Economic News Update

Economic News Update: 12th January, 2017

news-brief

Nigeria, China agree to uphold policy

Nigeria and China have signed an agreement upholding one China policy. Recently, Taiwan officials claimed that it has opened a consulate office in Nigeria, a move which infuriated China.

Wednesday’s signing by Nigeria was seen as the country’s solidarity with China, as the country has recently become one of Nigeria’s most dependable partners.

Read More

Obasanjo launches initiative to end hunger by 2030

Former President Olusegun Obasanjo has launched a Zero Hunger Strategic Initiative to end hunger and poverty in Nigeria by the year 2030. The four states of Ebonyi, Benue, Ogun and Sokoto would kick-start the five-year pilot programme aimed at exploiting the agriculture potential of the country.

Obasanjo, who is the Chairman of the Nigeria Zero Hunger Forum, at the launch of the Strategic Review Report, said the country has begun a new journey that would redefine the destiny of hundreds of millions of people in Africa in general and Nigeria in particular.

Read More

DMO to borrow N130bn via bonds next week

The Debt Management Office is planning to borrow N130bn ($426m) in local currency-denominated bonds on January 18, its first debt sale this year, the DMO has said.

The debt office said it would issue N40bn apiece in bonds maturing in 2021 and 2036, and N50bn of paper maturing in 2026, using the Dutch auction system.

Read More

CBN recertifies 3,147 BDCs, 71 finance houses

THE Central Bank of Nigeria (CBN), yesterday, said that it has recertified 3,147 bureaux de change (BDCs) operators and 71 finance companies (FCs).

Investigation reveals that the recertification of the BDCs follows the payment of N786.8 million (N250, 000 per BDC) annual licencee renewal fee.

Read More

Nigeria may exit recession as W’Bank projects 1%  GDP growth in 2017

After recording a worst plunge into recession in over 25 years, in 2016 the World Bank has projected Nigeria could get out of its economic quagmire, and grow its gross domestic product (GDP) by one percent in 2017. The bank also projected the global economy will accelerate moderately to 2.7 percent in 2017.

According to it, “Sub-Saharan African growth is expected to pick up modestly to 2.9 percent in 2017 as the region continues to adjust to lower commodity prices”.

Read More

Petrol price template crumbles

The Petroleum Products Pricing Regulatory Agency (PPPRA), which controls the cost of petrol in the country, is in disarray and this is disrupting the implementation of the existing pricing template.

The Guardian learnt in Abuja yesterday that the disruption in the system is caused by a lack of mechanism for a quarterly price adjustment, absence of a board and failure by government to appoint a substantive executive secretary.

Read More

FG plans review of trade policy

The Federal Government will soon commence a comprehensive review of the country’s trade policy in order to avoid dumping of substandard products in Nigeria by some foreign trade partners.

The review, which will be done this year, is the first to be carried out since 2002 when the current policy was formulated.

Read More

Dangote, others, to pay new cement tax in Senegal

The government of Senegal has slammed a new cement tax of $4.84 per ton of cement on the country’s three cement plants run by Dangote Cement, Ciments du Sahel and Sococim.

Investigation by Vanguard showed that the new tax took effect from January 2, 2017. It was further learnt that the tariff increase has been attributed to a 25 percent surge in exports, although local sales have also risen slightly.

Read More

CBN approves N1 billion for SMEs in Imo

The Central Bank of Nigeria (CBN), has approved of the sum of N1 billion soft loan for the Imo State Government for disbursement to the operators of Micro Small and Medium Scale businesses in the state, out of N2 billion applied for in 2014.

Also, the state is expecting the N9 billion approved of by the CBN last year for the states’ Anchor Borrower’s rice project scheduled to commence in full scale first quarter of this year.

Read More

Energy supply: Discos fail to make full remittances

Despite the increase in tariff, electricity distribution firms are not making full remittances to the Nigerian Bulk Electricity Trading Plc for the energy supplied to them, a situation said to be threatening the operations of generation companies, gas suppliers and other stakeholders in the sector.

Read More

Vehicle importation: Senate rejects FG’s ban

Senate, yesterday, unanimously rejected the Federal Government’s ban on importation of vehicles through land borders into the country. The Red Chamber It described the policy as anti-people and meant to further impoverish Nigerians.

Deputy Senate President of the Senate, Ike Ekweremadu who presided at yesterday’s plenary, specifically urged President Muhammadu Buhari to listen to the cries of Nigerians and rescind the decision.

Read More

NACC: America, Nigeria Ties will be Stronger in Years Ahead

Nigerians have been assured of a better business relationship with the United State in the years ahead. It has also been stated that a lots are being put in place to allow products from sub-Saharan African countries into the American market.

