Category Archives: Economic Highlights

UBA USA CEO Sola Appointed to US EXIM’s Sub-Saharan Africa Advisory Committee

Sola Yomi-Ajayi, the CEO of the United Bank for Africa(UBA)’s operations in the United States, has been appointed to the Export-Import Bank of the United States (US EXIM) Committee on Sub-Saharan Africa for 2020/2021. Established by the US Congress, the Sub-Saharan Africa Advisory Committee provides guidance and advice regarding US EXIM policies and programmes designed to support the expansion of financing for US manufactured goods and services in Sub-Saharan Africa.

Wide financing gap, currency devaluation induce higher debt burden – Analysts

Analysts have attributed the increasing debt burden to the devaluation of the naira from N306/$ to N361/$ and continuing financing gap in the budget.
The second quarter of 2020 debt data recently published by the Debt Management Office (DMO) revealed that Nigeria’s public debt stock grew 20.6 per cent y/y and 8.3 per cent quarter-on-quarter (q/q) to N31.0 trillion ($85.9 billion). This translates to a debt to GDP ratio of 20.4 per cent based on 2020 GDP estimate, from 19.0 per cent as at year-end 2019.

Manufacturers say unsold inventory at record high of N402.4bn

Nigerian manufacturers say their inventory of unsold goods jumped to a record high with a value of N402.4 billion ($1 billion) as consumer spending fell in a difficult business environment.

Mouka reaffirms commitment to consumers’ wellbeing, quality product

Mouka, Nigeria’s foremost manufacturer of mattresses and beddings has restated its commitment to consumers’ wellbeing by delivering quality products which enhance sleep and ultimately sound health.
This was the submission of the Chief Executive Officer, Mouka, Raymond Murphy, at a virtual stakeholders’ engagement where he unveiled someof the plans of its fiscal year, recently in Lagos.

Diageo Nigeria Unable to Refinance Loan on Dollar Shortage

Diageo Plc’s Nigeria unit has said, it is struggling to refinance a foreign-currency mortgage and trim prices following a scarcity of {dollars} in Africa’s largest financial system.
Guinness Nigeria Plc is weighing choices to handle a $23 million debt as a scarcity of liquidity within the native foreign-exchange market has made it troublesome to refinance, Stanley Njoroge, finance and technique director, stated on an investor name in Lagos on Friday.

9PSB gets final Approval from CBN with *990# to Commence Operations in Nigeria

As bank customers continue to encounter challenges such as regular long queues in the banking halls, consistent network failure, stringent documentations to assess credit facilities, frequent transaction/dispensing error, delay in transaction completion and process among others, the Central bank of Nigeria has granted final approval to Nigeria’s lifestyle and first payment service bank, 9PSB (Payment Service Bank), to commence operations in fostering financial inclusion drive in the Nigerian ecosystem.

CBN to ‘persuade’ non-oil exporters to process proceeds through domestic lenders … Aims to increase dollar liquidity, support ailing naira

The Central Bank of Nigeria (CBN) is trying to officially ‘persuade’ non-oil exporters to process dollar proceeds through domestic lenders to increase dollar liquidity and support the ailing currency, a circular seen by Reuters showed yesterday.
The central bank said exporters who fail to remit dollar proceeds through the lenders will be denied access to official currency markets, the circular said.

Dangote urges increased healthcare funding for Africa, after Polio-free certification

Chairman, Aliko Dangote Foundation and Africa’s foremost philanthropist, Aliko Dangote has urged governments across Africa, the Federal Government of Nigeria, and State governments to increase their budget allocations to the healthcare sector, to help ensure improved basic healthcare for the people.

Nigeria to Increase Gas Supply 600 mmscf/d by 2023

The Nigerian Petroleum Development Company (NPDC) has announced plans to increase gas supply to the domestic market by an additional 600 million standard cubic feet per day (mmscf/d). The announcement was made by Mansur Sambo, NPDC Managing Director, during a facility tour of the company’s Oredo gas handling plant.

U.S. dollar may lose reserve currency position with 11% crash … Analysts say Nigeria can benefit if we devalue naira

The U.S.’s currency, the dollar, has fallen to years-low, to the extent that analysts are arguing if it still possible the dollar can retain its position as a reserve currency.
But it is really not all about doom and gloom. It appears is a well thought deliberate policy to make their exports more competitive and have more money to deal with post-COVID pitfalls.