Nigerians have been reassured by the nominees for the Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) that the MPC will endeavor to promptly tackle the foreign exchange problem and food inflation. The names of candidates for the Monetary Policy Committee of the top bank were sent to the Senate by President Bola Tinubu last week for approval, in advance of the MPC meeting the following week. The Senate examined these candidates on Wednesday for membership in the MPC. Six of the twelve nominees were vetted by the Senate through its Committee on Banking, Insurance, and Other…
Author: Ken Ibenne
The Federal Government’s plans to recapitalize and restructure the Bank of Agriculture (BOA) have been made public by Vice President Kashim Shettima. Nigeria’s agricultural industry is to be strengthened, and national food self-sufficiency is to be ensured. Speaking at the inaugural National Council on Privatization (NCP) gathering in 2024, Vice President Shettima stressed the critical role that the Bank of Agriculture (BOA) plays in guaranteeing food security for the country. He emphasized the bank’s extensive reach in this vital task, pointing out that it has branches in every senatorial district in the nation. By suggesting that the Green Imperative Project…
The federal government of Nigeria has declared intentions to raise a maximum of $10 billion as part of immediate preparations to bolster the value of the naira and add liquidity to the foreign exchange market. At the Ministry of Finance Incorporated’s (MOFI) first Public Wealth Management Conference on Tuesday in Abuja, President Tinubu made this revelation. “Most recently, the Nigerian Federal Government established a target of raising $10 billion or more to boost foreign exchange liquidity—a necessary component for stabilizing the value of the naira and fostering economic growth.” “The central idea behind these objectives is that we need to…
A new project by the federal government aims to connect all of the nation’s internet facilities. Through the implementation of ‘Project 774 LG connection,’ an initiative of the Ministry of Communications, Innovation, and Digital Economy, the program aims to alleviate inadequate internet and digital access by linking all 774 local government secretariats to the internet. The project, which will be co-anchored by Nigerian Communications Satellite Limited and Galaxy Backbone, was announced on Monday, February 19, 2024, by Dr. Bosun Tijanni, the minister in charge of the ministry. It is in line with President Bola Ahmed Tinubu’s “Renewed Hope Agenda” as…
Through the use of tools for skill learning, the non-profit organization Ebony Ambassadors has empowered young people. Irene Ani, the organization’s founder, stated that the goal of the program was to empower young people for sustainability. She pointed out that learning new skills was the best course of action, given the high rate of unemployment in the nation. Speaking of her experience as a first-year student in London fifteen years prior, Ani described how her acquisition of skills allowed her to complete her education without the need for a student loan: “I learned how to make hair when I got…
To improve youth financial literacy, entrepreneurship, and career development, the Federal Ministry of Youth Development and the National Insurance Commission (NAICOM) have joined to investigate possible synergies. This was decided upon during the commission’s meeting with Ayodele Olawande, the Ministry of State for Youth Development when the latter paid a visit to Sunday Thomas, the NAICOM Commissioner for Insurance. Thomas gave an overview of the Nigerian insurance industry’s landscape at the meeting and emphasized the country’s accomplishments in the areas of financial inclusion, risk-based oversight, and the adoption of international accounting standards. In addition, he reaffirmed NAICOM’s dedication to promoting…
In its most recent Macroeconomic Performance and Outlook (MEO), the African Development Bank (AfDB) group predicted that eleven of the world’s twenty fastest-growing economies would be located in Africa in 2024. In 2024 and 2025, respectively, real gross domestic product (GDP) growth is predicted to average 3.8% and 4.2% on the continent. According to the research, this is greater than the estimated global averages of 2.9% and 3.2%. After Asia, the continent is expected to continue increasing at the second-fastest rate. Following Nigeria (11.2%), Senegal (8.2%), Libya (7.9%), Rwanda (7.2%), Cote d’Ivoire (6.8%), and Ethiopia (6.7%) are the top 11…
Nigerian National Petroleum Company (NNPC) Ltd/TotalEnergies Joint Venture (JV) has achieved zero routine gas flare across its assets in pursuit of meeting 20 percent unconditional and 47 percent conditional greenhouse gas emission reduction targets contained in the Nationally Determined Contribution under the Paris Accord signed by President Bola Ahmed Tinubu administration. NNPC Ltd. and TotalEnergies jointly announced the accomplishment yesterday during an inspection tour to OML 100, which is situated in the southeast Niger Delta, off the coast of Port Harcourt. The purpose of the mission was to evaluate the operational mining lease (OML) Flare Reduction Project’s development. OML 100…
