FG Plans to Issue $300m Diaspora Bond by June
The federal government plans to raise $300 million by selling a diaspora bond targeting Nigerians living abroad, one of the book runners on the deal, First Bank told Reuters on Tuesday. The bond, which will have a maturity of five to seven years, is expected to be issued by June, the bank said. Nigeria has asked Goldman Sachs and Stanbic IBTC Bank , the local unit of South Africa’s Standard Bank , to advise it on the sale of the maiden bond. It also appointed United Bank for Africa as one of the book runners on the deal.
Nigeria is the world’s fifth-biggest destination for international remittances with 5 million Nigerians living abroad sending money back to relatives, according to Western Union.
CSOs Condemn Blackmail Of FG, CBN
A Coalition of civil society group in Abuja has condemned the recent attacks on both the federal government and the Central Bank of Nigeria as it drummed support for policies of the government particularly on current foreign exchange policy.
Backing the CBN decision to restrict access to foreign exchange to some 41 items, the group noted that the Nigerian economy will make huge gains from its continued implementation. Speaking with journalists during a peaceful demonstration in Abuja yesterday, the convener of the march, Mr. Etuk Bassey Williams, said the present economic situation in the country called for cooperation of all stakeholders to enable Nigeria emerge from the recession at the earliest time possible.
Buhari seeks N’Assembly approval for $1bn Eurobond
The Federal Government has asked the National Assembly to approve the plan to raise $1bn through Eurobond issuance. It was gathered on Tuesday that President Muhammadu Buhari had transmitted a letter to the National Assembly to seek legislative approval for the Eurobond issuance, which might force the lawmakers to come out of their ongoing recess.
The decision to seek approval was part of the discussion when the leadership of the National Assembly met with Presidency officials on Tuesday.
Reps Task NNPC On Products Price Uniformity
The Chairman House Representatives Committee on Petroleum Resources (Downstream), Hon. Joseph Akinlaja, yesterday urged the management of the Nigerian National Petroleum Corporation (NNPC) to continue to work hard and ensure uniformity in prices of petroleum products, particularly in the northern part of the country.
Hon. Akinlaja stated this during an interactive session with top management of the Corporation with members of the committee in Abuja.
Expert seeks scientific investigation of recession
As efforts are being intensified to take Nigeria out of recession, an expert has advised government and private businesses to exercise strict caution against incessant accident and emergencies that could destroy investments and divert business focus.
The expert urged corporate entities to learn from previous mishaps by employing scientific models in investigating occurrences, useful in making safety recommendations intended to prevent a recurrence of similar and future accidents, thus securing investment and resources.
Fitch Revises Lagos’ Outlook to Negative; Affirms ‘B+’ Rating
Fitch Ratings has revised Lagos State’s outlook to negative from stable. But the rating agency affirmed the state’s Long-term foreign and local currency issuer default ratings (IDRs) at ‘B+’. The issue ratings on Lagos’ senior unsecured bonds was also affirmed at ‘B+/AA+(nga)’. The state’s National Long-Term Rating was also affirmed ‘AA+(nga)’, with Stable Outlook.
Under EU credit rating agency (CRA) regulation, the publication of local and regional government (LRG) reviews is subject to restrictions and must take place according to a published schedule, except where it is necessary for CRAs to deviate from this in order to comply with their legal obligations.
SMEDAN Decries Poor Funding
The director-general of Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), Dr. Dikko Umaru Radda, has said that the agency was not sufficiently funded. Radda also stressed the need for better coordination among agencies of government ,saying at the moment , there were a lot of overlappng of functions that had almost crippled the agency.
“The major problem is that agencies of government see themselves as competitors and not as Collaborators and this is affecting our economy .We lack synergy ,there is a lot of overlaps ,agencies that have no mandate keep involving themselves in projects and this is undermining our work,” he lamented.
Osinbajo orders probe of contract fraud claim in water ministry
The Vice President, Prof Yemi Osinbajo has directed immediate investigation into allegations of contract fraud in Cross River Basin Development Authority (CRBDA), an agency of the Federal Ministry of Water Resources.
The directive is contained in a letter addressed to the managing director of an indigenous engineering firm, Coasterners Engineering and Building Services Limited, Kola Adegoke, acknowledging the receipt of petitions written by Adegoke’s company.
FG to raise N20bn for renewable energy projects
The Minister of Environment, Mrs. Amina Mohammed, on Tuesday said that plans by the Federal Government to raise N20bn by March this year to help fund renewable energy projects were still in place.
