By Adedapo Adesanya

Nigeria’s crude oil exports to the United States rebounded strongly in May as shipments rose by nearly 150 per cent month-on-month as American refiners increased purchases of overseas crude.

Latest data from the US Census Bureau showed that crude imports from Nigeria climbed to 2.36 million barrels in May, compared with 946,000 barrels recorded in April.

This indicated renewed demand for Nigeria’s premium light sweet grades amid shifting global patterns and higher international oil prices as the Middle East disruption weighed on trade.

The value of the imports also rose sharply to $279.8 million, up from $85.2 million in the previous month, reflecting both the higher volume of purchases and stronger crude oil prices during the period.

The rebound coincided with a broader increase in crude oil imports by the US.

According to the latest US International Trade in Goods and Services Report, total US crude imports increased by $1.5 billion in May, making crude oil one of the largest contributors to the $12.3 billion rise in overall goods imports during the month.

The report also showed that imports of industrial supplies and materials increased by $3.1 billion, with crude oil accounting for nearly half of the increase.

The recovery marks a significant turnaround after two consecutive months of declining Nigerian crude shipments to the US market. Export volumes had fallen from 4.64 million barrels in February to 1.54 million barrels in March, before dropping further to 946,000 barrels in April.

Despite the fluctuations, cumulative exports between January and May 2026 reached 11.15 million barrels, valued at approximately $926.6 million, reaffirming Nigeria’s strategic position as a key supplier of premium low-sulphur crude grades to the world’s largest economy.

Concerns surrounding crude shipments through the Strait of Hormuz, one of the world’s busiest oil transit routes, are encouraging refiners to increase purchases from Atlantic Basin producers such as Nigeria, whose crude grades offer lower geopolitical shipping risks than some Middle Eastern supplies.

Nigeria’s flagship crude grades, including Bonny Light, Qua Iboe and Escravos, remain highly sought after by US Gulf Coast refiners because of their low sulphur content and high yields of premium petroleum products such as petrol, diesel and aviation fuel.

Although the US has emerged as one of the world’s largest crude oil producers following the shale revolution, many American refineries continue to import light sweet crude to complement domestic production and optimise refining operations.

The rebound in exports also comes as Nigeria gradually restores crude production following improved security operations in the Niger Delta and intensified efforts by government agencies and operators to curb crude oil theft, pipeline vandalism and illegal refining.

By Aduragbemi Omiyale

The Nigerian Exchange (NGX) Group Plc has impressed its shareholders with a sterling performance in the first half of 2026, declaring an interim dividend of N1.30.

This was as the organisation grew its revenue for the period by 118 per cent to N17.60 billion from N8.08 billion in the corresponding period of 2025, driven by strong market activity, operating leverage and increased contribution from investee companies.

Analysis of the financial statements of the firm showed that transaction fees rose by 169 per cent to N13.34 billion from N4.96 billion, listing fees increased by 59 per cent to N2.38 billion, and technology income rose by 19 per cent to N447.86 million.

Further, operating profit increased by 155 per cent to N10.62 billion from N4.16 billion, reflecting strong operating leverage, as growth in income significantly outpaced the increase in operating expenses.

In the first six months of this year, the share of profit from equity-accounted investees soared by 130 per cent to N4.14 billion as a result of the strong performance of Central Securities Clearing System (CSCS) Plc.

Consequently, profit before tax jumped by 170 per cent to N14.76 billion from N5.46 billion in H1 2025, while profit after tax surged by 146 per cent to N10.36 billion from N4.22 billion in the prior-year period.

It was observed that the company’s balance sheet remained robust, with total assets up to N75.87 billion as of June 30, 2026, while shareholders’ equity increased to N60.49 billion from N55.20 billion at the end of 2025.

The chairman of NGX Group, Mr Umaru Kwairanga, while commenting on the results and cash reward, said, “The board’s approval of an interim dividend of N1.30 per share reflects the strength of NGX Group’s first-half performance and our confidence in the group’s long-term prospects.

