By Adedapo Adesanya

Oil prices slipped by 2 per cent on Wednesday as the Organisation of the Petroleum Exporting Countries and its allies (OPEC+) mulled accelerating its oil output increases in June.

Brent crude was down by $1.32 or 1.96 per cent to $66.12 a barrel while the US West Texas Intermediate (WTI) crude depreciated by $1.40 or 2.2 per cent to $62.27 per barrel.

Reuters reported that several OPEC+ members will suggest more oil output hikes in June for a second consecutive month as disputes between members over compliance with production quotas worsen.

It was reported that some wanted to increase output by a similar volume to the May increase ahead of a May 5 meeting where eight OPEC+ countries will meet to decide the June output plan.

The May and potential June hikes are part of a plan by Russia, Saudi Arabia, the United Arab Emirates, Kuwait, Iraq, Algeria, Kazakhstan and Oman to gradually unwind their most recent output cut of 2.2 million barrels per day.

OPEC+ also has 3.65 million barrels per day of other output cuts in place until the end of next year to support the market.

There was ease in the market following a report that US President Donald Trump may cut tariffs on Chinese imports.

There is now a possibility that the China tariffs are likely to come down to between 50 per cent and 65 per cent.

This came as US Treasury Secretary Scott Bessent said he believes that excessively high tariffs between the US and China will have to come down before trade negotiations can proceed.

Also, President Trump has backed away from the threat of firing Federal Reserve Chair Jerome Powell after days of criticising the US central bank for not cutting interest rates, easing investor fears about economic uncertainty.

Crude oil inventories in the US saw an increase of 200,000 barrels during the week ending April 18, according to new data from the US Energy Information Administration (EIA) released on Wednesday.

However, both gasoline (petrol) and distillate inventories fell more than expected.

On Tuesday, the American Petroleum Institute (API) reported a different story, showing a large draw of 4.565 million barrels in US crude oil inventories with large draws in gasoline and distillate stocks.

The US had also issued new sanctions targeting an Iranian shipping magnate whose network handles Iranian liquefied petroleum gas and crude oil worth hundreds of millions of Dollars.

By Adedapo Adesanya

The Nigerian government is planning to offer tax incentives to firms investing in key sectors such as agriculture and energy to boost projected growth.

This is part of a new scheme known as the Economic Development Incentive (EDI), which will address long-standing inefficiencies in the current Pioneer Status Incentive (PSI).

The proposed investment-driven incentive framework is designed to stimulate real economic activity by tying tax relief directly to verifiable investments and part of the country’s ongoing tax reform efforts.

The Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Mr Taiwo Oyedele, disclosed this in a keynote address at BusinessDay’s Policy Intervention Series held on Tuesday, April 22 in Lagos.

He said a review of the PSI revealed structural flaws that have undermined its effectiveness.

“Once granted a pioneer status, companies may import goods classified as pioneer products tax-free, effectively allowing them to operate without tax obligations—even with minimal value addition to the economy,” he said.

The incentives will mainly be in the form of a multiyear tax credit that companies can use to reduce what they owe the government, Mr Oyedele further explained.

He said investments in sectors including agriculture, energy and manufacturing will enjoy the tax credit based on a prescribed minimum amount of investment for a period ranging from 10 to 20 years.

Mr Oyedele also reiterated that the country has initiated reforms to boost tax revenue as a share of gross domestic product to 18 per cent by 2027 from 13.6 per cent in 2024, adding these proposals seek to drive growth in priority sectors of the economy.

Also, investors in utility projects like power, waterways and ports will have to invest at least N200 billion to qualify for the tax credit.

He explained that if a company invests N10 billion in Year 1, it earns a N500 million tax credit each year for five years and if an additional N5 billion is invested in Year 2, that new investment begins its own five-year 5 per cent cycle—N250 million annually until Year 6 and if the company continues investing progressively, each round of investment starts a new five-year cycle of tax credits, potentially extending the benefit period up to 10 years.

The tax maven further stated that if a business has a N15 million tax liability in a given year and applies N25 million in tax credits, its liability is wiped out entirely, with the N10 million balance rolled over to subsequent years and that if a company fails to follow through on its investment plan or halts capital deployment, unused credits are forfeited and this accountability mechanism ensures that only consistent and credible investments are rewarded.

By Adedapo Adesanya

The NASD Over-the-Counter (OTC) Securities Exchange slid by 0.35 per cent on Tuesday, April 22 after the return from the Easter break, with the market capitalisation falling by N6.79 billion to N1.917 trillion from the N1.924 trillion recorded last Thursday, and the NASD Unlisted Security Index (NSI) declining by 11.60 points to 3,274.78 points from the previous session’s 3,286.38 points.

Yesterday, the share price of Central Securities Clearing System (CSCS) Plc went down by 60 Kobo to close at N21.50 per unit versus the preceding session’s N22.10 per unit and Geo-Fluids Plc lost 18 Kobo to end at N1.62 per share, in contrast to last Thursday’s N1.80 per share.

On the flip side, the price of FrieslandCampina Wamco Nigeria Plc appreciated by 16 Kobo to quote at N37.80 per unit versus the previous trading day’s N37.64 per unit.

During the session, there was a 40.5 per cent increase in the volume of securities transacted to 174,634 units from the 124,266 units traded in the previous trading day, but the value of transactions slumped by 43.9 per cent to N2.86 million from N5.1 million, and the number of deals dropped by 48.4 per cent to 16 deals from 31 deals.

At the close of business, Impresit Bakolori Plc remained the most active stock by volume on a year-to-date basis with a turnover of 533.9 million units worth N520.9 million, followed by Okitipupa Plc with the sale of 153.6 million units for N4.9 billion, and Industrial and General Insurance (IGI) Plc with 71.2 million units valued at N24.2 million.

Also, Okitipupa Plc remained the most valued stock on a year-to-date with the sale of 153.6 million valued at N4.9 billion, trailed by FrieslandCampina Wamco Nigeria Plc with a turnover of 14.8 million units worth N572.0 million and Impresit Bakolori Plc with a turnover of 533.9 million units sold for N520.9 million.