Economy
Shareholders Okay N6.5bn for Recapitalisation of Wapic Insurance
By Modupe Gbadeyanka
Shareholders of Wapic Insurance Plc have authorised the board of directors of the company to raise additional capital up to N6.5 billion so as to meet the new recapitalisation policy of the industry’s regulator, National Insurance Commission (NAICOM).
On May 20, 2019, the agency issued a circular to insurance firms operating in Nigeria to raise their capital base within 13 months or lose their licences.
This came months’ after NAICOM had cancelled its initial tier-based recapitalisation introduced last year. Stakeholders in the sector had kicked against the policy, which forced the regulator to dump the idea.
In the new policy, NAICOM said those in the general insurance category must raise their minimum paid-up share capital to N10 billion, while those in the life insurance segment should have N8 billion instead of the former N2 billion.
Also, the non-life insurance companies are to raise theirs from N3 billion to N10 billion, while composite insurance firms must raise their capital from N5 billion to N18 billion, with re-insurance companies expected to have N20 billion instead of N10 billion.
Wapic Insurance operates in the general and life categories and would be expected to meet the requirements if it hopes to continue to operate in the country.
In order to raise its capital from N8.5 billion to N15 billion, the board proposed the creation of 13 billion additional ordinary shares of 50 kobo each, which the shareholders approved at the company’s Annual General Meeting (AGM) in Lagos recently.
Chairman of the firm, Mr Aigboje Aig-Imoukhuede, a former banker, said the decision was in the best interest of shareholders, as it will enable the company to accommodate any share capital increase.
He assured shareholders that the company will emerge stronger by the end of the recapitalisation exercise, commending NAICOM on the capital base increase, stressing that insurance business requires funding to attract the right talent, build skills and grow the business.
Managing Director of Wapic Insurance, Ms Yinka Adekoya, said going forward, the company plans to up its drive for business excellence through sustainable practices, motivated by its commitment to customer satisfaction.
“While we are hopeful about our future, we are very conscious of the realities of geopolitical and economic volatility, regulatory challenges, foreign currency pressure and customer needs and consumption pattern.
“Wapic will continue to improve and emerge stronger than ever. Our current financial performance together with our firm commitment to improving our service delivery underlines our affirmation that our efforts to date at building an institution of repute have been successful,” she said.
In the 2018 fiscal year, Wapic Insurance posted a gross written premium of (GWP) of N13.9 billion, a 42 percent increase from N9.81 billion in 2017, while the underwriting profit rose by 40 percent to N2.2 billion.
However, the group experienced an 88 percent decline in profit before tax (PBT) to close at N187 million, negatively impacted by drop in investment and other income, and the growth in underwriting and operating expenses for the period.
The company paid claims amounting to N4.96 billion, a 30 percent increase from N3.82 billion paid out in 2017, underscoring the importance it attaches to its customers towards meeting their claims obligation.
By Adedapo Adesanya
The Nigeria Revenue Service (NRS) says the rollout of electronic invoicing (e-invoicing) will strengthen tax compliance, curb revenue leakages and improve transparency in tax administration as it moves to fully digitise the country’s tax system.
The Project Lead for the NRS e-Invoicing Project, Mr Mohammed Bawa, stated this at the DigiTax E-Invoicing Compliance Breakfast Session held in Lagos on Wednesday.
The event, organised by DigiTax, an NRS-accredited e-invoicing platform, formed part of efforts to support the agency’s ongoing education and sensitisation campaign on the e-invoicing mandate.
Mr Bawa said the initiative aligns with global trends in tax digitisation and is expected to help improve Nigeria’s tax-to-GDP ratio, which remains one of the lowest in Africa.
According to him, the system will provide the NRS with greater visibility into transactions across sectors, formalise activities within the informal economy and standardise invoice formats nationwide using globally recognised invoice schemas.
He added that e-invoicing would improve operational efficiency for both businesses and tax authorities while supporting the NRS’ transition from manual and electronic tax administration processes to a fully automated system-to-system interaction model.
Mr Bawa noted that the legal framework for implementation is backed by the Nigeria Tax Administration Act, which prescribes penalties for non-compliance.
He disclosed that the NRS has completed onboarding large taxpayers and is preparing to enforce compliance with defaulting entities.