In the first nine months of 2023, gross premiums of N339.848 billion were accounted for by seven underwriting firms that are listed on the stock exchange. This amounts to 47% of the N729.1 billion that the industry as a whole made during the same period. Their financial filings disclosed this. A total of N116.636 billion was also paid out by the insurance carriers to policyholders who were in danger during that time. Despite an economic downturn, the claim payment represented a notable rise of 20.36 percent over the N96.902 billion paid during the same period in 2022. When compared to…
In the wake of advances in numerous blue-chip firms, particularly Seplat and Airtel Africa, yesterday’s closing of the Nigerian equities market saw a halt to losses, with investors’ wealth reaching N980 billion. The Nigerian Exchange Limited (NGX) All-Share Index (ASI) increased by 1,790.58 points at the end of trading yesterday, or 1.76 percent, to settle at 103,498.28 points. Additionally, market capitalization increased to N56.633 trillion at the closing, up N980 billion. Large and medium-cap equities, such as Seplat Energy, Airtel Africa, Geregu Power, BUA Foods, and FBN Holdings (FBNH), had price increases that propelled the upswing. The market was in…
The depreciation of the naira last year has cost three companies within the Fast-Moving Consumer Goods (FMCG) category—BUA Foods, Flourmills, and Cadbury Nigeria—more than N140 billion. BUA Foods lost N73.56 billion in foreign exchange (FX), while Cadbury Plc lost N36.93 billion. During that time, Flourmills’ foreign exchange loss increased by 208% to N31.48 billion. Despite its impressive sales of N80.38 billion in 2023, a 46% rise from the N55.21 billion achieved in 2022, Cadbury Nigeria reported a loss of N27.63 billion, a huge fall of 2,228 percent from the N1.3 billion pre-tax profit recorded in 2022. The company had an…
Together, the Nigeria Oil and Gas Free Zones Authority (OGFZA) and the Nigeria Agricultural Quarantine Service (NAQS) aim to protect and promote commerce in the agricultural sector. The collaboration comes about as a result of a high-level meeting that was held at the NAQS Headquarters in Abuja between the Managing Director of the (OGFZA), Bamanga Usman Jada, and his team, and the Acting Comptroller General of the Nigeria Agricultural Quarantine Service (NAQS), Dr. Godwin Sunday Audu. In his speech, the NAQS DG reaffirmed the organization’s dedication to advancing trade, safeguarding Nigeria’s agriculture sector, and adhering to international phytosanitary norms. He…
President Bola Ahmed Tinubu will develop and turn the Niger Delta region into a zone of development, the Governing Board of the Niger Delta Development Commission (NDDC) has promised. At a two-day strategic retreat hosted by the Commission’s board and management in the state of Akwa Ibom, Chiedu Ebie, the Chairman of the NDDC Governing Board, made this statement. According to Ebie, Tinubu established the board as part of his plans to advance regional development and refute false narratives that the Commission had previously been afflicted with. He continued by saying that the board has chosen a leadership approach that…
The Nigerian Electricity Regulatory Commission (NERC) fined electricity distribution companies (DisCos) N10.5 billion for not adhering to the capping of estimated bills for unmetered customers. The Federal Competition and Consumer Protection Commission (FCCPC) has endorsed this action. The fine is a result of continuous efforts to improve consumer protection and resolve concerns with electricity billing. The commission stressed how crucial it is to ensure fair billing practices and hold power distributors responsible while upholding a high standard of service delivery. Dr. Adamu Abdullahi, the Acting Executive Vice Chairman and Chief Executive Officer of the Commission, stated that the Federal Competition…
Kemi Badenoch, the minister of business and trade for the United Kingdom, has arrived in Nigeria and will be here for three days. The visit would strengthen the UK-Nigeria collaboration, the British High Commission said in a statement. According to information provided to The Guardian, the minister will discuss matters of common interest to both countries with her counterparts in Nigeria and other important government representatives while she was there. James Cleverly, the former foreign secretary of the United Kingdom, paid an official visit to the nation in August of last year to hold follow-up discussions on defense and security…
