Author: Julius Alagbe

Excess Liquidity in Banking System Keeps Rates Stable Excess liquidity in the Nigerian banking system kept the short-term benchmark interest rates stable in the money market after a N400 billion cash reserve debit on Friday. The open repo and overnight lending rates tracked behind 27% apiece in the absence of significant funding pressures. Banks borrowing from the standing lending facility of the Central Bank also reduced versus previous experience, a development some analysts attributed to the absence of primary market auctions. At the beginning of the week, the banking system surplus fund opened at N906.85 positive as outflow remained minimal.…

The naira value declined sharply in the official window as data from the FMDQ platform revealed that inflows from foreign investors

Trump Torches Global Trade Order, Peddles in Economic Delusion -CEO President Donald Trump has detonated the foundation of modern global commerce by announcing sweeping tariffs on nearly all imports—a move Nigel Green, CEO of global financial advisory giant deVere Group, says “peddles in economic delusion” and risks triggering a dangerous global slowdown. “This is how you sabotage the world’s economic engine while claiming to supercharge it,” he says. “It’s a seismic day for global trade. Trump is blowing up the post-war system that made the US and the world more prosperous, and he’s doing it with reckless confidence.” At a…

Naira Rises at Official Market, BMATCH on Strong Net FX Reserve The Naira rose against the US dollar in the foreign exchange markets, including electronic platform Bloomberg BMatch following the Central Bank of Nigeria (CBN) announcement that the country’s net FX reserves strengthened to highest level in three years. According to spot FX data, the local currency unit gained N5.57 to close at $/N1,531.25 in the official market amidst sustained interventions. At BMATCH electronic platform, exchange rate clawback back to N1530, its best range in two weeks. FX analysts said the USD/NGN pair traded within a range of $/N1,525.00 to…

Tinubu Sacks NNPC Group CEO Mele Kyari President Bola Tinubu has sacked the board of the Nigerian National Petroleum Company (NNPC) including its Group Chief Executive Officer, Mele Kyari and board chairman Pius Akinyelure. The decision, effective April 2, 2025, was announced in a statement by presidential spokesperson Bayo Onanuga. President Tinubu cited the need for enhanced operational efficiency, restored investor confidence, and a more commercially viable NNPC as the driving forces behind the decision. Invoking his powers under Section 59(2) of the Petroleum Industry Act (PIA) 2021, he reconstituted the board with new leadership aimed at repositioning NNPC Limited…

Central Bank’s Net FX Reserve Position Hits 3-Year High The Central Bank of Nigeria (CBN) has reported a substantial improvement in its Net Foreign Exchange Reserve (NFER) position as of the end of 2024, reflecting a substantial improvement in the country’s external liquidity, reduced short-term obligations, and renewed investor confidence. According to the CBN, NFER stood at $23.11 billion, the highest level in over three years, a marked increase from $3.99 billion at year-end 2023, $8.19 billion in 2022, and $14.59 billion in 2021. NFER, which adjusts gross reserves to account for near-term liabilities such as FX swaps and forward…

Nigeria’s Private Sector Sees Fastest Growth Since January 2024 Following Nigeria’s economic reforms, private sector growth accelerated fastest since January 2024, Stanbic IBTC Purchasing Manager Index (PMI) released by S&P Global says. The report stated that February data pointed to improved growth momentum in the Nigerian private sector. According to Stanbic IBTC, rates of expansion in output, new orders and purchasing activity all quickened as demand picked up and inflationary pressures showed signs of moderating. That said, the PMI report hints that with costs continuing to rise sharply, some companies were reluctant to hire additional staff and employment increased only…

US Dollar Rises Against Sterling, Euro in FX Markets Amidst rising protectionism policy stance in America, the US dollar strenghtened against its major trading partners on Friday except for a decline versus the yen, before the release of personal income, spending and price data for February. With so much uncertainty about the current US administration’s policy, FX analysts in the market are on the lookout for new narratives. Before dollar picked up against trading pairs, ING analyst Chris Turner asked could the ongoing rally in gold be telling the market about investor preferences away from the US dollar. The forex…

GTCO Profit Grows by 89% to N1.02trn, Declares N7.03 Dividend Guaranty Trust Holding Company Plc (GTCO) grew profit by about 89% year on year on 2024 to N1.02 trillion from N539.65 billion in 2023. The mouth-watering earnings performance was driven by the strong growth in both interest and non-interest income lines. Hence, the group earnings per share printed at N35.44 in 2024 following its impressive performance from N19.07 in 2023. The board proposed a final dividend of N7.03/share, a significant 160% increase from N2.70 paid in 2023. This bring the total dividend for 2024 to N8.03/share from N3.20/share in 2023.…

Nigeria Customs Waive Import Duty on Pharmaceutical Raw Materials The Nigeria Customs Service (NCS) has waived import duty and Value Added Tax (VAT) on critical raw materials essential for pharmaceutical production for a period of two years. Its Spokesperson, Abdullahi Maiwada, made this known in a statement on Wednesday in Abuja. Maiwada explained that the waiver aligned with the Presidential directives to enhance local healthcare product manufacturing, reduce costs of medical equipment and consumables, and stimulate local investments. He said that the waiver was part of the comprehensive guidelines approved by Mr Wale Edun, the Minister of Finance and Coordinating…