The National President, Nigerian-American Chamber of Commerce (NACC), Olabintan Famutimi, who gave the assurance in an interview with THISDAY, also allayed the fear in some quarters that the incoming administration of Donald Trump would create bottlenecks for effective bilateral relationship between the two countries.

Read More

Why AfDB unveiled $24 billion ATP scheme, by Adesina

The emergence of Africa Agricultural Transformation Programme (ATP), pioneered by African Development Bank (AfDB) has been described as a response to the rapidly increasing poverty level on the continent in recent years.

The $24 billion initiative, targeted Africa-wide, was scripted to ensure that the most vulnerable are reached with life-changing opportunities, thereby contributing to building resilient communities.

Read More

NNPC resumes kerosene, diesel refining

The three refineries of the Nigerian National Petroleum Corporation (NNPC) in Kaduna, Port Harcourt and Warri have resumed production of Automotive Gas Oil (AGO) or diesel and Dual Purpose Kerosene (DPK) or  kerosene.

The resumption of refining of the products is expected to balance the disequilibrium in demand and supply being experienced across the country.

Read More

Taking advantage of floating naira

Last year has perhaps gone down in history as one of the worst for emerging markets and one that saw countries, which otherwise would not ditch the currency peg, float their local currencies.

Read More

Agony As Price of Kerosene Soars

Statistics have shown that over 30 million Nigerian households use kerosene as cooking fuel; this is in addition to another 20 million that use the product for lighting up their homes.

Unfortunately, these set of Nigerians that use kerosene, either for cooking or lighting up their homes, have not been able to get the product, and those who are fortunate enough to get it have to pay a high cost for the product.

Read More

Govt’s Investment in ICT Will Create More Billionaires, Says Ekeh

The Chairman, Zinox Group, Leo Stan Ekeh has said Nigeria stands a better position to create more billionaires, should government invest heavily in information and communications technology (ICT) that is currently driving global economies.

“With the right kind of investment in technological platforms and the overwhelming support of the government in providing the requisite enabling environment, Nigeria can effortlessly produce global billionaires from the ICT sector,” Ekeh said.

Read More

BoI targets viable businesses for funding
THE Bank of Industry has said it would intensify efforts to end recession in 2017 by providing funding for viable businesses that would create massive employment and stimulate the economy.
Acting Managing Director of the bank, Mr. Waheed Olagunju said this in an interview with journalists in Offa, Kwara State. Olagunju also assured that the financial institution was still working in line with its five year plan adopted in 2014 which earmarked N310 billon for SMEs explaining that it was still committed to its funding measures and programmes.
Read More

 ‘Nigeria, other markets need fit-for-purpose financial systems’

The lack of an efficient and resilient financial system is still holding back inclusive and sustainable growth in emerging markets.

Policymakers, regulators and financial services organisations should more actively shape a financial system that is fit for purpose. These are the main findings of a new PwC Project Blue report ‘Geared up for growth: Shaping a fit for purpose financial system.’

Read More

Abuja airport closure’ll affect economy – Experts

The planned closure of the Nnamdi Azikiwe International Airport, Abuja by the Federal Government for six weeks from March 8 will cripple the Nigerian economy beyond that period.

On January 5 this year, the Minister of State for Aviation, Senator Hadi Sirika, announced the decision of the Federal Government to temporarily close the NAIA to effect comprehensive renovation works on its runway so as to meet international civil aviation standards.

Read More

Fuel scarcity averted as NUPENG suspends strike

Nigerians yesterday heaved a sigh of relief as the National Union of Petroleum and Natural Gas Workers (NUPENG)  suspended its three-day warning strike, which began yesterday, following a resolution reached with government, International Oil Companies (IOCs), and other stakeholders in the industry over the contentious issues, staving off another round of debilitating fuel scarcity that would have hit the nation.

Read More

Ahmed directs release of N2 billion to 16 LGAs, SUBEB

Governor Abdulfatah Ahmed of Kwara State yesterday directed the immediate release of N2 billion to the 16 Local Government Council Areas (LGAs) and SUBEB in the State.

The development is a fall out of the receipt of N3.773 billion on Monday evening from the Federal Government, being balance of the 25 per cent of the State’s claim as its share of the London-Paris club.

Read More

CBN: Occupy CBN Protesters Are Blackmailers

The Central Bank of Nigeria (CBN) yesterday described a group known as Wailing Wailers as “paid hirelings,” saying they are a bunch of “blackmailers fighting for the interest of those who want to destroy the Nigerian economy.”

The central bank in a statement last night, said the group which goes by the tag Occupy CBN had threatened to protest efforts of the CBN to conserve scarce foreign exchange.