According to him, medium taxpayers are expected to begin compliance in the third quarter of 2026, while onboarding of emerging taxpayers will commence in 2027, with full adoption targeted for all taxpayers by the end of 2028.
Mr Bawa urged taxpayers yet to be onboarded onto the platform to begin the process and work with accredited service providers to ensure compliance.
On his part, Country Director of DigiTax Nigeria, Mr Olumide Akinsola, urged businesses to look beyond their internal systems and assess the compliance status of suppliers and counterparties.
He warned that businesses whose suppliers fail to transmit invoices through the MBS platform risk losing eligibility to claim Value Added Tax (VAT) input credits on such transactions, describing the resulting supply chain exposure as a significant commercial risk that many organisations have yet to quantify.
Mr Akinsola also announced the launch of DigiTax’s white paper, The State of E-Invoicing Readiness in Nigeria, which examines compliance adoption trends and the readiness gap across different taxpayer segments.
He added that DigiTax operates in Nigeria, Kenya, Zambia and the United Arab Emirates (UAE), noting that experience from those markets shows businesses that integrate early are better positioned to avoid disruptions when enforcement begins.
By Aduragbemi Omiyale
The names of about 100,000 companies registered by the Corporate Affairs Commission (CAC) are about to be deleted for inactivity, especially for failing to file their annual tax returns, Business Post reports.
This information was disclosed by the CAC via a notice signed by its management on Wednesday, July 15, 2026.
The list contains organisations like the Nigeria-Poland Chamber of Trade Invest Ltd, Alariwo of Afrika Ltd, Ovation Sports International, First Union Pension Fund Administrators, Investopedia Limited, Baptist High School Abuja Ltd, and Yobe Aluminium Manufacturing Industries Ltd, amongst others.
In the statement, the commission said its decision to strike off the names of the affected firms from the register aligns with the provisions of Section 692(3) (3) and (4) of the Companies and Allied Matters Act (CAMA), 2020.
However, the affected companies can still salvage the situation by filing all outstanding annual returns and regularising their records within 90 days.
“Please note that companies that fail to comply within the stipulated timeline shall be struck off the register without further notice,” it declared, expressing its continued commitment to providing prompt and efficient registration and regulatory services to the satisfaction of its valued customers.
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange gained 1.75 per cent on Wednesday, July 15, pushing the NASD Security Index (NSI) up by 74.20 points to 4,316.51 points from 4,242.31 points, as the market capitalisation added N44.54 billion to finish at N2.590 trillion compared with the preceding session’s N2.546 trillion.
During the session, there was an 11.5 per cent rise in the value of transactions at midweek to N72.7 million from the preceding session’s N65.2 million, as there was a 3.7 per cent growth in the number of deals to 28 deals from the previous session’s 27 deals, while the volume of securities slumped by 64.5 per cent to 4.9 million units from 13.7 million units.
At the close of trades, Great Nigeria Insurance (GNI) Plc ended as the most active security by value on a year-to-date basis, with 3.4 billion units worth N8.4 billion, with the second spot occupied by Infrastructure Credit Guarantee (Infracredit) Plc after selling 2.3 billion units valued at N6.5 billion, and the third position was taken by Central Securities Clearing System (CSCS) Plc, which exchanged 74.3 million units for N5.3 billion.
GNI Plc also finished the trading day as the most traded stock by volume on a year-to-date basis, with a turnover of 3.4 billion units traded for N8.4 billion, followed by Infracredit Plc with 2.3 billion units transacted for N6.5 billion, and Resourcery Plc with 1.1 billion units sold for N415.7 million.
Business Post reports that the market breadth index was negative yesterday, as there were two price gainers and three price losers.
11 Plc added N22.36 to its value to close at N250.00 per share versus N227.64 per share, and CSCS Plc improved by N7.95 to N90.35 per unit from N82.40 per unit.
On the flip side, FrieslandCampina Wamco Nigeria Plc lost N1.37 to end at N150.00 per share versus N151.37 per share, UBN Property Plc depreciated by 6 Kobo to N1.75 per unit from N1.81 per unit, and Food Concepts Plc dropped 1 Kobo to close at N2.49 per share versus N2.50 per share.