“We are encouraged by the significant growth recorded across the business and by the increasing contribution of companies within the group’s investment portfolio.

“The board remains committed to balancing attractive returns to shareholders with continued investment in the infrastructure, technology and strategic initiatives required to deepen Nigeria’s capital market and position NGX Group for sustainable growth.”

Also commenting, the chief executive, Mr Temi Popoola, said, “Our first-half results demonstrate the strength and scalability of NGX Group’s business model. Revenue growth was supported by significantly higher transaction activity, increased listing income and stronger contributions from our investee companies, while disciplined execution enabled us to translate this growth into substantially improved profitability.

“We remain focused on sustaining this momentum by deepening market liquidity, expanding investor participation, accelerating the development of technology-enabled products and building a more diversified financial market infrastructure group. The N1.30 interim dividend reflects both the progress made and our confidence in the Group’s capacity to deliver sustainable long-term value.”

By Adedapo Adesanya

The federal government has given a newly inaugurated Inter-Ministerial Committee six weeks to draft a new Value Added Tax (VAT) Modification Order 2026, as part of efforts to support the implementation of the Tax Reform Acts that took effect on January 1, 2026.

Speaking at the inauguration of the committee at the Federal Ministry of Finance headquarters in Abuja recently, the Minister of Finance and Coordinating Minister of the Economy, Mr Taiwo Oyedele, said the tight timeline was meant to ensure the country quickly gets a modern VAT framework aligned with the new tax regime and Nigeria’s broader economic transformation agenda.

Mr Oyedele said the assignment was aimed at providing a modern framework that aligns with Nigeria’s new tax regime and supports the country’s economic transformation.

Describing the Tax Reform Acts as the most comprehensive overhaul of Nigeria’s tax system in decades, the minister said the reforms were designed to simplify tax laws, improve certainty, enhance competitiveness, protect vulnerable Nigerians and drive sustainable economic growth.

“The Tax Reform Acts represent the most comprehensive reform of Nigeria’s tax system in decades. They simplify our tax laws, improve certainty, enhance competitiveness, protect vulnerable Nigerians, and position our economy for sustainable growth,” the minister said.

He explained that although the previous VAT Modification Order had been superseded by the new legislation, the committee was not expected to reproduce the old framework but to develop “a modern, coherent, and forward-looking VAT Modification Order that complements the new law and supports Nigeria’s economic transformation.”

According to the minister, the committee will review Nigeria’s existing VAT administration framework to identify areas requiring clarification, engage public and private sector stakeholders to validate classifications and ensure alignment with economic and social objectives, develop comprehensive lists of VAT-exempt and zero-rated supplies while considering revenue implications and international obligations, draft a clear and implementable VAT Modification Order, and recommend legislative amendments where necessary.

He further outlined five guiding principles for the committee’s work, including fidelity to the law, growth-oriented design, clarity and certainty, broad stakeholder engagement and international benchmarking.

“This Order should promote industrialisation, investment, exports, innovation, food security, and energy transition, without undermining the integrity of the VAT system,” the minister stated.

The committee has been given a maximum of six weeks to complete its assignment and submit a Draft VAT Modification Order 2026 alongside schedules of VAT-exempt and zero-rated supplies with corresponding Harmonised System (HS) Codes, implementation notes and a stakeholder consultation report.

Its membership comprises representatives of the Federal Ministry of Finance, Nigeria Revenue Service (NRS), Nigeria Customs Service (NCS), Federal Ministry of Industry, Trade and Investment, Joint Revenue Board (JRB), Manufacturers Association of Nigeria (MAN), Tax Advisory Committee and the Tax Justice and Governance Platform.

“The membership of this Committee brings together deep knowledge, expertise, and experience from across government and the private sector,” the minister added.

The Tax Reform Acts, which took effect on January 1, 2026, are expected to improve the ease of doing business, strengthen investor confidence and provide a more efficient tax framework to support Nigeria’s long-term economic growth.