Mastercard has completed the acquisition of a minority investment in MoMo, the financial technology unit of MTN, six months after the payment company first revealed its intentions to do so. According to MTN, it and Mastercard have inked a “definitive agreement” for a minority investment of up to $200 million (R3.8 billion) at a cash and debt-free valuation of $5.2 billion (R99 billion) in MTN Group Fintech. The telecom company said that the deal, which was first disclosed on August 14, 2023, is subject to customary closing conditions and is not classified under the standards for listings on the Johannesburg…
The Federal Accounts Allocation Committee (FAAC) foreign exchange (FX) rate gain for the federal, state, and local governments was N2.52 trillion last year. The sum was a portion of the N2.84 trillion gross foreign exchange gain realized for the year. The FAAC report for the period of January through December 2023 is the source of the data. The federation reportedly deducted N318.29 billion from the non-oil excess account for the period and earned N2.836 trillion as foreign exchange gain. The states earned N614.49 billion from the N2.52 trillion, while the federal government received N1.211 trillion. The amount given to local…
The Manufacturers Association of Nigeria (MAN) is advocating for an urgent reversal of the recent ban imposed on sachet and pet bottle spirit drinks. The industry body emphasizes the need for quick action to address the implications of the prohibition. In response to the ban, MAN has expressed concern about the potential impact on the manufacturing sector and the overall economy. The association highlights the importance of a prompt resolution to mitigate any adverse effects on businesses involved in the production of sachet and pet bottle spirit drinks. MAN’s call for an immediate reversal underscores the urgency of addressing the…
Electronic payment transactions in December were N71 trillion, raising the total amount of transactions for the year to N600 trillion, despite a number of teething problems facing the digital realm. The N71 trillion was a record monthly amount on the Nigeria Inter-Bank Settlement System (NIBSS) Instant Payment (NIP), according to information that were made public yesterday. The increase may be explained by the growing use of electronic payments and celebratory occasions. The data on electronic payments demonstrated a consistent rise in 2023, despite a number of obstacles, such as the severe cash shortage experienced in the first quarter of the…
First City Monument Bank (FCMB) has started an accelerator programme aimed at helping over a million small and medium-sized businesses (SMEs) in Nigeria expand and improve their skills. The bank seeks to provide startups and established companies with the tools and resources necessary to produce cutting-edge goods and services, open up new markets, and accelerate growth through partnerships with SkillPaddy and other industry professionals. Through a technical assistance grant of ₦284.7 million from Proparco (the private sector arm of the French Development Agency) and ₦227 million from the African Development Bank (AfDB), the bank announced it will upskill around one…
The French company TotalEnergies announced on Wednesday that its 2023 earnings were the greatest in company history, supported by the success of its power and liquefied natural gas businesses. With a $21.4 billion net profit, the company increased its profits by 4% from 2022. The French energy giant outperformed its international competitors Shell, BP, Exxon-Mobil, and Chevron, all of whom reported lower profitability despite reduced energy prices, in terms of its bottom line. However, TotalEnergies’s enormous extraordinary charge of $15 billion from its withdrawal from Russia when that nation invaded Ukraine hurt the company’s 2022 net profit. Last year’s profits…
The Central Bank of Nigeria (CBN) has strengthened the country’s financial system, and the Association of Bank Directors Association of Nigeria (BDAN) has praised the CBN’s efforts, saying they demonstrate the central bank’s dedication to maintaining the stability and resilience of the banking industry. The CBN leadership expressed concerns about banks’ increasing foreign currency exposure by issuing a circular titled “Harmonization of reporting requirements on foreign currency exposures of banks.” The circular stated that the net open position (NOP) for all foreign currency assets and liabilities should not surpass 20% short or 0% long of shareholders’ funds. Mustafa Chike-Obi, the…
In December 2023, the Debt Management Office (DMO) sold T-bills valued at ₦1.18 trillion through its auctions. This represents a month-over-month (MoM) rise of 11.9 percent (₦126.06 billion) over the value of T-bills sold through its auctions in November 2023 (₦1.059 trillion). In a similar vein, the DMO reopened two 10-year, one 15-year, and one 30-year FGN bonds in December 2023 and sold FGN Bonds for ₦273.63 billion. The wholesale amounts to ₦160.87 billion, a 37.02 percent MoM decline from the amount sold in November 2023 (₦434.5 billion) for the identical FGN bond maturities, and a 23.9% under-subscription of the…
