Economy
CBN Expects Inflation to Trend Downward in Q4 2020
By Dipo Olowookere
The Central Bank of Nigeria (CBN) has expressed optimism that the rising inflation rate in the country will begin to fall in the fourth quarter of 2020.
This submission was made by the Governor of the CBN, Mr Godwin Emefiele, when he addressed some global investors last month.
The apex bank chief said the inflation rate, which jumped to 12.40 per cent in May 2020 from 12.34 per cent in April 2020, will trend downward in the next quarter as a result of the anticipated improvements in the manufacturing and agriculture sectors of the economy.
“We expect inflation to begin a downward trend in Q4 2020 given the strengthened emphasis on improving productivity in the agriculture and manufacturing sectors,” Mr Emefiele informed the investors, who keenly listened to his presentation.
The National Bureau of Statistics (NBS) is expected to release the inflation numbers for June 2020 on Wednesday, July 15, 2020 (tomorrow).
Business Post reports that on June 23, 2020, Nigeria’s economic managers held a virtual meeting with institutional investors across the continents of the world.
The event, which had over 500 investors in attendance, was facilitated by the Debt Management Office (DMO) and Citibank.
The virtual meeting was arranged to enable the country to present its economic plans, outlook, as well as its response to the COVID-19 pandemic to the vital stakeholders.
Apart from Mr Emefiele, the Minister of Finance, Budget and National Planning, Mrs Zainab Ahmed; the Minister of Health, Mr Osagie Ehanire; the Director-General of the DMO, Ms Patience Oniha; and the Director-General, Budget Office of the Federation, Mr Ben Akabueze were also in attendance.
Nigeria has a presence in the international capital market through the $10.87 million Eurobonds of various tenors extending up to 30 years and a diaspora bond of $300 million.
According to the debt office, “Periodic interaction with investors, particularly foreign investors is one of the tested strategies for building investor confidence in a sovereign and maintaining demand in securities issued by the sovereign.”
During her presentation, the Minister of Finance said in order to make life easier for residents and businesses in the country, the fiscal authorities established a N500 billion COVID-19 Crisis Intervention Fund for the upgrade of healthcare facilities, finance interventions to improve healthcare facilities and fund the creation of a Special Public Works Programme to employ 774,000 Nigerians.
She further said the government extended time for filing VAT and withholding tax from 21st to the last working day of the month, following the month of deduction.
Mrs Ahmed also said the due date for filing Companies Income Tax returns has been extended by one month, while taxpayers may file returns using unaudited accounts but must subsequently submit audited accounts within two months after the revised due date of filing.
In addition, she said the government expanded VAT exemption list for essential food, medical supplies and other basic items critical to address the COVID-19 pandemic.
Economy
BNB Price Reflects Changing Dynamics in the Digital Asset Market
Economy
NASD Unlisted Security Index Crosses 4,000-point Benchmark Again
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange achieved a milestone on Friday, April 24, 2026, after five securities on the platform helped with a 1.85 per cent growth.
Data showed that the NASD Unlisted Security Index (NSI) again crossed the 4,000-point benchmark yesterday.
The index chalked up 73.64 points during the trading day to close at 4,052.59 points compared with the preceding session’s 3,978.95 points, while the market capitalisation added N5.38 billion to finish at N2.424 trillion versus Thursday’s closing value of N2.380 trillion.
The price gainers were led by Okitipupa Plc, which grew by N25.00 to sell at N305.00 per share compared with the previous price of N280.00 per share. Central Securities Clearing System (CSCS) Plc gained N6.92 to close at N76.26 per unit versus N69.34 per unit, Afriland Properties Plc appreciated by N1.00 to N17.00 per share from N18.00 per share, FrieslandCampina Wamco Nigeria Plc improved by 55 Kobo to N99.55 per unit from N99.00 per unit, and Food Concepts Plc increased by 5 Kobo to N2.70 per share from N2.65 per share.
However, there was a price loser, MRS Oil, which dipped by N21.75 to N195.75 per unit from N217.50 per unit.
During the final session of the week, the value of securities jumped 75.2 per cent to N41.3 million from N23.6 million units, and the number of deals expanded by 62.9 per cent to 44 deals from 27 deals, while the volume of securities declined marginally by 0.9 per cent to 447,403 units from 451,522 units.
At the close of trades, Great Nigeria Insurance (GNI) Plc was the most traded stock by volume (year-to-date) with 3.4 billion units worth N8.4 billion, trailed by Resourcery Plc with 1.1 billion units valued at N415.7 million, and Infrastructure Guarantee Credit Plc with 400 million units traded for N1.2 billion.
GNI was also the most active stock by value (year-to-date) with 3.4 billion units sold for N8.4 billion, followed by CSCS Plc with 59.6 million units transacted for N4.0 billion, and Okitipupa Plc with 27.8 million units exchanged for N1.9 billion.
Economy
Naira Slips to N1,358/$1 as FX Reserves, Policy Uncertainty Concerns
By Adedapo Adesanya
It was not a good day for the Nigerian Naira in the currency market on Friday, April 24, as its value depreciated against the major foreign currencies at the close of transactions.
In the Nigerian Autonomous Foreign Exchange Market (NAFEX), it lost N4.53 or 0.33 per cent against the United States Dollar yesterday to trade at N1,358.44/$1, in contrast to the N1,353.91/$1 it was exchanged on Thursday.
Equally, the domestic currency slipped against the Pound Sterling in the official market during the session by N8.14 to close at N1,834.02/£1, compared with the previous rate of N1,825.88/£1 and dropped N8.01 against the Euro to sell at N1,590.73/€1 versus N1,582.72/€1.
Also, the Naira depreciated against the US Dollar at the GTBank FX desk on Friday by N4 to quote at N1,370/$1 compared with the previous session’s N1,366/$1, and at the parallel market, it depleted by N5 to settle at N1,380/$1 versus the preceding day’s N1,375/$1.
Data published by the Central Bank of Nigeria (CBN) indicated that NFEM interbank turnover surged to N43.562 million across 68 deals, up from N28.117 million the previous day.
Despite the CBN’s reassurance that the recent drop in external reserves is not worrisome, the market remains unsettled by persistent concerns over liquidity constraints, policy transparency, and weakening confidence in Nigeria’s FX market as gross reserves continue to decline to $48.4 billion.
The outlook for the Dollar appears supported by broader macro risks, including elevated oil prices tied to the tanker traffic disruptions in the Strait of Hormuz and a continued US-Iran standoff over ceasefire negotiations.
A look at the digital currency market showed that investors are sitting on the edge as the US Dollar rebounded amid geopolitical and inflation risks despite continued inflows into US spot bitcoin Exchange Traded Funds (ETFs).
Solana (SOL) rose by 1.2 per cent to sell $86.45, Cardano (ADA) appreciated by 1.1 per cent to $0.2517, Dogecoin (DOGE) grew by 0.9 per cent to $0.0989, Ripple (XRP) improved by 0.3 per cent to $1.43, Ethereum (ETH) soared by 0.2 per cent to $2,316.83, and Binance Coin (BNB) chalked up 0.1 per cent to sell for $637.44.
However, TRON (TRX) depreciated by 1.3 per cent to $0.3235, and Bitcoin (BTC) lost 0.2 per cent to close at $77,562.27, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) closed flat at $1.00 each.
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