Author: Marketforces Africa

NGX Group Approves N4.4bn Dividend for Shareholders Nigerian Exchange Group (NGX Group) on Wednesday approved payment of N4.4 billion to the company’s shareholders for the year 2024. Dr Umaru Kwairanga, Chairman, Nigerian Exchange Group, disclosed this during the company’s 64th Annual General Meeting (AGM) held in Lagos. Kwairanga said, “These results mark a pivotal moment in NGX Group’s post-demutualisation journey, reinforcing investor confidence in our long-term vision. “The approval of a record N4.4 billion dividend, translating to N2 per share, is the highest dividend payout in the Group’s history. “This is a testament to our unwavering commitment to delivering value…

Nigerian Exchange Lost N119bn as Investors Exit Stock Positions A tidal wave of selling hit some companies stocks listed on the Nigerian Exchange (NGX) on Wednesday. Hence, the market capitalisation declined as profit taking caused equities investors’ portfolio value to shrink by more than N119 billion on Wednesday. Despite positive market breadth, the market headed south, and key performance indicators dropped by 0.18%, effectively reversing the previous day’s gain. The downturn was driven by selling pressure in some large-cap stocks, particularly within the Banking sector. Notable losers included Ecobank, Unilever Nigeria, Fidelity Bank and some other bellwethers. Fidelity Bank and…

Turnaround: Nigeria Posts $6.83bn Balance of Payment Surplus—CBN Nigeria posted a $6.83 billion balance of payment surplus in 2024, signaling economic resurgence in Africa’s most populous country, the Central Bank said in an official release on Wednesday. This marked a decisive turnaround from deficits of $3.34 billion in 2023 and $3.32 billion in 2022, the Apex Bank added, saying the improvement reflects the impact of wide-ranging macroeconomic reforms, stronger trade performance, and renewed investor confidence in Nigeria’s economy. The current and capital account recorded a surplus of $17.22 billion in 2024, underpinned by a goods trade surplus of $13.17 billion.…

Sujimoto Opens N5bn Commercial Paper for Subscription at 25.06% Luxury real estate player Sujimoto Holdings Limited has opened N5 billion commercial papers for subscription, Cowry Asset Management Limited told investors in an emailed note on Wednesday. The investment firm said the company seeks to raise up to ₦5 billion in Naira Series 1 Commercial Papers under its ₦20 billion Commercial Paper Programme at a discount rate of 25.06%. The luxury real estate and construction company focused on redefining living standards in Nigeria. Its commercial paper has a 270-day tenor at an implied yield of 30.86%, according to an investor note.…

Oando, Zenith Bank Drive Intraday Gain in Equities Market Oando Plc, Zenith Bank, and First Holdco are leading early risers in the equities segment of the Nigerian Exchange (NGX) on Wednesday due to a fresh rally. The energy stock has lost a significant amount due to investors exiting positions amidst a global stock downturn. The domestic bourse is making a healthy uptrend that is expected to push the market value of all listed stocks in the Nigerian market higher. At midday, the NGX All Share Index witnessed a positive trajectory, displaying a gain of 0.06%, Alpha Morgan Capital Limited told…

Oil Headwinds Pose Risks to Nigeria’s Current Account Balance Nigeria’s current account could turn to deficit if oil price slump below $60 per barre, AGG Capital Limited said in its macro update. Some analysts said the new 14% tariff on Nigeria’s export has become a threat to 2025 budget due to direct impacts on foreign revenue target for the year. In a new update, AGG Capital Limited explained that the current account measures a country’s trade and income flows – that is, the inflow and outflow of goods, services as well as investment incomes with the rest of world. For…

Spot Exchange Rates Diverge as CBN Sells $471m in 3-Day Spot FX rates diverged as the Central Bank of Nigeria (CBN) sold more than $471 million in foreign exchange (FX) intervention to authorised dealer banks as part of effort to keep the exchange rate stable in the official window amidst rising offshore investors demand. Foreign portfolio investors (FPIs) have been selling down their investment securities portfolios in search of safer assets amidst generally shift in global sentiment. African Eurobonds are feeling the negative impacts of U.S initiated trade war which key rating agency said would impacts global inflation and economic…

The naira saw a small gain against the US dollar in the foreign exchange (FX) market as the Central Bank of Nigeria

Money Market Rates Diverge as FX Settlement Reduces Liquidity Money market rates diverged on the back of sufficient liquidity in the banking system despite foreign exchange intervention sales settlement by the Central Bank of Nigeria (CBN) on Tuesday. The liquidity balance in the financial system slowed down to approximately ₦757 billion after outflow for the naira equivalent of US dollar sales to banks. The CBN’s intervention in the FX market, totaling $321.71 million in two days, dragged liquidity downward and exerted near zero pressure on rate pricing. As a result, the overnight lending rate contracted by a basis point to…

Burkina Faso Unlocks Access to $32m IMF Loan Burkina Faso has officially unlocked access to $32 million in funding support from the International Monetary Fund (IMF) following third review of the country’s credit facility, according to a statement. An IMF team led by Jaroslaw Wieczorek, mission chief for Burkina Faso, held meetings in Ouagadougou during April 1–8 in the context of the third review of Burkina Faso’s four-year Extended Credit Facility (ECF) program. The arrangement was approved by the IMF Executive Board on September 21, 2023, for a total amount of SDR 228.76 million, or about US$ 302 million. At…