Goldman Sachs director gets spot in Nigeria's new Cabinet

Nigeria's Acting President included some surprises in his new Cabinet one week after sacking the Government in Africa's leading oil producer.

Goodluck Jonathan included a newcomer from Goldman Sachs and promoted the junior oil minister in what was seen as an attempt to return to a reform agenda after months of drift and paralysis in the crisis-stricken nation.

Only nine former ministers look set to be reappointed, among them Odein Ajumogobia, previously junior oil minister, who is likely to be promoted after his former boss Rilwanu Lukman was omitted.

The Acting President moved to assert his authority over the fractious Government, which has been paralysed since November, as President Umaru Yar'Adua has been suffering from a mysterious illness and has not been seen in public.

Jonathan has had to struggle for control with a cabal surrounding the first lady, Turai Yar'Adua, amid fears a political crisis could worsen sectarian violence and undermine efforts to extend a ceasefire in the oil-producing Niger Delta.

Jonathan produced a list of 33 names for the Senate to consider, and his only obvious concession to the powerful northern block around Yar'Adua was the naming of his nephew Murtala.

"All of this will be very closely watched by investors," Razia Khan, head of Africa research at Standard Chartered, said.

"Appointments will be key to determining whether the aim is to kickstart reforms ... or whether this is just politics returning to centre stage," she said.

The power struggle between supporters of Yar'Adua, a Muslim northerner and Jonathan, a Christian southerner, has dangerously mirrored north-south sectarian tensions in the country. Yesterday's list of names was a reminder of the complexities of balancing interest groups across 36 states and numerous ethnic groups in Africa's most populous country.

Early interest among analysts focused on the choice of Olusegun Aganga, a London-based managing director at Goldman Sachs. His inclusion appeared to signal the Acting President's intent to move ahead with critical banking reforms and bring in new blood to what was seen as Yar'Adua's failing Administration.

The nomination of Aganga comes as Nigeria is set to test its strength with foreign investors with a US$500 million ($710 million) global bond.

- INDEPENDENT