Economy

Vibrant Commodities Market Will End Poverty, Create Jobs—Osinbajo

Published

6 years ago

16/03/2020

By Modupe Gbadeyanka

Nigeria is endowed with favourable atmospheric conditions for farming as well as abundant natural resources and teaming youthful population. If these are harnessed and a vibrant commodities market is created, the end to poverty in the country is near, Professor Yemi Osinbajo has submitted.

Speaking at the beginning of a 2-day International Conference on the Nigerian Commodities Market (ICNCM 2020) in Abuja, Mr Osinbajo, who is the country’s Vice President, further stated that the commodities can help in the area of job creation.

Represented by the Minister of State, Industry, Trade and Investment, Ambassador Maryam Katagun, the Vice President said efficient use of these resources will benefit both the public and private sectors of the economy.

“Distinguished ladies and gentlemen, our country is endowed with favourable atmospheric conditions for farming as well as abundant natural resources and teaming youthful population,” Mr Osinbajo said at the event themed Commodities Trading Ecosystem: Key to Diversifying Nigeria’s Economy.

Speaking further at the programme organised by the Securities and Exchange Commission (SEC), the Vice President said, “The efficient use of these resources will benefit both the public and private sectors of our economy.”

“With a vibrant commodities markets jobs will be created. Poverty will be reduced micro economic situation of the country will improve.

“Definitely, every responsible government is interested in seeing these improvements and this is at the heart of our administration ‘s policies and projects implementation.

“In realisation of these objectives, the federal government has put many initiatives in place to develop the agriculture and solid mineral sectors,” he added.

In her address, Minister of Finance, Budget and National Planning, Mrs Zainab Ahmed, noted that the theme of the conference has always been relevant in Nigeria’s national discourse as several national plans, programmes and projects have targeted diversifying the production and revenue sectors of the economy.

According to the Minister, while achievements have been made in these areas, there are needs to do more ensure that the country’s production and export base more robust and less vulnerable to external shocks as well as provide more opportunities for the growing population.

She noted that the recent outbreak of Coronavirus has further strengthened the federal government’s resolve to diversifying the economy hence the theme of the conference was apt and timely.

“With the topics that have been scheduled in this two-day event, and the quality of the speakers, I am further assured that the outcomes of this conference will be beneficial to the capital market, but most importantly to the national economy.

“Through this conference, I can see the capital market community add its voice to the need to further diversify our economy, while also suggesting that one of the ways to this is to develop a vibrant commodities trading ecosystem.

“Our country is well endowed with various commodities comprising agriculture, energy and mineral resources. For instance, the agricultural sector employs about 40 percent of our labour force, and accounts for 22 percent of Nigeria’s Gross Domestic Products (GDP),” she said.

In her opening remarks, acting Director General of the SEC, Ms Mary Uduk, said one of the key initiatives of the 10-year Capital Market Master Plan is the development of a thriving commodities trading ecosystem as part of the capital market’s contribution to the national economy.

According to her, while it is clear that Nigeria is well endowed with agricultural, metals and energy commodities, our potentials in these areas are unrealised.

She said, “The good news however, is that the capital market can be used as an avenue to unlock these potentials and diversify the nation’s economy, while providing jobs, creating values and contributing to governments’ revenue.

“We believe that if we can develop and institutionalise a vibrant commodities trading ecosystem in Nigeria, we can substantially address problems such as lack of storage, poor pricing, non-standardization, as well as low foreign exchange earnings affecting our agriculture and other commodities sub-sectors”.

Chairman Senate Committee on Capital Market, Mr Ibikunle Amosun, while commending SEC for organising the programme noted that the conference will provide a platform for stakeholders to rub minds and cross fertilise ideas for the purpose of diversifying Nigeria’s economy.

Economy

Investors Gain N97bn from Local Equity Market

Published

12 minutes ago

05/12/2025

Dipo Olowookere

By Dipo Olowookere

The upward trend witnessed at the Nigerian Exchange (NGX) Limited in recent sessions continued on Thursday as it further improved by 0.10 per cent.

This was despite investor sentiment turning bearish after the local equity market ended with 23 price gainers and 28 price gainers, indicating a negative market breadth index.

UAC Nigeria gained 10.00 per cent to finish at N88.00, Morison Industries appreciated by 9.94 per cent to N3.54, Ecobank rose by 8.53 per cent to N36.90, and Coronation Insurance grew by 8.47 per cent to N2.56.

On the flip side, Ellah Lakes depreciated by 10.00 per cent to N13.14, Eunisell Nigeria also shed 10.00 per cent to finish at N72.90, Transcorp Hotels slipped by 9.95 per cent to N157.50, Omatek shrank by 9.23 per cent to N1.18, and Guinea Insurance dipped by 8.46 per cent to N1.19.

Yesterday, the All-Share Index (ASI) went up by 152.28 points to 145,476.15 points from 145,323.87 points and the market capitalisation chalked up N97 billion to finish at N92.726 trillion compared with the previous day’s N92.629 trillion.

Customs Street was bubbling with activities on Thursday, though the trading volume and value slightly went down, according to data.

A total of 1.9 billion stocks worth N19.2 billion exchanged hands in 23,369 deals during the session versus the N2.3 billion valued at N21.0 billion traded in 21,513 deals a day earlier.

This showed that the number of deals increased by 8.63 per cent, the volume of transactions depleted by 17.39 per cent, and the value of trades decreased by 8.57 per cent.

