Banking and Finance

FG borrowed ₦6.1trn from pension assets –NPC

The Federal Government has borrowed about N6.16 trillion out of the N8.49 trillion pension assets under the Contributory Pension Scheme.

These figures were released by the National Pension Commission (NPC) on Tuesday in Abuja, revealing the FG’s borrowing represents 73.5 percent of the pension fund.

According to data from Pencom, Pension Fund Administrators also invested 6.87 per cent or N584.321bn of the fund in domestic ordinary shares, while 0.71 or N60.529bn of the fund was invested in foreign ordinary shares.

Aceess Bank gets CBN, SEC’s approval to acquire Diamond Bank

Access Bank and Diamond Bank Plc have obtained approval in principle from the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC) on proposed merger plans.

Mr Victor Etuokwu, Access Bank Executive Director, Personal Banking, said in Lagos that CBN and SEC had granted both banks approval in principle for the merger process.

Etuokwu said that the banks were awaiting the final approval which would be granted after convening shareholders meeting.

Nigerian Government Projects 3.01% GDP Growth in 2019

The Nigerian government says it projects a 3.01% Gross Domestic Product (GDP) growth in 2019, indicating a steady rise after the country exited recession in the Second Quarter of 2017.

Minister of Budget and National Planning, Senator Udoma Udo Udoma, stated this on Monday while speaking at the 10th Presidential Quarterly Business Forum held at the Banquet Hall of the Presidential Villa, Abuja.

Mines, Steel Ministry income declines in 2018

The Minister of State, Mines and Steel Development, Abubakar Bwari, says the ministry generated  the sum of N2.97 billion as revenue  in 2018.

Bwari announced this while giving a three-year account of stewardship (2016-2018) on Monday in Abuja.

He said  that the overall revenue generated  by the ministry from royalties and fees had improved from N2.08 billion in 2015 to N3.92 billion in 2017 and N2.97 billion as at October 2018, News Agency of Nigeria reports.

Nigeria Claims ₦2.7tr Spent on Infrastructure in 3 years

The High Level Stakeholders Retreat on Public Private Partnership (PPP) has heard that Nigeria spent N2.7 trillion on infrastructure development in the last three years.

At the meeting in Uyo on Friday, Ms Imeh Okon, the Senior Special Assistant to the President on Infrastructure, of the sum, N100 billion has been injected into rail projects.

“What we have done as a government is to go back to the 25-year Master Plan on the rail sector. All what you are seeing right now is in terms of rail infrastructure as a result of the Master plan that was on ground.”

World Bank forecasts 2.2% Growth for Nigeria in 2019

World Bank has put the estimated growth rate for Nigeria’s economy in 2019 at 2.2 percent with its forecast oil price at average $67 per barrel for the current year and next year, down $2 from its projections last June.

The bank in its Global Economic Prospects report said, growth in Sub-Saharan Africa is expected to pick up to 3.4 percent in 2019, rising to an average of 3.7 percent in 2020-21.

MTN Pays $53m to settle $8.1b Nigeria dispute

South African telecoms operator MTN Group has agreed to make a $53 million payment to resolve a dispute in Nigeria, it said on Monday, ending a four-month multi-billion dollar dividend repatriation row that has hammered its share price, Reuters reports.

Nigeria is MTN’s biggest market, accounting for a third of the African telecoms heavyweight’s annual core profit, but it has proven problematic for the company in recent years.

Buhari Unveils ₦8.8tr Budget

President Muhammadu Buhari on Wednesday unveiled a federal budget of N8.83 trillion for the 2019 fiscal year with N300 billion lower that the current budget.

The figure came in the 2019 Appropriation Bill presented by the president to a joint session of the National Assembly in Abuja.

The News Agency of Nigeria reports that the 2018 total budget estimate was N9.1 billion.

According to Buhari, N4.04 trillion or 50.31 per cent is earmarked for recurrent expenditure and N2.03 trillion representing 22.98 per cent earmarked for capital projects.

Scheme of Merger: Access Bank to complete acquisition of Diamond Bank in 2019

The board of Diamond Bank Plc on Monday finally announced its merger with Access Bank Plc expected to be completed in first half of 2019.

The News Agency of Nigeria reports that both banks recently denied media reports of any merger.

Mr Uzoma Dozie, the bank’s Chief Executive Officer, said in Lagos the board had selected Access Bank as the preferred bidder with respect to a potential merger of both banks.

Dozie said the potential merger of the two banks would create Nigeria and Africa’s largest retail bank by customers.