Author: Julius Alagbe

Parallel Market Rate Breaks Resistance as USD Exchange for ₦480 Naira depreciates further in the foreign exchange market Tuesday traded at ₦480 to a dollar as against resistance point of ₦475 previously sustained. Analysts said they are unclear if the renewed pressure in the parallel market is linked to speculative positioning ahead of the resumption of international travels on August 29. Meanwhile, the pressure at the foreign exchange market was attributed to a recent report by Reuters which indicated that Nigeria is yet to implement reforms required to access the US$1.5 billion budget support facility from the World Bank. In…

NAICOM Issues Guidelines on Paid-up Share Capital for Insurance Companies The National Insurance Commission (NAICOM) on Tuesday released guidelines for the payment of Minimum Paid-up Share Capital by insurance and re-insurance companies in compliance with the first phase recapitalisation directive deadline of Dec. 31. Mr Pius Agboola, Director, Policy and Regulations, NAICOM, for the Commissioner of Insurance, said that the guidelines were in furtherance to the commission’s earlier circulars dated May 20, 2019, July 23, 2019 and December 30,2019 respectively on the subject matter. Agboola said that the minimum paid-up share capital shall be through any or a combination of…

Terrible Unemployment Rate Suggests Need for Reforms – Analysts Investment banking experts at Chapel Hill Denham Limited has said that weak labour market underlines the need for reform in Nigeria as misery index jerked up. In its macroeconomic note, experts at the investment frim advise policy makers to expand economic growth frontier beyond service to industry and agriculture through ease of doing business reforms and economic liberation policies. Unemployment rate rose by 4% to 27.1% in the second quarter of 2020 from 23.1% in the third quarter of 2018. Reacting to the development, Chapel Hill said the near term outlook…

ARDOVA: Analysts Recommend Buy on Expectation of Sales Recovery. In the first half of 2020, Ardova Plc revenue rose 5% year on year to ₦87.3 billion, which was 2% below Vetiva analysts estimate. Thus, analysts forecasted ₦29.26 price target, though net profit for financial year 2020 is projected to

Oil slips below $45 on-demand concerns, set for weekly rise. Oil dipped below $45 a barrel

Analysts Maintain Buy Rating on Sterling Bank, Set Price Target to ₦1.43

International Breweries Records Worst Q2 Performance after Merger, Dump Analysts say  ·         Stock dangling between analysts’ Buy, Sell Recommendation ·         We posit that the stock is oversold, could present upside opportunities – WSTC ·         Bearish outlook for rest of 2020 is colored by existing industry headwinds – Meristem Pressure on demand for International Breweries (IntBrew) Plc.’s products, a key challenger in the beer market, is affecting the company’s performance scorecard. In the second quarter, IntBrew recorded material decline in sales due to coronavirus outbreak which resulted to economic lockdown. Obvious pressure cast doubt on future outlook in the segment, and this forced analysts to downgrade revenue estimates by…

Neimeth Pharmaceutical Earnings Jump as Virus Boosts Demand for Drugs

AfDB: Independent Review Panel exonerates Adesina The Independent Review Panel set up by the Bureau of Governors of the African Development Bank (AfDB), has exonerated President of the Bank, Dr Akinwumi Adesina of any ethical wrongdoings. This is contained in the panel’s report made available to the News Agency of Nigeria (NAN) on Tuesday. The Independent Review Panel was constituted following a complaint by the United States, to review the process by which two previous organs of the Bank – the Ethics Committee of the Board, and the Bureau of the Board of Governors had previously cleared Adesina. The three-member…

Ticking Debt Clock: How Much Can Nigeria’s Economy Absorb? Some Nigerians are worried about the rising debt profile amidst the rising poverty level in the country. The government has been on the side of borrowing, but neglected innovative drives to diversify the nation’s revenue from petrol-dollars support. Borrowing remains the Federal Government’s core strategy to rescue the economy as well as to pave way for growth and development. Mr. President, what is your debt repayment strategy like? It is not clear the Federal Government has one. The next question is: who will pay Nigeria’s debt? The next President will most…