Read More

Comment here

Economic News Update

Economic News Update: 12th January, 2017

news-brief

Nigeria, China agree to uphold policy

Nigeria and China have signed an agreement upholding one China policy. Recently, Taiwan officials claimed that it has opened a consulate office in Nigeria, a move which infuriated China.

Wednesday’s signing by Nigeria was seen as the country’s solidarity with China, as the country has recently become one of Nigeria’s most dependable partners.

Read More

Obasanjo launches initiative to end hunger by 2030

Former President Olusegun Obasanjo has launched a Zero Hunger Strategic Initiative to end hunger and poverty in Nigeria by the year 2030. The four states of Ebonyi, Benue, Ogun and Sokoto would kick-start the five-year pilot programme aimed at exploiting the agriculture potential of the country.

Obasanjo, who is the Chairman of the Nigeria Zero Hunger Forum, at the launch of the Strategic Review Report, said the country has begun a new journey that would redefine the destiny of hundreds of millions of people in Africa in general and Nigeria in particular.

Read More

DMO to borrow N130bn via bonds next week

The Debt Management Office is planning to borrow N130bn ($426m) in local currency-denominated bonds on January 18, its first debt sale this year, the DMO has said.

The debt office said it would issue N40bn apiece in bonds maturing in 2021 and 2036, and N50bn of paper maturing in 2026, using the Dutch auction system.

Read More

CBN recertifies 3,147 BDCs, 71 finance houses

THE Central Bank of Nigeria (CBN), yesterday, said that it has recertified 3,147 bureaux de change (BDCs) operators and 71 finance companies (FCs).

Investigation reveals that the recertification of the BDCs follows the payment of N786.8 million (N250, 000 per BDC) annual licencee renewal fee.

Read More

Nigeria may exit recession as W’Bank projects 1%  GDP growth in 2017

After recording a worst plunge into recession in over 25 years, in 2016 the World Bank has projected Nigeria could get out of its economic quagmire, and grow its gross domestic product (GDP) by one percent in 2017. The bank also projected the global economy will accelerate moderately to 2.7 percent in 2017.

According to it, “Sub-Saharan African growth is expected to pick up modestly to 2.9 percent in 2017 as the region continues to adjust to lower commodity prices”.

Read More

Petrol price template crumbles

The Petroleum Products Pricing Regulatory Agency (PPPRA), which controls the cost of petrol in the country, is in disarray and this is disrupting the implementation of the existing pricing template.

The Guardian learnt in Abuja yesterday that the disruption in the system is caused by a lack of mechanism for a quarterly price adjustment, absence of a board and failure by government to appoint a substantive executive secretary.

Read More

FG plans review of trade policy

The Federal Government will soon commence a comprehensive review of the country’s trade policy in order to avoid dumping of substandard products in Nigeria by some foreign trade partners.

The review, which will be done this year, is the first to be carried out since 2002 when the current policy was formulated.

Read More

Dangote, others, to pay new cement tax in Senegal

The government of Senegal has slammed a new cement tax of $4.84 per ton of cement on the country’s three cement plants run by Dangote Cement, Ciments du Sahel and Sococim.

Investigation by Vanguard showed that the new tax took effect from January 2, 2017. It was further learnt that the tariff increase has been attributed to a 25 percent surge in exports, although local sales have also risen slightly.

Read More

CBN approves N1 billion for SMEs in Imo

The Central Bank of Nigeria (CBN), has approved of the sum of N1 billion soft loan for the Imo State Government for disbursement to the operators of Micro Small and Medium Scale businesses in the state, out of N2 billion applied for in 2014.

Also, the state is expecting the N9 billion approved of by the CBN last year for the states’ Anchor Borrower’s rice project scheduled to commence in full scale first quarter of this year.

Read More

Energy supply: Discos fail to make full remittances

Despite the increase in tariff, electricity distribution firms are not making full remittances to the Nigerian Bulk Electricity Trading Plc for the energy supplied to them, a situation said to be threatening the operations of generation companies, gas suppliers and other stakeholders in the sector.

Read More

Vehicle importation: Senate rejects FG’s ban

Senate, yesterday, unanimously rejected the Federal Government’s ban on importation of vehicles through land borders into the country. The Red Chamber It described the policy as anti-people and meant to further impoverish Nigerians.

Deputy Senate President of the Senate, Ike Ekweremadu who presided at yesterday’s plenary, specifically urged President Muhammadu Buhari to listen to the cries of Nigerians and rescind the decision.

Read More

NACC: America, Nigeria Ties will be Stronger in Years Ahead

Nigerians have been assured of a better business relationship with the United State in the years ahead. It has also been stated that a lots are being put in place to allow products from sub-Saharan African countries into the American market.

