Business Tips

Market Index Plunges to Sell Pressure

The NSE All Share Index (ASI) continued its losing streak, tumbling 1.3% to close at 29,668.16 points driven by profit taking primarily in DANGOTE CEMENT (-2.4%), GUARANTY (-2.7%) and NIGERIAN BREWERIES (-1.1%).

Similarly, market capitalisation weakened ₦134.1 billion to close at ₦10.2 trillion as turnover worth ₦1.6 billion was realised in 160.6 million units of shares. Market activities measured by volume and value closed higher by 29.3% and 19.5%, respectively.

Banking Index led Sector Losers

UN Secretary-General Unveils $5.57b Budget for 2016-2017

The UN Secretary-General, Ban Ki-moon, yesterday presented a budget proposal of 5.57 billion dollars for the 2016-2017 biennium that begins on Jan. 1, 2015.

Making the presentation to the Administrative and Budgetary Committee of the General Assembly, he said that the budget had an initial outline level of 5.74 billion dollars.

Mr. Ban, however, said that the assembly directed that he should prepare the proposed programme on the basis of a preliminary estimate of 5.56 billion dollars.

NSE Announces Financial Advisers for Demutualisation

The Nigerian Stock Exchange (NSE) has announced the appointment of the consortium of Rand Merchant Bank (RMB) and Chapel Hill Denham (CHD) as financial advisers on the proposed demutualisation of the Exchange.

RMB is the corporate and investment banking arm of FirstRand, one of Africa’s largest, listed financial services groups. Chapel Hill Denham is a leading Nigerian investment bank, providing financial advisory services to domestic and international corporations, institutions, governments and individual clients, investing in Africa.

CBN Pledges Assistance to Textile Owners

The Governor, Central Bank of Nigeria (CBN), Godwin Emefiele, has met with the owners of textile industries in the country with a view to assisting them overcome challenges that hamper production.

During the meeting in Abuja recently, Mr. Emefiele emphasised that the textile industries must be assisted to operate optimally in order to create more jobs and boost the nation’s Gross Domestic Product (GDP).

‘Review of Public Officers’ Remuneration Almost Ready’

The much awaited report on the review of salaries and allowances for political, public and judicial office holders is almost completed, the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) has said.

Its Public Relations Officer, Ibrahim Mohammed, revealed this at the weekend.

In June, the Chairman of the Commission, Elias Mbam, inaugurated members of the Remuneration Committee to carry out the review with a mandate that the report would be ready before the end of September.

Interbank Rates Fall to Average of 0.75% on Excess Cash

Nigeria's interbank lending rates fell further to an average of 0.75 percent on Friday, down from 1 percent the previous day and from 3 percent a week ago, after the central bank made a large cash injection into the banking system.

The cost of funds fell to 1 percent for overnight lending and 0.5 percent for the secured Open Buy Back (OBB) on Friday after additional cash in banks' deposits with the central bank were refunded on Friday.

Stock Exchange Records ₦145 billion Loss in a Week

Trading activities at the Nigerian Stock Exchange this week were characterised by losses as market indicators continued their bearish trend.

Over ₦145.5 billion was lost during the week with the market capitalisation closing at ₦10.367 trillion on Friday, after it opened on the week at ₦10.513 trillion.

Weekly Review

National Security Remains Our Topmost Priority –Buhari

President Muhammadu Buhari said Thursday in Abuja that significant improvements in national security remains the topmost priority of his administration because other socio-economic initiatives cannot be successfully implemented without adequate security in the country.

Speaking at an audience with Britain's Chief of Defence Staff, Nicholas Houghton, President Buhari reaffirmed his administration's determination to end the Boko Haram insurgency as quickly as possible.

‘Automated Lottery can Generate Huge Revenue for Nigeria’

Lottery can generate huge revenue for Nigeria through automated technology, Adolphus Ekpe, the Director-General of the National Lottery Regulatory Commission, said.

Mr. Ekpe told the News Agency of Nigeria on Thursday that the commission had already begun the process of computerising its processes to enable it to generate greater income.

He said that automated technology would enable the commission to monitor and regulate the operators of the lottery business and make it more appealing to Nigerians.

Interbank Overnight Rate at Five-Year Low

Nigeria's interbank overnight lending rate fell to a five-year low on Thursday, hit by excess liquidity in the market that spurred renewed bond buying from commercial lenders and pension funds, traders said.

According to Reuters, the overnight lending rate halved to 1 percent from the previous day. It had hovered around a three-month low of 3 percent last week after the central bank repaid matured open market bills and did not issue fresh ones to mop up the funds, in a bid to keep borrowing costs low.