Concerns have been raised by the Federal Competition and Consumer Protection Commission (FCCPC) regarding the persistent disregard of online lenders, also referred to as loan apps, for its Limited Interim Regulatory/Registration Framework and Guidelines. According to a statement released by the FCCPC and signed by Dr. Adamu Abdullahi, Acting Executive Vice Chairman, and Chief Executive Officer, the number of infractions has increased as more Nigerians are now obtaining loans through different lending apps. Abdullahi pointed out that the increasing number of clients who are in default may have been the catalyst for the use of harassment and slander. He issued…
The FMDQ Securities Exchange’s secondary market turnover was N35.8 trillion in December, up 28.49 percent (N7.94 trillion) month over month and 70.20 percent (N14.77 trillion) year over year from November 2023 and December 2022, respectively. The exchange claims that transactions involving foreign exchange (FX), CBN Bills, and money market (MM) accounted for 73.3% of secondary market turnover in December 2023, dominating secondary market activity. Additionally, in December 2023, the total spot market turnover for all products sold in the secondary market was N30 trillion, which is a MoM increase of N5.15 trillion, or 20.6%, from the November 2023 data. It…
The European Commission (EC) and the African Development Bank Group have formalized a new Financial Framework Partnership Agreement to increase investments in infrastructure projects in Africa on the fringes of this week’s Italy-Africa Summit. Over the past two years, the European Union has boosted its contribution to co-finance operations with the African Development Bank dramatically, to the point where blending operations and guarantees currently total €972 million. Following the signature of the updated Financial Framework Partnership Agreement, this amount will rise even further. This historic agreement, which was signed today by Presidents of the African Development Bank Group and the…
The Escravos Seaport Industrial Complex (ESIC) project in Delta State will require $27.29 billion in funding, and Hong Kong-based EDIB International Limited has indicated that it is willing to provide that money. The development project, which is situated in the Warri South-West Local Government Area of Delta State’s Escravos (Gbaramatu Island/Omadino) is to be carried out through a Joint Venture Partnership (JVP) with the Nigerian company Mercury Maritime Concession Company Limited (MMCC). According to Kwame Springer, the chairman of EDIB International Limited, the company is asking the government for protection over the $27.29 billion it has funded for the ESIC…
The African Continental Free Commerce Area (AfCFTA) and the expansion of commerce in goods and services between the United States and Africa have received backing from the United States government, which reported that it had donated $160 million. This was said by Julie LeBlanc, the US Mission Commercial Counselor to Nigeria, in her keynote speech at the Business Day Africa Trade and Investment Summit, which was held in Lagos and had as its theme, “AGOA, AfCTA, top U.S. programs and priorities for Africa and Nigeria.” “Reimagining Economic Growth in Africa” was the summit’s topic. According to her, the financing supports…
Airtel Africa said that it would initiate a $100 million share repurchase program following the release of its results for the nine months that ended on December 31, 2023, which showed tremendous underlying performance. The company revealed that, despite the significant impact of currency fluctuations on growth, revenues at constant currency increased by 21% year over year in the three months ending December 31, but decreased by 8.3% as a result of the naira’s depreciation. According to the results that were made public yesterday, constant-currency revenues increased by 20.2% to $3.86 billion for the first three quarters of the fiscal…
The Nigerian stock market maintained pessimistic sentiments yesterday as market capitalization dropped by N1.068 trillion to close trading for the month of January due to losses in MTN Nigeria Communications (MTNN) Plc and 56 other companies, following losses suffered by numerous highly capitalized stocks, particularly MTNN and Conoil. As a result, the All Share Index (ASI) closed at 101,154.46 points, down 1,955.69 points or 1.90 percent. Additionally, market capitalization closed at N55.358 trillion, down N1.068 trillion. Losses in medium- and large-cap equities, such as those in MTNN, Conoil, NASCON Allied Industries, Dangote Sugar Refinery, and Guaranty Trust Holding Company (GTCO),…
