Connect with us

Economy

FMDQ, Stakeholders Laud Nwankwo’s Achievements at DMO

Published

on

FMDQ, Stakeholders Laud Nwankwo’s Achievements at DMO

FMDQ, Stakeholders Laud Nwankwo’s Achievements at DMO

By Dipo Olowookere

Former Director General of the Debt Management Office (DMO), Mr Abraham Nwankwo, was recently honoured by the FMDQ OTC Securities Exchange (FMDQ) for his success at the agency in a period spanning 10 years.

During his time at the debt office, Mr Nwankwo ensured the DMO released credible data to the public especially when some would have thought he would want to dance to the tunes of the sitting governments.

Following a decade of dedicated service, Mr Nwankwo, whose highly successful tenure as the head of DMO, spanning the period July 2007 to June 2017, was honoured by FMDQ and key financial market stakeholders at a memorable ceremony held at the FMDQ offices in Lagos.

This ceremony, which was in acknowledgement of his efforts towards the growth of the Nigerian bond market, and invariably, the economy, brought together key financial market stakeholders, friends and well-wishers, all wishing to celebrate him on his retirement from the agency.

Among those present at the Ceremony were the newly-appointed DG of DMO, Ms Patience Oniha; the DG, Securities and Exchange Commission (SEC), represented by Mr Stephen Falomo, Head, Lagos Zonal Office, SEC; Chairman of FMDQ, Dr Okwu Joseph Nnanna (Deputy Governor, Financial System Stability, Central Bank of Nigeria), ably represented by Mr Jibril Aku, Vice Chairman of FMDQ; Mr Bolaji Balogun, Founder/Chief Executive Officer of Chapel Hill Advisory Partners represented by Mr Ayo Fashina, Mr Ayo Gbeleyi, former Commissioner for Finance, Lagos State, Mr Frank Aigbogun, Publisher/CEO of BusinessDay, Mr Olufemi Awoyemi, the Founder/Managing Director, Proshare Nigeria, representatives of the Primary Dealer Market Makers (PDMMs) who are also Dealing Member (Banks) of FMDQ, the debt capital-focused OTC Exchange, amongst others.

The rains did not douse the guard of honour-reception the FMDQ staff had planned for Dr Nwankwo. the staff, along with some beautifully erected balloons stands, formed a path on both sides of a blue carpet, for him, his wife and daughter to walk through the entrance, to the humble OTC Exchange building, with FMDQ-branded umbrellas held high by the staff in a spectacle akin to the military pulling out parade! It was indeed a wonderful sight to experience.

 

From the very eloquently delivered citation to the series of well-articulated and goodwill messages, and even the level of attendance at the Ceremony, it was clear that the positive impact Dr Nwankwo had made in the bond market, and by extension, the economy, over the last decade, was indeed felt and very much appreciated by all. In reliving the decade-long and successful tenure, a one-on-one discourse, anchored by FMDQ’s MD/CEO, Mr Bola Onadele. Koko was held with the outgoing DG, DMO, following which a special symbol depicting Dr Nwankwo’s key achievements, including, the developments which the Nigerian bond market had experienced over the last decade, was presented to and unveiled by the guest of honour, among other mementos.

Described as a “pacesetter” in the goodwill messages which flocked in, Dr Nwankwo set out to redefine the public debt management landscape in Nigeria, bringing on commendable verve and innovativeness to the hitherto conservative area of public finance management. From the development of a comprehensive and accurate national debt database to deepening the domestic bond market via the introduction of regular monthly bond issuances supported with the PDMMs System and the consistent launch of innovative bond products including the Federal Government of Nigeria (FGN) Savings Bond, Sukuk, and the soon to be finalised FGN Dollar and Green Bonds, the DMO, under Dr Nwankwo’s leadership, progressively pursued the alignment of the Nigerian debt capital markets (DCM) to international standards. In recording landmark achievements, including the first-ever domestic listing of the Federal Government of Nigeria Eurobond, the agency is seen to have set an audacious pace towards effectively developing the domestic bond market.

Dr Nwankwo’s quest for excellence, his consistency, integrity, professionalism and humility, were a few of the words and phrases used to describe the outgoing DG and were attributed to his exceptional performance during his 10-year tenure, under four different administrations.

