Author: Marketforces Africa

Lagos Plans Industrial Innovation Zone to Boost Local Production The Lagos State Government is planning to establish an industrial innovation zone as part of efforts to significantly boost local production. The government also re-affirmed commitment to boosting investor confidence and improving ease of doing business through a range of initiatives. Mrs Folasade Ambrose-Medebem, the state Commissioner for Commerce, Cooperatives, Trade and Investment, gave the assurance on Tuesday at the Lagos State 2025 Ministerial Press Briefing at Alausa, Ikeja. The briefing is in commemoration of Gov. Babajide the Sanwo-Olu’s second year of second term in office. The commissioner said that the…

The Central Bank of Nigeria (CBN), in collaboration with the Nigeria Inter-Bank Settlement System (NIBSS)

Naira Value Improves on FX Inflow, External Reserves Boost The naira reclaimed additional value against the US dollar at the Nigeria Foreign Exchange Market (NFEM), the official FX spot platform of the Central Bank, supported by offshore inflow. At the same time, the gross external reserves balance continues to rise with the latest round of inflows from various sources. The interbank market remained liquid, driven largely by inflows from Foreign Portfolio Investors (FPIs), AIICO Capital Limited said in its investor note. The external market sentiment improved as Nigeria successfully settled its $3.4 billion debt obligation to the International Monetary Fund,…

Equities Investors Gain N186bn as Oando, Transcorp Rally Equities investors gained about N186 billion on the Nigerian Exchange (NGX) trading platform on Tuesday as Oando, Transcorp, and Nigerian Breweries Plc rallied. The local bourse rebounded from the previous day’s loss amidst improved trading activities and investor sentiment that boosted key performance indicators. The bargain hunting was primarily driven by renewed buying interest in previously depreciated medium- and large-cap stocks, particularly within the consumer goods sector. Top gainers included OANDO, TRANSCORP, NB, and others, which collectively contributed to a rise of approximately ₦186 billion in investors’ wealth. The NGX All-Share Index…

Bonds Yield Steady as DMO Opens Sukuk Offer Nigerian government bond yields steadied in the secondary market as the Debt Management Office (DMO) opened 7-year Sukuk worth N300 billion for subscription at 19.75%. The local bond market opened the week with subdued activity, though limited trading emerged in select tenors—particularly the Feb 2031s, May 2033s, and Jun 2053s. Across the benchmark curve, the average yield contracted at the short (-1bp) end, driven by buying interest in the JAN-2026 (-9 bps) bond, but closed flat at the mid and long segments. Despite the quiet session, the benchmark mid-yield closed steady at…

Nigerian Treasury Bills Yield Falls to 21% Ahead of Inflation The average yield on Nigerian Treasury bills fell to 21% in the secondary market due to continued positioning on the naira assets ahead of inflation data. Disinflation, which has reduced real return on investment, is unable to deter investors’ appetite for the Nigerian bills, with mixed expectations over the next monetary policy action on the benchmark interest rate. Traders were active in the market on Monday, resulting in demand for bills across the belly and long end of the curve. Preference for short duration appeared to have reduced on expectations…

FCMB Exposure to Legal Issues Rises by 350% in 1-Year FCMB Plc’s exposures to legal claims or lawsuits from third parties arising from various business issues increased by about 350% year-on-year to N152.98 billion from N34 billion in 2023, according to the group’s audited financial statement for 2024. This happened despite a moderate increase in the number of fresh lawsuits against the financial services company within 12 months – with the potential to trigger material financial obligations. In a disclosure, FCMB said the group in its ordinary course of business is presently involved in 499 cases as a defendant, up…

Oil Prices Drop over Demand, Supply Imbalance Oil prices fell due to a demand and supply imbalance in the global commodity market. Prices of crude oil declined amidst growing optimism over a temporary pause in the US-China trade war and mounting concerns about a global supply glut. International benchmark Brent crude decreased by around 0.1%, trading at $64.69 per barrel. The US benchmark West Texas Intermediate decreased by about 0.09%, settling at $61.57 per barrel, compared to its prior session close of $61.63. The shift follows a breakthrough in trade talks held over the weekend in Switzerland, where Washington and…

Short-term Benchmark Interest Rates Rise over FX Settlement Key money market indicators, the short-term benchmark interest rates, increased as Central Bank of Nigeria (CBN) foreign exchange market interventions settlement dragged liquidity level in the banking system. The market was debited for the naira equivalent of FX intervention sales to deposit money market as part of an effort to strengthen forex market liquidity. Although system liquidity remained robust, interbank rates inched up to 27% levels, driven by outflows from CBN and FX settlement activities conducted at the beginning of the week. Banks are still maintaining distance from the CBN standing lending…

Mauritania Unlocks Access to Additional IMF Loans Mauritania has unlocked access to a $28.7 million loan from the International Monetary Fund (IMF) following the completion of its credit review. The Mauritanian authorities and IMF staff reached a staff-level agreement on the Fourth Review of Mauritania’s economic program under the Extended Fund Facility (EFF) and Extended Credit Facility (ECF), and the Third Review of the Resilience and Sustainability Facility (RSF). In an official note, IMF said economic activity was stronger than expected in 2024 and is projected to decelerate slightly in 2025, reflecting a contraction in the extractive sector. The Fund…