By Adedapo Adesanya

Nigeria earned N7.68 trillion from the export of natural gas, liquefied petroleum gas and other gas products in 2024.

This showed an increase of 105.1 per cent from the N3.746 trillion earned from the sale of the commodities in 2023, data from the National Bureau of Statistics (NBS) in its Foreign Trade Statistics for the Fourth Quarter of 2024 noted.

It was revealed that gas export earnings accounted for 9.92 per cent of total exports recorded in the year under review versus the 10.42 per cent posted a year earlier.

Giving a breakdown of gas exports in 2024, the NBS reported that in the first quarter, the country recorded N1.437 trillion, N2.881 trillion was earned in the second quarter, while in the third and fourth quarter of 2024 stood at N35.845 billion and N3.329 trillion, respectively.

In comparison, the NBS stated that the country earned N668.119 billion, N711.1 billion, N1.109 trillion and N1.257 trillion from gas exports in the first, second, third and fourth quarter of 2023, respectively.

The NBS noted that the during the period under review, the country earned N1.943 trillion from natural gas exports, followed by other petroleum gases with N1.117 trillion, while Liquefied Petroleum Gas (LPG) trailed with N269.074 billion.

The agency disclosed that Nigeria exported Liquefied Petroleum Gas valued at N112.71 billion and Natural gas worth N83.655 billion to the Netherlands in the fourth quarter of 2024; while natural gas valued at N135.21 billion was exported to France.

It added that Spain purchased N345.118 billion worth of natural gas from Nigeria and N131.289 billion worth of other petroleum gas, while India purchased other petroleum gas and natural gas valued at N337.085 billion and N209.159 billion, respectively.

In Africa, the NBS noted that Nigeria sold N10.81 billion worth of Liquefied Petroleum Gas to the Ivory Coast in the fourth quarter of 2024.

Based on the entire data, the stats office disclosed that total foreign trade stood at N138.033 trillion in 2024; rising by 106.6 per cent, compared with N66.825 trillion in 2023.

It added that total exports stood at N77.442 trillion in 2024, rising by 115.3 per cent compared with N35.962 trillion in 2023; while total imports stood at N60.59 trillion in 2024, rising by 96.3 per cent from N30.863 trillion recorded in 2023.

By Adedapo Adesanya

Last week, Guaranty Trust Holding Company (GTCO) Plc declared a N7.03 final dividend, much to the joy of the investing community, especially as its fellow tier-1 banks like Zenith and UBA, declared N4 and N3, respectively.

The company declared a profit before tax of N1.27 trillion for the 2024 financial year, which is 107.8 per cent higher than the N609.31 billion reported in the 2023 fiscal year, as per its disclosure on the Nigerian Exchange (NGX) Limited last Friday.

The pre-tax profit was second only to Zenith Bank, which posted a PBT of N1.33 trillion for the same period.

It is increasingly clear that there is a form of competition between both institutions as evidenced in Zenith Bank having a total assets of N29.96 trillion compared to GTCO’s N14.79 trillion.

It would be expected that the bigger the assets, the bigger the dividends but it is not that simplistic.

The question as to why this is so is because GTCO has been able to keep its cost of funds low, kept its cost of risk minimal by not offering excessive loans while also not ballooning its operating costs.

This performance, according to the lender, reflects not just strong earnings but also the quality and sustainability of its earnings, underpinned by a well-diversified revenue base, robust risk management practice, and disciplined capital management.

The Group recorded growth across all financial and non-financial metrics, and continues to maintain a well-structured, healthy, and diversified balance sheet. The Group’s loan book (net) increased by just 12.3 per cent from N2.48 trillion in December 2023 to N2.79 trillion in December 2024, while deposit liabilities grew by 37.8 per cent from N7.55trillion to N10.40trillion during the same period.

GTCO’s shareholders’ funds closed at N2.7 trillion.

Meanwhile, Capital Adequacy Ratio (CAR) remained very robust and strong, closing at 39.3 per cent, likewise, asset quality was sustained as evidenced by IFRS 9 Stage 3 Loans which closed at 3.5 per cent at Bank Level and 5.2 per cent at Group in December 2024 (2023: Bank, 2.5 per cent; Group, 4.2 per cent) and cost of risk (COR) closed at 4.9 per cent from 4.5 per cent in December 2023.

Commenting on the results, the chief executive of GTCO Plc, Mr Segun Agbaje, said; “Our strong performance for 2024 underscores the resilience and depth of our business, driven by a well-diversified earnings base across our banking and non-banking subsidiaries, all of which are P&L positive.

“Our capacity to generate sustainable high-quality earnings, maintain strong asset quality, and drive cost efficiencies reflects the soundness of our long-term strategy and disciplined execution.

“We have also prudently provided for all our forbearance loans, well ahead of the June 2025 timeline, whilst fully accruing for the windfall tax, further strengthening our balance sheet and enhancing financial resilience.”

He further added; “The total dividend of N8.03k for the 2024 FYE is underpinned by the quality of our earnings and is in line with our long tradition of increasing dividend pay-out year-on year. Looking ahead, we remain committed to building a Financial Services Group that thrives on innovation, operational efficiency, and sustainable profitability.

“We will continue to deepen our relationships with customers, leverage technology to deliver cutting-edge financial solutions, and accelerate the growth of all our business verticals—Banking, Funds Management, Pension, and Payments—to unlock new opportunities and create more value for our shareholders,” he added.

Overall, the Group continues to post one of the best metrics in the Nigerian Financial Services industry in terms of key financial ratios i.e., Pre-Tax Return on Equity (ROAE) of 60.5 per cent, Pre-Tax Return on Assets (ROAA) of 10.3 per cent, Capital Adequacy Ratio (CAR) of 39.3 per cent and Cost to Income ratio of 24.1 per cent.

