Economy
Nigeria’s Consumer Confidence Level Gains 3 Points in Q4 2016—Report
By Modupe Gbadeyanka
A new report released by Nielsen Holdings Plc, a a global performance management firm providing a comprehensive understanding of what consumers watch and buy, has revealed that Nigeria climbed three points to 116 in the fourth quarter of 2016, after a steep decline in the third quarter.
In the latest Consumer Confidence Index (CCI) figures for Quarter 4 of 2016, it was observed that sentiment in the west of Africa is on the increase with Ghana rising by two points to 111.
Managing Director of Nielsen East and West Africa, Mr Abhik Gupta, while explaining the reasons for Nigeria’s improved consumer sentiment in a statement made available to Business Post, stated that, “Despite previous drops in consumer confidence, Nigerians are now more positive than Kenyans, South Africans and Ghanaians, in terms of their job prospects and personal finances and as the country’s macro, business and retail prospects recover we expect to see continued positivity amongst Nigerian consumers.”
Adding to this positive outlook, the latest Nielsen Africa Prospects Indicator (APi), which integrates macro-economic, business, retail and consumer factors points to the fact that predictions are that the worst is over and it will not take much to drive the Nigerian economy into positive growth levels in 2017.
Short term positivity in Nigeria
In light of this, all confidence indicators in Nigeria increased in the fourth quarter. The percentage of respondents who predict that their personal finances will be good or excellent in the next 12 months jumped five percentage points to 80 percent, and 59 percent of Nigerian respondents said job prospects will be good or excellent, up one percentage point from the third quarter.
Immediate-spending intentions increased four percentage points, rising to 39 percent while more than four in 10 Nigerian respondents (44 percent) said they had spare cash, up from 36 percent in the third quarter.
In terms of what they would use this spare cash for, the highest number of Nigerians are seeking to batten down the hatches on their current financial future, with 80 percent saying they would put it into savings.
The second highest number (69 percent) wants to use their spare cash on home improvements and decorating and 62% on investing in shares and mutual funds. Unsurprisingly, 60 percent would spend it on out-of-home entertainment as they seek some respite from their current daily stresses and strains.
Mixed positivity in Ghana’s results
The overall increase in Ghana’s CCI, was due to a higher proportion of “Excellent” responses even though “Good” responses have declined.
This means that despite the positive outlook for jobs dropping two percentage points from Q3 to an overall 55 percent, this was made up of 12 percent saying “Excellent” (up from 10 percent previous quarter) and 43 percent saying “Good”.
This was followed by positive personal-finance sentiment decreasing by one point to 76 percent, of which 23 percent said “Excellent” (up by 4 points) and 52 percent said “Good”.
Immediate-spending intentions dropped by two percentage points to 40 percent of which 10 percent said “Excellent” (up by 4 points) and 30 percent said “Good”.
Less than half of Ghanaian respondents said they had spare cash (47%) – a drop of 3 percentage points from the third quarter, however this proportion of consumers is higher than Nigerians (44 percent) and Kenyans (42 percent).
In terms of what they would use this spare cash for, Ghanaians remain financially conservative in their outlook, with the highest number (82 percent) saying they would put it into savings, the second highest number of respondents 72 percent see home improvements as a worthwhile investment while (59 percent) saying they would invest in shares/mutual funds.
Overall Gupta comments; “In the backdrop of improved confidence levels, businesses need to adjust to the altered daily habits that consumers are displaying to deal with the tough market conditions. As consumers have been forced to reduce consumption, only buying on an immediate need basis, businesses need to meet these new consumers realities with agility, flexible product offerings, packaging and pricing.”
By Aduragbemi Omiyale
In the first quarter of its financial year ended June 30, 2026, Airtel Africa Plc showed resilience in the midst of challenging operating environments, churning out strong operating performance with accelerating customer base growth across all segments.
It was observed that the total customer base in Q1 2027 increased by 11.6 per cent to 189 million, with data customers rising by 15.5 per cent to 87.3 million.
In addition, data usage per customer continued its upward trajectory, rising from 7.8 GB to 10.6 GB per month over the past year, translating into a 56.3 per cent increase in data traffic across the network, underpinning a 10.3 per cent growth in constant currency data ARPU. Smartphone penetration was the key enabler of this increased traffic as penetration increased to 51.0 per cent as digital adoption of our services continues.
A look at the financial performance indicated that revenue in reported currency grew by 31.0 per cent to $1.85 billion, reflecting constant currency growth of 21.1 per cent and macroeconomic tailwinds supporting currency appreciation.
All segments continued to see double-digit constant currency revenue growth, with mobile services revenue growing by 19.1 per cent, and mobile money growing by 25.8 per cent.
Across mobile services, voice continued to see strong constant currency growth of 11.2 per cent and data revenue grew by 27.2 per cent.
