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Hello <<First Name>>,


In a world where many things are contending for our attention, it’s easy to lose track of issues that matter, that’s why on the 8th March all around the world we celebrate women’s day: a day set to celebrate the achievements of women and more importantly, discuss issues hindering more achievements from happening.


With this year’s theme being #EachforEqual, we hope you’d spend it reconsidering your worldviews and taking actions towards making the world more gender-balanced.

Now, The Stories for the Week.



How Nigeria performed in 2019



At the end of February, the National Bureau of Statistics (NBS) announced that the Nigerian economy had grown by ~2.3% in 2019. While most headlines celebrated it as the highest Gross Domestic Product growth (GDP) since 2015, there’s more to it than meets the eyes.


Let’s dig deeper

Contribution to total GDP: The Oil sector contributed 7.78% while the Non-Oil sector contributed 91.22%.

GDP measures the monetary value of everything produced in the country. The Oil sector only contributes a tiny portion of Nigeria’s GDP but Nigeria is still Oil dependent because over 80% of Nigeria's total exports are Oil products.


Relationship with Population

Nigeria’s population is said to currently grow at 3% every year, that’s more than GDP Growth. 

What this means: When population increases, it can only be by more working (migration of adults) or non-working (Babies) population for any country. Increase by, say, migration of adults means there’d be more workers in the economy to produce more goods and services. However, In Nigeria’s case, where the population is growing by babies who can’t contribute to the economy yet. It means more people sharing the available resources, that’s counterproductive.


Compared to West African countries

When compared to other West African countries, they grew by 6% on average in 2018, led by Côte d'Ivoire at 7.4%, only Liberia (3.2%) comes close to Nigeria in terms of low growth.


While Nigeria is taking a lot of beating, our case isn’t as bad as South Africa which entered a recession - when the GDP falls for two consecutive quarters - after results for 2019 Q4 were released. For the whole of 2019, the South African economy grew by only 0.2%


I don’t feel any different about all this, How does this affect me?

For a number of years now, there’s been questions around whether GDP is an accurate measure of economic progress, GDP which measures national income, emerged from the need to better understand economic challenges following the Great Depression and to help track critical supply chains during the Second World War but GDP was never intended as a measure of well-being. It’s okay to feel that GDP changes doesn't directly affect you. 

A number of indices like the UN’s Sustainable Development Goals or Canada’s Comprehensive Wealth project seem to offer alternative ways to measure how a nation is progressing.


The State of ride-Hailing in Nigeria

About a month ago, the Lagos state government enforced a ban on commercial motorcycles (okada) restricting the activities of independent motorcycle riders and bike hailing platforms. The government has also laid down a bunch of regulations for ride-hailing companies.


What kind of Regulations?

Here’s some;

Drivers are expected to have a Lagos State Drivers’ Institute (LASDRI) card, hackney permits and a driver badge.

Operators with less than 1000 drivers pay a license fee of ₦10 million and a renewal fee of ₦5 million

Operators with more than 1000 drivers pay a license fee of ₦25 million and a renewal fee set at ₦10 million. 10% remittance to the govt on each trip.

Harsh huh? The ride-hailing companies think so too. That's why the focus has turned to Nigeria’s third-largest city, Ibadan which is slowly becoming the new battleground for bike hailing services. 


Why Ibadan: Well, Its has a large population of 3 million people, regulatory certainty and culture of commuting by motorcycle.


Major players in this market

Oride - started its business in the region in 2019 by offering discounts to customers who ordered rides from its mobile application. It has the most share of passengers in the ride-hailing sector because it operated as a monopoly in its first 6 months

Safeboda - This African startup which already had operations in Uganda and Kenya launched in Nigeria in January 2020. 

Max NG - Launched in Lagos but moved most of its operations to Ibadan because of the ban. It offers a unique proposition of issuing branded bikes to its riders while leveraging its strong reputation.

Who wins?

Just like all businesses, it comes down to affordability, quality, and the experience of these ride-hailing services which must be spurred through Innovation. 




State of the Corona Outbreak

We compare the figures from a week ago to this week.





Confirmed Cases













How this affects Oil prices
While the price of hand sanitizers have increased, Oil prices have dropped more than 9% to their lowest level in nearly three years due to low demand as fewer people are travelling.

And Major Oil-producing nations have failed because of Russia to agree on supply cuts aimed at shoring up the price. It's not clear why Russia isn't in on the plan but  Russia seems to be comfortable with fall in prices. For example, 
Saudi Arabia needs oil prices of about $80 a barrel to balance its state budget while Russia apparently can cope with prices as low as $42.


The Elevator business is valuable for many reasons



Few things remind us of the saying what goes up, must come down like an elevator, just like this saying it appears the elevator industry is about to experience a first significant change in a long while. Thyssenkrupp, a German engineering giant, recently announced that it would sell its elevator business to a group of private equity companies for $18.9 billion. If this goes through it would be the largest private equity deal in Europe since the 2008 financial crisis.


Why so?

Increasing pension costs, piling debts (ThyssenKrupp’s net debt is currently more than $7.7 billion) and slow down in the German Manufacturing economy.


And how’s the Elevator Industry doing?

The Elevator Industry is ruled by 4 companies -- Otis 🇺🇸, Kone 🇫🇮, Schindler 🇨🇭 and Thyssenkrupp 🇩🇪 -- who control about 60% of the Market. They control it so much that they’ve been known to collaborate to fix prices in the past -- which they were fined for.



Business isn’t slowing down thanks to urbanization, ageing populations and more single-person households which are all spurring the construction of denser, taller residential buildings, especially in Asia. China accounts for more than 60% of the world’s new elevator installations.


How Elevator companies make money

By selling Elevators of course and providing after-sales support. 

In 2018, Otis raked in $12.9B in revenue. It said 45% of its revenue comes from the sales of new equipment and 55% comes from service.

It appears there’s more money in service than Hardware. Hardware companies in time past have found ways to grow revenue by adding after-sales support, more recently analytics software as a service and subscriptions.

The elevator industry, like many other industries, is experiencing a digital transformation. The next move appears to be elevator-as-a-service.

Worth Reading 📚

How I recovered from CoronaVirus

Pritzker Architecture Prize Goes to Two Women for the First Time


Women and the economy - Nigeria's gender problem

Quote 💭


Almost everything will work again if you unplug it for a few minutes, including you.


Anne Lamott (American author and poet)

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Written by Daniel Adeyemi, Bright Azuh and Damilola Amusan.


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