The National President, Nigerian-American Chamber of Commerce (NACC), Olabintan Famutimi, who gave the assurance in an interview with THISDAY, also allayed the fear in some quarters that the incoming administration of Donald Trump would create bottlenecks for effective bilateral relationship between the two countries.

Read More

Why AfDB unveiled $24 billion ATP scheme, by Adesina

The emergence of Africa Agricultural Transformation Programme (ATP), pioneered by African Development Bank (AfDB) has been described as a response to the rapidly increasing poverty level on the continent in recent years.

The $24 billion initiative, targeted Africa-wide, was scripted to ensure that the most vulnerable are reached with life-changing opportunities, thereby contributing to building resilient communities.

Read More

NNPC resumes kerosene, diesel refining

The three refineries of the Nigerian National Petroleum Corporation (NNPC) in Kaduna, Port Harcourt and Warri have resumed production of Automotive Gas Oil (AGO) or diesel and Dual Purpose Kerosene (DPK) or  kerosene.

The resumption of refining of the products is expected to balance the disequilibrium in demand and supply being experienced across the country.

Read More

Taking advantage of floating naira

Last year has perhaps gone down in history as one of the worst for emerging markets and one that saw countries, which otherwise would not ditch the currency peg, float their local currencies.

Read More

Agony As Price of Kerosene Soars

Statistics have shown that over 30 million Nigerian households use kerosene as cooking fuel; this is in addition to another 20 million that use the product for lighting up their homes.

Unfortunately, these set of Nigerians that use kerosene, either for cooking or lighting up their homes, have not been able to get the product, and those who are fortunate enough to get it have to pay a high cost for the product.

Read More

Govt’s Investment in ICT Will Create More Billionaires, Says Ekeh

The Chairman, Zinox Group, Leo Stan Ekeh has said Nigeria stands a better position to create more billionaires, should government invest heavily in information and communications technology (ICT) that is currently driving global economies.

“With the right kind of investment in technological platforms and the overwhelming support of the government in providing the requisite enabling environment, Nigeria can effortlessly produce global billionaires from the ICT sector,” Ekeh said.

Read More

BoI targets viable businesses for funding
THE Bank of Industry has said it would intensify efforts to end recession in 2017 by providing funding for viable businesses that would create massive employment and stimulate the economy.
Acting Managing Director of the bank, Mr. Waheed Olagunju said this in an interview with journalists in Offa, Kwara State. Olagunju also assured that the financial institution was still working in line with its five year plan adopted in 2014 which earmarked N310 billon for SMEs explaining that it was still committed to its funding measures and programmes.
Read More

 ‘Nigeria, other markets need fit-for-purpose financial systems’

The lack of an efficient and resilient financial system is still holding back inclusive and sustainable growth in emerging markets.

Policymakers, regulators and financial services organisations should more actively shape a financial system that is fit for purpose. These are the main findings of a new PwC Project Blue report ‘Geared up for growth: Shaping a fit for purpose financial system.’

Read More

Abuja airport closure’ll affect economy – Experts

The planned closure of the Nnamdi Azikiwe International Airport, Abuja by the Federal Government for six weeks from March 8 will cripple the Nigerian economy beyond that period.

On January 5 this year, the Minister of State for Aviation, Senator Hadi Sirika, announced the decision of the Federal Government to temporarily close the NAIA to effect comprehensive renovation works on its runway so as to meet international civil aviation standards.

Read More

Fuel scarcity averted as NUPENG suspends strike

Nigerians yesterday heaved a sigh of relief as the National Union of Petroleum and Natural Gas Workers (NUPENG)  suspended its three-day warning strike, which began yesterday, following a resolution reached with government, International Oil Companies (IOCs), and other stakeholders in the industry over the contentious issues, staving off another round of debilitating fuel scarcity that would have hit the nation.

Read More

Ahmed directs release of N2 billion to 16 LGAs, SUBEB

Governor Abdulfatah Ahmed of Kwara State yesterday directed the immediate release of N2 billion to the 16 Local Government Council Areas (LGAs) and SUBEB in the State.

The development is a fall out of the receipt of N3.773 billion on Monday evening from the Federal Government, being balance of the 25 per cent of the State’s claim as its share of the London-Paris club.

Read More

CBN: Occupy CBN Protesters Are Blackmailers

The Central Bank of Nigeria (CBN) yesterday described a group known as Wailing Wailers as “paid hirelings,” saying they are a bunch of “blackmailers fighting for the interest of those who want to destroy the Nigerian economy.”

The central bank in a statement last night, said the group which goes by the tag Occupy CBN had threatened to protest efforts of the CBN to conserve scarce foreign exchange.

Read More

Comment here