Elumelu Seeks Continuous Review of MOFI’s Operations to Identify Portfolio Risks

Ndubuisi Francis in Abuja

The Chairman of Heirs Holdings Group, Mr. Tony Elumelu, has urged the Ministry of Finance Incorporated (MOFI), the investment arm of the federal government, to embark on a continuous review of its operating environment in order to identify and mitigate emerging portfolio risks.

He also underscored the need for a commercial mindset, a strong corporate governance structure, a strong board with seasoned private sector professionals, and an empowered executive management team, which is balanced with non-executives who bring objectivity and experience.

These were part of the key success factors which he recommended at a public wealth management  conference organised by MOFI, with the theme, “Championing Nigeria’s Economic Prosperity.”

In his presentation which dwelt on the private sector perspective on public assets, Elumelu described MOFI as the strategic institution that will support the federal government’s efforts to address economic challenges and drive growth in the Nigerian economy.

He cautioned against rushing to see immediate profits, adding that such a mindset was needed “If we are to fully unlock the value contained within these state-owned assets.”

The billionaire urged MOFI to first set the strategic intent, prepare the milestones, know how it will be judged, and then execute with “discipline and always with that strategic intent in focus.”

The notable private sector player urged MOFI to tailor its operations towards Temasek, its counterpart in Singapore, which was established with state-owned assets worth $300 million, but currently  have assets worth approximately $300 billion.

Elumelu applauded MOFI  for looking widely for models and approaches, and for embracing a private sector mindset to the stewardship of public assets.

He expressed his Group’s readiness, “to support and partner with MOFI in whatever way we can to ensure that this initiative is a long-term success.”

“Times are hard for Nigerians everywhere and we must come together and act in unison to catalyse significant socio-economic development for Nigeria and all our people.

“I am assured that this team of professionals under the leadership of Dr. Armstrong are more than capable to lead MOFI on this journey,” he said.

He assured that his group was open to partnership with MOFI on the Abuja Electricity Distribution Company (AEDC) to optimise its operations for the overall benefit of electricity consumers.

 Elumelu said: “We have partnered with the FG to unlock the value of state-owned enterprises and we have shown how private sector efficiency translates into profitability and increased prosperity.”