguided perception of a large section of the American population on the situation in Nigeria, the envoy said that he and his staff had been holding series of meetings with key stakeholders in America, briefing them about the development in Nigeria and assuring them that the situation is not as bad as some media organisations made it to appear.
Adefuye also told the United States legislators that the destruction caused by Boko Haram was bad enough to cause concern but quickly added that it was limited to only three out of the thirty-six states of the country. He added that constructive activities had been going on in Nigeria.
“The embassy usually highlights the success of the World Economic Forum and the very successful Investment Forum held for the governors of the Northern States on May 10, 2014, and this is part of the continous efforts of the government to address areas affected by Boko Haram. The Mission makes the point that Boko Haram was a product of acts of commission or omission of post independent governments that preceded President Goodluck Jonathan. The Transformation Agenda of the president is trying to correct  the defects in the structure and economy of the country”
The Ambassador  pressed further that the embassy makes strenuous efforts to dismiss the notion of government delayed response to the Chibok kidnapping, stressing that government did and is still doing what a responsive government should do and promptly dop. He added that while the Bring Back Our Girls still continued, the engagement with the cross section of the American society had yielded some dividends as American society has now begun to understand that the image of Nigeria as presented by the international media has emphasized too much of the negatives and that Nigeria is a country that deserves the support and cooperation of objective people.

Former Nigerian leader doubtful over kidnapped girls' return

Lagos (AFP) - Nigeria's former president Olusegun Obasanjo has voiced fears that not all of the Nigerian schoolgirls kidnapped by Boko Haram would return.
"It's inconceivable to get all of them back," he said in an interview with the Premium Times online news site published Thursday.
"If you get all of them back, I will consider it a near-miracle," he was quoted as saying.
Boko Haram militants abducted 276 girls from their school in the remote town of Chibok, in northeastern Borno state, on April 14.
Nearly two months on, there is little sign of the girls being freed or rescued, despite Nigeria's military saying that they knew where the teenagers were being held and an international rescue effort.
Obasanjo, who last month held exploratory talks to open channels of communication with the Islamists through intermediaries, echoed widely held doubts that all of the girls were still together.
Analysts suspect that the 219 girls still missing are likely to have been split into smaller groups and possibly taken outside Nigeria.
The mass abduction triggered global condemnation and criticism about Nigeria's government and military initial response, which was described as slow and lacklustre.
In a recent televised interview, Obasanjo -- president from 1999 to 2007 after the country returned to civilian rule -- had slammed the Nigerian authorities' lethargy in rescuing the girls.
US drones and surveillance aircraft have been involved in the hunt but with Nigeria fearful that an armed response would put the girls' lives in danger, talk has turned to negotiations.
Boko Haram's leader Abubakar Shekau has indicated that he may be prepared to release the girls in exchange for militant fighters held in the country's jails.
Nigeria's government initially rejected the proposal out of hand but there are indications that it may be prepared to open dialogue.

Pope says to ask God's advice on retirement

Barcelona (AFP) - Pope Francis said in an interview Friday he will ask God's advice when the time comes to consider retiring like his 87-year-old predecessor Benedict XVI.
Benedict last year became the first pope to resign since the Middle Ages, retiring from public life to live in a former monastery inside the Vatican City walls.
"Since we live longer, we get to an age at which we can no longer carry on with things," the 77-year-old Francis said in a wide-ranging interview with the Vatican correspondent of Barcelona-based daily La Vanguardia.
The pontiff said Benedict made a "great gesture" when he left his position as leader of the Church, opening the door to the possibility of emeritus popes.
"I will do the same as he did: ask the Lord to show me when the moment comes and tell me what to do, and he will tell me for sure," said the spiritual leader of the world's 1.2 billion Roman Catholics.
The pope alluded to his mortality when admitting that he took a risk when he avoided riding in the closed-in "popemobile".
"I cannot greet the people and tell them I love them inside a sardine can, even if it is glass," he said, describing the protection as a "wall".
"It is true something could happen to me but let's be realistic, at my age I do not have much to lose," the pope said.
Following his first visit to the Middle East as pope last month, the pontiff criticised fundamentalism in Christianity, Islam and Judaism as a form of violence.
"A fundamentalist group, even if it kills no one, even it strikes no one, is violent. The mental structure of fundamentalism is violence in the name of God."
Asked about religious violence in the Middle East, Francis, who made his first visit to the region as pope last month, said it was a "contradiction".
"Violence in God's name does not fit with our times. It is something old. With historical perspective, we have to say that we Christians, at times, have practiced it," he was quoted as saying.
"Today it is unimaginable."
- 'It's madness' -
Anti-Semitism, the pope said, seemed to be linked more to the right-wing than to the left, though he could not explain why.
"And it still continues. We even have people who deny the Holocaust, which is madness."
Pope Francis said he was worried about drives for independence in lands such as Scotland and Catalonia.
The Argentine pontiff said separatism was understandable in cases such as former colonies and the former Yugoslavia, but said these models did not apply in all cases.
"Any division worries me," he said.
He cited cases such as Scotland, the northeastern Spanish region of Catalonia and the northern Italian region of Padania, saying these did not have the same history of "forced unity".
"There are obviously peoples with cultures so diverse that they cannot be stuck together even with glue. In the case of Yugoslavia that is very clear but I wonder where it is so clear in other cases of peoples who until now have been together," he was quoted as saying.
Pope Francis reserved harsh criticism for the global economic system, saying it leaves millions of young unemployed, puts money ahead of people and survives on the profits of war.
"It's madness," the pope said.
"We discard a whole generation to maintain an economic system that no longer endures, a system that to survive has to make war, as the big empires have always done," Francis said.

US condemns attack on Russian embassy in Kiev

Washington (AFP) - The United States condemned an attack on Russia's embassy in Kiev on Saturday and called on Ukraine to provide adequate security for the diplomatic mission.
The US reaction came after a crowd, inflamed by the downing of a Ukrainian military transport plane, tore down the embassy's flag and overturned vehicles as a dozen police looked on.
"The United States condemns the attack on the Russian Embassy in Kiev, and calls on Ukrainian authorities to meet their Vienna convention obligations to provide adequate security," State Department spokeswoman Jen Psaki said.
US Secretary of State John Kerry, meanwhile, called Ukraine Prime Minister Arseniy Yatsenyuk and expressed condolences for the 49 troops killed Saturday when pro-Russian rebels shot down the Il-76 transport plane near the airport that serves the city of Lugansk, a senior State Department official said.
The official, who spoke on condition of anonymity, said Kerry underscored to Yatsenyuk "the commitment of the United States and G7 partners to raise the costs for Russia if it does not end the flow of weapons across the border and break with separatists."
Kerry also called Russian Foreign Minister Sergei Lavrov, voicing the United States' "strong concern" about the transport of heavy weapons and militants across the Russian border into eastern Ukraine, and the downing of the transport plane.
"He pressed Foreign Minister Lavrov to make clear Russia's commitment to de-escalation and peace by ending the flow of weapons and support to separatists, and actively working with Ukraine for a ceasefire, amnesty, and political dialogue," the official said.