Banking and Finance

CBN Injects $210m into Currency Market

Nigeria’s central bank said on Tuesday it had injected $210 million into the interbank foreign exchange market, extending efforts to boost liquidity and alleviate dollar shortages.

The bank said in a statement it had released $100 million earmarked for the wholesale market, $55 million for small businesses and individuals, and $55 million for certain dollar expenses such as school fees and medical bills.

FG to Release ₦750b for Capital Projects –Adeosun

Photo L-R: Deputy Governor of Imo, Eze Madumere; Minister of Finance, Kemi Adeosun; Deputy Country Director, French Agency for Development; and French Ambassador Denys Gauer, during the signing of a bilateral agreement when 30 Chief Executive Officers on a business visit from France. (NAN)



The Federal Government will release this week additional N750 billion for capital projects to ministries, departments and agencies (MDAs) of government as contained in the 2017 budget, Minister of Finance, Kemi Adeosun said.

Fitch cuts Nigeria’s 2017 GDP Growth Forecast

Fitch has cut its 2017 economic growth forecast for Nigeria to 1 percent from 1.5 percent, the ratings agency said on Friday.

Nigeria returned to growth in the second quarter of 2017 after shrinking by 1.5 pct in 2016 but the recovery has been fragile because oil revenues remain depressed and hard currency is short.

Speaking at a Fitch event in London, Jermaine Leonard, a director for sovereigns, added that although Nigeria’s 2018 budget had an oil production target of 2.3 million barrels per day (bpd), the Fitch forecast was just above 2 million bpd.

Debt Office to Raise ₦100b at Bond Auction

Nigeria plans to raise 100 billion naira ($327 million) by selling sovereign bonds with maturities of five and 10 years on Dec. 13, the Debt Management Office (DMO) said on Wednesday.

The debt office said it will raise 50 billion naira each in of the maturities using the Dutch auction system, Reuters reports.

The bonds are re-openings of previous issues and the result of the auction is expected to be published on Dec. 15, the DMO said.

CBN weakens Naira to 307/US$ for first time

Nigeria’s central bank on Monday weakened the naira marginally, selling dollars at 307 naira each for the first time on the official interbank market, in what traders say could signal a gradual move to merge its multiple exchange rates.

Nigeria’s convoluted exchange rate system has been used to manage what the central bank described as “frivolous” demand for dollars at the peak of a currency crisis which began two years ago.

Nigerian Capital Inflows more than Doubled in Q3 to $4.2b

The total value of capital imported into Nigeria more than doubled in the third quarter to $4.15 billion, after the economy emerged from a recession, the National Bureau of Statistics (NBS) said on Monday.

Nigeria’s economy grew in the second quarter, climbing out of its first recession in 25 years, as oil revenues rose. Last year the central bank imposed currency controls to prevent a collapse in the naira, which affected foreign capital inflows, Reuters reports.

CBN holds Benchmark Interest Rate at 14%

Nigeria’s central bank held its benchmark interest rate at 14 percent on Tuesday and said the recovery of Africa’s biggest economy from its first recession in a generation remained fragile.

Governor Godwin Emefiele said eight committee members had voted to hold the main rate, while one voted for a cut. All other policy parameters were kept unchanged, Reuters reports.

“Inflation in particular requires very close monitoring to gain clarity on the medium-term optimum path of monetary policy,” Emefiele told a news conference.

Nigerian Economy Grows 1.4% in Q3 –Stats Office

The National Bureau of Statistics (NBS) says the nation’s Gross Domestic Product (GDP) grew by 1.40 per cent year-on-year in real terms in the 3rd quarter.

The NBS stated this in a GDP Report for Third Quarter 2017 released in Abuja on Monday.

The bureau stated that the figure showed the second consecutive positive growth since the emergence of the economy from recession in second quarter.

It stated that the growth was 3.74 per cent points higher than the rate recorded in the corresponding quarter of 2016, which was –2.34 per cent.

Eurobonds Account for a Fifth of Nigeria’s $15.35b Foreign Debt

Eurobonds made up more than a fifth of Nigeria’s $15.35 billion foreign debt portfolio as of September and more than half of interest paid in the third quarter, the Debt Management Office (DMO) said on Wednesday.

Foreign debt stood at $11.58 billion a year earlier.

Africa’s biggest economy is planning a roadshow to London and United States from Thursday to market up to $2.5 billion of Eurobonds to investors after parliament approved the issue on Tuesday, Reuters reports.

Annual Inflation Slows for Ninth Month

Nigeria has recorded its ninth consecutive disinflation (slowdown in the inflation rate), the National Bureau of Statistics (NBS) said on Wednesday in Abuja.

The Bureau’s observation is contained in the breakdown of inflation analysis through it Consumer Price Index (CPI).

The CPI measured that inflation increased by 15.91 per cent (year-on-year) in October 2017, lower than the rate recorded in September (15.98) per cent making it the ninth consecutive disinflation since January 2017.

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