In East Africa and Francophone Africa, constant currency revenues grew by 17.8 per cent and 18.0 per cent, respectively, while Nigerian revenues grew by 29.8 per cent, fully reflecting the lapping effect of the tariff adjustments which were implemented in the fourth quarter of 2025.
Constant currency EBITDA went up by 24.4 per cent, with reported currency EBITDA of $928 million growing by 36.6 per cent. The Q1’27 EBITDA margin of 50.1 per cent, an increase of 206bps year-on-year, continues to reflect the success of the company’s ongoing cost optimisation programme, despite the recent energy cost inflation arising from geopolitical developments.
The post-tax profit improved to $198 million from $156 million in the prior period, with higher profit after tax in the current period driven by elevated operating profit partially offset by derivative and foreign exchange losses of $6 million in the current period compared to $22 million derivative and foreign exchange gains in the prior period.
Furthermore, Profit after tax was impacted by the recognition of an exceptional finance cost of $37 million following an in-principle settlement reached during the quarter in respect of a commercial dispute in one of the group’s subsidiaries.
Commenting on the results, the chief executive of Airtel Africa, Mr Sunil Taldar, said, “We have started this year with another pleasing performance. Our continued focus on the customer experience translated into accelerating customer base growth across all business segments.
“As we continue to digitise our business, we are streamlining customer journeys, increasing digital adoption and harnessing data and AI to improve service delivery and support a strong, sustainable growth profile.”
By Aduragbemi Omiyale
One of the nation’s top brewers, Guinness Nigeria Plc, is paying an interim dividend of N7 per share to its shareholders for the period ended June 30, 2026.
The funds should, on August 10, 2026, hit the bank accounts of investors whose names appear in the Register of Members as of the close of business on Wednesday, July 29, 2026, a regulatory note from the organisation disclosed.
The firm has informed shareholders who have yet to complete the e-dividend registration to download the Registrar’s E-Dividend Mandate Activation Form, which is also available on its website, so as not to be left out of the cash reward for the first half of this year.
In the first six months of 2026, Guinness Nigeria grew its net profit by 53.33 per cent to N25.3 billion from N16.5 billion in the same period of 2025, amid improved top line and better management of administrative, marketing and distribution costs.
The revenue for the period under consideration rose to N265.0 billion from N237.0 billion, boosted by domestic sales of its products, which accounted for N260.9 billion compared with N237.0 billion a year earlier. The balance was from its export sales. This showed that over 98 per cent of the company’s earnings are from sales in Nigeria.
In the first half of the year, Guinness Nigeria improved its gross profit to N97.5 billion from N89.4 billion in the same period of 2025, as its finance income, arising from financial assets and others, stood at N1.2 billion compared with N110.7 million in H1 of 2026.
By Adedapo Adesanya
The federal government has reaffirmed its commitment to mobilising domestic capital to finance Nigeria’s long-term development, saying stronger local investment will be critical to accelerating economic transformation and attracting private sector participation.
The Minister of Finance and Coordinating Minister of the Economy, Mr Taiwo Oyedele, stated this while speaking at the 6th Annual General Assembly of the Association of Nigerian Development Finance Institutions (ANDFI) in Abuja on Thursday.
The Minister’s remarks were contained in a statement on Friday, July 24, by his Senior Special Assistant on Communications and Press Secretary, Mrs Maryann Duke.
Addressing the conference with the theme, Unlocking Domestic Capital for Development Financing, Mr Oyedele said Nigeria must harness its domestic financial resources and strengthen institutions that can channel capital into productive sectors of the economy.
He noted that despite increasingly difficult global financing conditions, the country possesses substantial domestic savings, institutional assets and private capital that can be leveraged to fund infrastructure, industrialisation, agriculture, housing, innovation and other critical sectors.
According to the minister, domestic capital should not be viewed as an alternative to foreign investment but as the foundation for attracting sustainable international investment.
“Our focus is to build an economy where confidence leads capital. By strengthening macroeconomic stability, deepening our financial markets and empowering development finance institutions to catalyse private investment, we are unlocking Nigeria’s enormous domestic potential to finance inclusive and sustainable growth,” Mr Oyedele said.
He said the federal government’s ongoing economic reforms under the Renewed Hope Agenda are beginning to deliver positive outcomes, including improved investor confidence, stronger external reserves, enhanced revenue generation and renewed international confidence in Nigeria’s economy.
The Minister identified five priority areas for unlocking domestic capital, including expanding investment opportunities for households, deepening institutional capital through pension and insurance assets, strengthening credit enhancement mechanisms, broadening local currency financing through the capital market, and building stronger development finance institutions capable of attracting larger volumes of private investment.
Mr Oyedele also called on development finance institutions to move beyond conventional lending by helping to structure bankable projects, reduce investment risks, support policy reforms and create financing ecosystems that encourage greater private sector participation.
He reaffirmed the Federal Government’s commitment to working with development finance institutions, financial regulators, investors and development partners to develop a financing framework that will support businesses, create jobs, accelerate industrialisation and promote inclusive economic growth across the country.