By Adedapo Adesanya

In a major boost to capital market regulation in Nigeria, President Bola Tinubu recently assented to the Investments and Securities Bill (ISB) 2025, which repeals the Investments and Securities Act No. 29 of 2007 and enacts the Investments and Securities Act 2025.

This landmark legislation strengthens the legal framework of the Nigerian capital market, enhances investor protection, and introduces critical reforms to promote market integrity, transparency, and sustainable growth.

The news has sent ripples of excitement across the capital market landscape in the country as it will regulate the market to ensure capital formation, protect investors, maintain a fair, efficient, and transparent market, and reduce systemic risks.

The Act reaffirms the authority of the SEC as the apex regulatory authority of the Nigerian Capital Market, as well as to The Act also introduces transformative provisions to further align Nigeria’s market operations with international best practices.

According to the Director General of the SEC, Mr Emomoitimi Agama, said, “The Act enhances the regulatory powers of the SEC in a manner comparable to benchmark global securities regulators.” These enhanced powers and functions ensure full conformity with the requirements of IOSCO’s Enhanced Multilateral Memorandum of Understanding (EMMoU), enabling the SEC retain its “Signatory A” status and enhancing the overall attractiveness of the Nigerian capital market.

He said that other notable provisions of the ISA 2025 include the Classification of Exchanges and the inclusion of provisions on financial market infrastructures. The Act classifies Securities Exchanges into Composite and Non-composite Exchanges – A Composite Exchange is one in which all categories of securities and products can be listed and traded. At the same time, a Non-composite Exchange focuses on a singular type of security or product.

There are also new provisions on Financial Market Infrastructures, such as Central Counterparties, Clearing Houses, and Trade Repositories.

Other highlights of the Act are the Expansion of the definition and Understanding of Securities. The Act explicitly recognises virtual/digital assets and investment contracts as securities and brings Virtual Asset Service Providers (VASPs), Digital Asset Operators (DAOPs) and Digital Asset Exchanges under the SEC’s regulatory purview.

The Act introduces provisions for monitoring, managing, and mitigating systemic risk in the Nigerian capital market.

The Act expands the categories of issuers, as a key step towards the introduction of a wide range of innovative products and offerings as well as the facilitation of “commercial and investment business activities”, subject to the approval of the Commission and other controls stipulated in the Act.”

The SEC head disclosed that the Act contains a new Part which provides for the regulation of Commodities Exchanges and Warehouse Receipts. These provisions are essential to enable the development of the entire commodities ecosystem.

On the Issuance of Securities by Sub-Nationals and their Agencies, salient provisions of the Act addressed existing restrictions in respect of raising of funds from the capital market by Sub-Nationals to allow for greater flexibility in this regard.

He said that The Act introduces the mandatory use of Legal Entity Identifiers (LEIs) by participants in capital market transactions. This stipulation is designed to improve transparency in the conduct of securities transactions. It prohibits Ponzi Schemes and other unlawful investment schemes, while prescribing stringent jail terms and other sanctions for the promoters of such schemes.

In a bid to strengthen the Investments and Securities Tribunal, the Act amends some key provisions in the repealed ISA 2007 pertaining to the Composition of the Tribunal, constitution of the Tribunal, qualification and appointment of the Chief Registrar as well as the jurisdiction of the Tribunal to enhance the ability of the Tribunal to discharge its mandate optimally.

Mr Agama lauded the President’s assent as a transformative step for the capital market, saying that the ISA 2025 reflects a commitment to building a dynamic, inclusive, and resilient capital market.

“By addressing regulatory gaps and introducing forward-looking provisions, the new Act empowers the SEC to foster innovation, protect investors more efficiently and reposition Nigeria as a competitive destination for local and foreign investments. We commend all stakeholders within and outside the capital market community for their unwavering solidarity towards the achievement of this historic milestone and solicit their continued collaboration in respect of the effective implementation of the ISA 2025 for the benefit of our economy.”

“The SEC extends its profound appreciation to the National Assembly for its patriotism and dedication in enacting this new legal framework for the Nigerian capital market. The meticulous deliberations, extensive stakeholder engagements, and bi-partisan support demonstrated throughout the legislative process highlight the National Assembly’s resolve to foster economic growth and enhance investor confidence.

“We also commend the Honourable Minister of Finance and Coordinating Minister of the Economy of Nigeria as well as the Minister of State for Finance for their invaluable contributions to the realisation of this groundbreaking project. Their strategic guidance, policy expertise, and steadfast support have ensured that the ISA 2025 aligns with Nigeria’s broader economic objectives.”

On his part, Mr Oluropo Dada,  the 13th President and Chairman of Council of the Chartered Institute of Stockbrokers (CIS) lauded the move.

“This Act is a testament to our collective commitment to advancing the capital market and securing its future as a catalyst for economic growth and prosperity,” adding that it made sure that the voices of market operators, investors, and financial experts were well represented.

“The enactment of the Investment and Securities Act 2024 underscores the government’s commitment to fostering transparency, efficiency, and stability in the country’s financial markets.” .

“As capital market professionals, we are confident that this Act will deepen market integrity, boost investor confidence, and expand the range of investment opportunities available to Nigerians and global investors alike.

“As we enter this new era of capital market transformation, I urge all stakeholders—regulators, market operators, investors, and policymakers—to continue working collaboratively to ensure the seamless implementation of the Act’s provisions.

“The Chartered Institute of Stockbrokers remains committed to providing the necessary professional expertise, advocacy, and capacity-building initiatives required to maximise the benefits of this law for all market participants,” he noted.