In consolidation of the strategic and value-adding initiatives undertaken by the DMO in developing the Nigerian DCM, FMDQ, with a deep sense of appreciation as Dr Nwankwo retires, continues to show great commitment to actualising the objectives of the agency vis-a’vis those of the OTC Exchange for the transformation of the markets within its purview. FMDQ looks forward, in excited anticipation, to maintaining this formidable collaboration with the DMO under the new leadership of Ms Oniha, towards the further development of the Nigerian DCM, and by extension, the economy.

By serving as a point of integration between the domestic and international markets, FMDQ has, in its short period of existence, become the ambassador of foreign portfolio capital for Nigeria and lent itself as an efficient and operationally excellent platform for fixed income and currency.

This is well in line with its mission to empower the financial markets to be innovative and credible, in support of the Nigerian economy. In promoting and supporting economic development therefore, the active collaboration of all stakeholders is required to erect the necessary market infrastructures, transform and position the Nigerian financial markets towards maximising its potential, and its partnership with the DMO remains a steady and right path towards actualising the shared objectives and desires of the markets.

Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan. Mr Olowookere can be reached via dipo.olowookere@businesspost.ng

Click to comment

Leave a Reply

Economy

MTN Declares N10 Per Share Dividend as Revenue Hits N2.0trn

Published

on

MTN N10 per share dividend

By Dipo Olowookere

Shareholders of MTN Nigeria will receive a N10 per share dividend for the financial year ending December 31, 2022.

The board proposed this cash reward in a regulatory notice filed to the Nigerian Exchange (NGX) Limited.

The payment is only for shareholders who have the company’s stocks as of March 27, 2023, with the payment date fixed for April 20, 2023.

The telecommunications giant is rewarding its investors with this money amid a very profitable accounting year.

Details of its financial results showed that the revenue generated in the year under consideration improved by 21.5 per cent to N2.0 trillion compared with the N1.7 trillion achieved in the preceding year.

The improvement in the total turnover was due to increases in its mobile subscribers by 10.5 per cent to 75.6 million, active data users by 15.3 per cent to 39.5 million, and active fintech subscribers by 57.5 per cent to 14.9 million.

More people had reasons to join the MTN network because of the decision of the company to “invest in the resilience of our business and networks, expanding coverage and capacity.”

In the year, MTN cut its expenses by 21.2 per cent to N941.9 billion from N777.2 billion, with employee costs dropping to N45.1 billion from N48.4 billion, helping the operating profit to rise to N733.3 billion from N584.8 billion.

With a finance income of N13.8 billion versus N11.9 billion in FY 2021 and finance costs of N213.1 billion versus N160.0 billion a year earlier, the profit before tax closed at N534.0 billion as against the N436.7 billion recorded in the previous year, while the profit after tax stood at N358.9 billion, in contrast to N298.7 billion in FY 2021.

“2022 was challenging due to global macroeconomic and geopolitical volatility, resulting in higher inflation, supply chain uncertainties, foreign exchange volatility and availability.

“In Nigeria, Inflation reached a 17-year high of 21.5% in November before moderating slightly to 21.3 per cent in December, bringing the average for the year to 18.8 per cent and putting pressure on consumer spending.

“To curb rising inflation, the Central Bank of Nigeria increased interest rates four times in 2022, bringing the Monetary Policy Rate to 16.5 per cent – up by five pp during the year. This was further raised by 1pp in January 2023 to 17.5 per cent,” the chief executive of the firm, Mr Karl Toriola, said.

“In line with our dividend policy and guided by our ambition to create shared value for our stakeholders, the Board of Directors has proposed a final dividend of N10 per share to be paid out of distributable net income.

“This brings the total dividend for the year to N15.60 kobo per share, an increase of 18.9 per cent, delivering economic value to our shareholders,” he added.

Continue Reading

Economy

Buhari Tasks MOFI Board to Grow Assets to N100trn

Published

on

MOFI board

By Modupe Gbadeyanka

The newly inaugurated board of the Ministry of Finance Incorporated (MOFI) has been given the mandate to grow its Assets Under Management from the current value of N18 trillion to at least N100 trillion in the next 10 years.

A statement issued on Wednesday by Mr Femi Adesina, the Special Adviser to President Muhammadu Buhari on Media and Publicity, disclosed that the charge was given at the State House, Abuja, during the inauguration of the MOFI board shortly before the commencement of the Federal Executive Council (FEC) meeting today.