Speaking at an event organised by Access Bank Plc to honour her appointment as the United Nation’s Deputy Secretary General designate in Lagos, Mohammed said that the government hoped to achieve this with the call being made on Nigerians to support its quest to issue a Green Bond.
Nigeria’s Manufacturing Index Declines in January
The Manufacturing Purchasing Managers’ Index (PMI) stood at 48.2 index points in January 2017, indicating a decline in the manufacturing sector during the review period.
The index averaged 45.2 in the last twelve months, and had grown in December 2016 after recording declines for 11 consecutive months. The PMI is an indicator of the economic health of the manufacturing sector.
Ajaokuta requires $2bn to revive operations, says FG
The Federal Government has said that to get the Ajaokuta Steel Complex to produce at full installed capacity requires an investment of $2bn.
The Minister of Mines and Steel Development, Dr. Kayode Fayemi, was quoted to have said this in a publication of the ministry obtained by our correspondent in Abuja on Tuesday.
Pension Assets Hit N6.02 tn As Recovering Agents Cover N11bn
The Contributory Pension Scheme (CPS) now has a total of N6.02 trillion assets. This represents total fund accrued from the scheme in its 12 years regime in Nigeria as at November 2016.
The Director-General, National Pension Commission,( PenCom) Mrs. Chinelo Anohu-Amazu, in her latest information on status of the scheme, asset-wise, attributed the growth to the prudent way the fund managers handled it and lack of fraudulent activities under the scheme.
Lagos-Ibadan rail line’s foundation ready in March – FG
The foundation of the Lagos-Ibadan segment of the Lagos-Kano rail project will be laid before the end of the first quarter of this year, the Federal Government has said. It also confirmed that it had secured $1.5bn from the China Exim Bank to commence work on the Lagos-Ibadan rail line project.
W’Bank: Improving Governance Key to Ensuring Equitable Growth
A new World Bank policy report has urged developing countries and international development agencies to rethink their approach to governance, as a key to overcoming challenges related to security, growth, and equity.
The 2017 World Development Report titled: “Governance and the Law,” that was released on Monday, explored how unequal distribution of power in a society interferes with policies’ effectiveness. Power asymmetries helped explain, for example, why model anti-corruption laws and agencies often fail to curb corruption; why decentralisation does not always improve municipal services; or why well-crafted fiscal policies may not reduce volatility and generate long-term savings.
Reps threaten to recommend revocation of oil licences
An ad hoc committee of the House of Representatives on Tuesday threatened to recommend the revocation of various controversial Oil Prospecting Licenses and Oil Mining Leases awarded by the Federal Government.
An estimated $1.75bn in revenue is said to be owed the government by winners of oil well bids.
Insurers Committee to Hold Maiden Retreat
Insurers Committee, a gathering of insurance Chief executives and the National Insurance Commission (NAICOM) will hold its maiden Annual Retreat aimed at charting a progressive way forward for the Nigerian Insurance Industry.
The Committee, under the leadership of NAICOM will use the opportunity of the retreat to rub minds together on critical issues that will advance the industry and enable its take its position as the risk bearer of the national economy.
Apathy grows as 86.6m Nigerians are without insurance policies
Long before Nigeria was finally plunged into recession last year, it has been pretty challenging to get Nigerians to appreciate the benefits inherent in insurance products, with the sector contributing a meager 0.6 per cent to the nation’s Gross Domestic Product (GDP).
Due to the high level of apathy, the industry has not grown at par with the other financial services sub-sectors like banking and capital market, and has therefore remained the weakest link among them.
Guinness: N40bn Rights Issue to the Rescue?
The approval given by shareholders of Guinness Nigeria Plc last week for a rights issue of N40 billion has been seen as a very good decision that will save the company from its current loss position. Guinness Nigeria, for the first time in 30 years posted a loss of N2.0 billion for the year ended June 30, 2016. It has also recorded a loss of N4.7 billion for the half year to December 31, 2016.
‘SON Act empowered agency to combat sub-standard goods proactively’
The Director General of the Standards Organisation of Nigeria (SON), Osita Aboloma has commended the National Assembly for empowering the agency to combat the influx, production and distribution of substandard products in the country.
According to him, the passage of the SON Act 14 of 2015 has provided the leeway for the organisation to prevent suspected substandard products from circulation even while investigations to ascertain the compliance to relevant standards are being carried out.