For another trading day, eTranzact led the activity chart with 1.6 billion units sold for N6.4 billion, Fidelity Bank traded 31.0 million units worth N589.3 million, GTCO exchanged 28.3 million units valued at N2.5 billion, Zenith Bank transacted 27.1 million units for N1.6 billion, and Ecobank traded 21.9 million units worth N744.3 million.

Economy

Naira Loses 18 Kobo Against Dollar at Official Market, N5 at Black Market

Published

41 minutes ago

05/12/2025

Adedapo Adesanya

By Adedapo Adesanya

The Naira marginally depreciated against the United States Dollar in the Nigerian Autonomous Foreign Exchange Market (NAFEM) on Thursday, December 4 amid renewed forex pressure associated with December.

At the official market yesterday, the Nigerian currency lost 0.01 per cent or 18 Kobo against the Dollar to close at N1,447.83/$1 compared with the previous day’s N1,447.65/$1.

It was not a different scenario with the local currency in the same market segment against the Pound Sterling as it further shed N15.43 to sell for N1,930.97/£1 versus Wednesday’s closing price of N1,925.08/£1 and declined against the Euro by 20 Kobo to finish at N1,688.74/€1 compared with the preceding session’s N1,688.54/€1.

Similarly, the Nigerian Naira lost N5 against the greenback in the black market to quote at N1,465/$1 compared with the previous day’s value of N1,460/$1 but closed flat against the Dollar at the GTBank FX counter at N1,453/$1.

Fluctuations in trading range is expected to continue during the festive season as traders expect the Nigerian currency to be stable, supported by intervention s by to the Central Bank of Nigeria (CBN)in the face of steady dollar demand.

Support is also expected in coming weeks as seasonal activities, particularly the stylised “Detty December” festivities, will see inflows that will give the Naira a boost after it depreciated mildly last month, according to a new report.

“As the festive Detty December season intensifies, inbound travel, tourism spending, and diaspora inflows are expected to provide moderate support for FX liquidity,” analysts at the research unit of FMDA said in its latest monthly report for November.

Traders cited by Reuters expect that the Naira will trade within a band of N1,443-N1,450 next week, buoyed by improved FX interventions by the apex bank.

Meanwhile, the crypto market was down as the US Federal Reserve’s preferred inflation gauge, core PCE, likely rose in September—moving in the wrong direction. However, volatility indices show no signs of major turbulence.

If the actual figure matches estimates, it would mark 55 straight months of inflation above the US central bank’s 2 per cent target. The sticky inflation would strengthen the hawkish policymakers, who are in favour of slower rate cuts.

Ripple (XRP) depreciated by 4.5 per cent to $2.08, Solana (SOL) went down by 3.8 per cent to $138.11, Litecoin (LTC) shrank by 3.1 per cent to $83.23, Dogecoin (DOGE) slid by 2.5 per cent to $0.1463, Cardano (ADA) declined by 2.1 per cent to $0.4368, Bitcoin (BTC) fell by 0.9 per cent to $91,975.45, Binance Coin (BNB) crumbled by 0.9 per cent to $899.41, and Ethereum (ETH) dropped by 0.7 per cent to $3,156.44, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) closed flat at $1.00 apiece.

Economy

Fed Rate Cut Signal, Stalling Ukraine Peace Talks Raise Oil Prices

Published

57 minutes ago

05/12/2025

Adedapo Adesanya

By Adedapo Adesanya

Oil prices were up on Thursday amid investors’ expectations for the Federal Reserve to cut interest rates, while stalled Ukraine peace talks tempered expectations of a deal restoring Russian oil flows.

Brent crude gained 59 cents or 0.94 per cent to trade at $63.26 a barrel and the US West Texas Intermediate (WTI) crude appreciated by 72 cents or 1.22 per cent to $59.67 per barrel.

The market ticked up on expectations that a US rate cut will support the world’s largest economy and oil demand, after data showed employment is slowing.

Markets are pricing in an 89 per cent chance of a cut when the Federal Reserve meets on December 9-10, significantly higher than rate-cut bets just a couple of weeks ago, according to the CME FedWatch tool.

Support also came as the dollar edged lower for its 10th straight day of losses against a basket of major currencies, making crude cheaper for buyers using other currencies.

Analysts noted that escalating tensions between the US and Venezuela were also supporting prices on concerns of a drop in crude supplies from the South American country, which is a member of the Organisation of the Petroleum Exporting Countries (OPEC).

US President Donald Trump’s administration is ratcheting up pressure on Venezuelan President Nicolás Maduro, signalling the possibility of a US invasion.

The perception that progress on a peace plan for Ukraine was stalling also supported prices, after President Trump’s representatives emerged from peace talks with the Kremlin with no resolution in sight.

Expectations of an end to the war had pressured prices lower, as traders anticipated a deal would allow Russian oil back into an already oversupplied global market..

Meanwhile, Ukraine continued its assault on Russia’s energy infrastructure as it hit the Druzhba oil pipeline in Russia’s central Tambov region, the fifth attack on the pipeline that sends Russian oil to Hungary and Slovakia.

Kpler noted that Ukraine’s drone campaign against Russian refining infrastructure has affected production to down around 5 million barrels per day between September and November, a 335,000 barrels per day year-on-year decline, with gasoline (petrol) hit hardest and gasoil output also materially weaker.

US crude and fuel inventories rose last week as refining activity picked up, the Energy Information Administration (EIA) said on Wednesday.
Crude inventories rose by 574,000 barrels to 427.5 million barrels in the week ended November 28, the EIA said, compared with analysts’ expectations in a Reuters poll for an 821,000-barrel draw.

Fitch Ratings on Thursday cut its 2025-2027 oil price assumptions to reflect market oversupply and production growth that is expected to outstrip demand.