The President also tasked the new board to “be the clearinghouse for the management of federal government investments and assets in line with global best practices with a view to ensuring that these investments are delivering superior risk-adjusted returns to the government.”

He also called on the new MOFI to “work with other MDAs to create a consolidated national asset register with a view to converting these assets into cashflow-generating entities to support the government’s revenue drive and; partner with the government with a view to using government-owned investments and assets to support the government in delivering on its social and economic obligations to the citizenry.”

To this effect, he directed the Minister of Finance, Budget and National Planning, Mrs Zainab Ahmed, to commence the process of amending the MOFI Act and other legislations to institutionalise this reform further and ensure that MOFI is restructured and repositioned to become a trusted custodian and manager of Federal Government investments and assets.

President Buhari said the event was significant as the restructured MOFI will help identify “what we own” and how to get the best out of them.

According to him, the MOFI Act of 1959, now Cap. 229, Laws of the Federation, 2004 “explicitly empowers MOFI to enter into commercial transactions of any description on behalf of the Federal Government of Nigeria in its own name. As a result, MOFI was used as a Special Purpose Vehicle across different sectors to invest in commercial entities over the last 64 years. To put this in context, MOFI was created even before Nigeria’s independence.”

Speaking further, the President said, “MOFI was not structured to be governed or resourced to deliver on the expected mandate. MOFI’s peers, on the other hand, that were deliberately set up with the institutional framework, governance structure, and execution capacity, have gone on to make major social and economic impacts in their respective nations. Many of these have become global brands for investing domestically and internationally.

“As part of the governance structure, there will be a Governing Council headed by me, a Board of Directors under the leadership of a former Minister of Finance and an Executive Management Team headed by Dr Armstrong Takang.”

President Buhari reminded members of the Governing Council as well as the Board of Directors that this administration expected much from them. Specifically, he tasked Ministers who are members to “create an enabling environment that will facilitate the creation of a National Asset Register that will be harnessed to strengthen our fiscal and economic realities and the optimization of our investments and assets that will be under the purview of MOFI.”

In her remarks, Mrs Ahmed thanked President Buhari for his support and approvals that have made the restructuring and repositioning of MOFI possible, assuring him that Council members and the Board will ensure that the new MOFI delivers on its mandates.

Continue Reading

Economy

US Stocks May Give Back Ground Ahead Of Fed Announcement

Published

on

US stocks

By Investors Hub

The major US index futures are currently pointing to a lower open on Wednesday, with stocks likely to give back ground following the strong upward move seen in the previous session.

Traders may cash in on gains by US stocks yesterday ahead of the Federal Reserve’s monetary policy announcement this afternoon.

While the Fed is widely expected to raise interest rates by 25 basis points, traders will look to the accompanying statement for clues about the outlook for further rate hikes.

After a slightly cautious start, stocks climbed higher on Tuesday thanks to sustained buying across the board.

Investors picked up stocks right through the day’s session, digesting a slew of stronger-than-expected earnings updates and the latest batch of economic data.

Data showing a slowdown in the pace of growth in US labour costs helped raise expectations that the Federal Reserve will soften its aggressive approach to fighting inflation.

The major averages all ended with strong gains. The Dow ended with a gain of 368.95 points or 1.09 per cent at 34,086.04. The S&P 500 surged 58.83 points or 1.46 per cent to 4,076.60, while the Nasdaq climbed 190.74 points or 1.67 per cent to 11,584.55.

The Dow gained about 6.6 per cent in the month, while the S&P surged nearly 3 per cent, and the Nasdaq gained as much as 11.5 per cent.

Data showing a drop in labour costs has reinforced the view that the central bank will likely slow the pace of its monetary policy tightening and raise the interest rate by 25 basis points.

The central bank’s accompanying statement will be in focus for clues about further interest rate hikes.

On the economic front, data from the Labor Department showed employment cost index wages in the US increased by 1% on quarter in the fourth quarter of 2022, after rising 1.3 per cent in the previous quarter.

The S&P/Case-Shiller Home Price Index in the United States decreased 0.8% month-over-month in November of 2022, the same as in October and marking a fifth consecutive decline.

A report from the Institute for Supply Management (ISM) said the Chicago PMI in the United States fell back to 44.3 points in January of 2023 from 44.9 in December and compared to market forecasts of 45. The reading pointed to a fifth consecutive month of contraction in business activity in the Chicago region.

Continue Reading
%d bloggers like this: