Author: Marketforces Africa

Nigerian Breweries Shareholders Exit Positions as Loss Grows As uncertainties grow over its dividend payment, equities investors sell down interest in Nigerian Breweries Plc stock following an unimpressive earnings performance. Data from the Nigerian Exchange showed that share price declined to N33 as market reacted negative to Nigerian Breweries earnings slump in 2024. On Friday, more than 1.8 million shares valued at N60.027 million were traded in the stock market amidst earnings announcement. Analysts expect further reactions next week as investors digest the company’s results.  The brewer share is now trading at discount of N5 below 52-week high on the…

Naira Rebounds Slightly after CBN Sells $66m to Banks In a tight race in the foreign exchange market, the naira recorded last moment gain following negative moment in the past two weeks. On Friday, the US dollar of the naira appreciated by 36 basis points to N1,509.70 at the Nigerian Foreign Exchange Market (NFEM), according to data from the FMDQ platform. In their separate note, analysts cited that improved liquidity was seen as the CBN participated at the FMDQ window to improve supply. In the official window, FX transactions were consummated between N1,480.00/$ to $1,522.00. In the week, the Central…

CBN Affirms Keystone Bank’s Stability Following Court Order The Central Bank of Nigeria (CBN) says Keystone Bank Ltd. remains safe, sound, and fully operational in spite of an existing court order. The bank said this in a statement on Friday by Mrs Hakama Sidi-Ali, Acting Director, Corporate Communications, CBN. Sidi-Ali said although the previous shares of the bank held by the shareholders were forfeited to the Federal Government, the bank remained stable. “We acknowledge this development may have triggered customer concerns; however, we wish to underscore the stability of the banking system, while the safety of depositor’s funds remains our…

Yield on Nigeria Eurobonds Below 9% Ahead of Inflation The average yield on Nigeria sovereign Eurobonds declined, trending below 9% on the back of strong demand from foreign investors. The Eurobond market rebounded driven by strong demand across the SSA and North African regions despite weaker oil prices. Nigeria and Angola saw gains of approximately +0.875 points, while Egypt averaged around +0.5 points. Additionally, the Producer Price Index (PPI), a key indicator of consumer inflation, rose by 0.4%, surpassing the expected 0.3% increase. This suggests a resilient manufacturing sector and potential upward pressure on interest rates, benefiting the USD. Elevated…

Oil Prices Climb as Market Reacts to ‘Great Reciprocal Tariffs’ Oil prices climbed on Friday as market reacted to US President Donald Trump’s plan for ‘great’ reciprocal tariffs. Meanwhile, the possibility of a peace treaty between Russia and Ukraine, along with data suggesting a rise in Russia’s oil production, would continue to cap further price increases. The international benchmark Brent crude rose by 0.4%, trading at $75.18 per barrel while the US benchmark West Texas Intermediate (WTI) increased by 0.3%, reaching $71.51 per barrel, compared to its prior session close of $71.26. US President Donald Trump outlined his plan for…

Central Bank Raises N1.4trn from OMO Bills Auction The Central Bank of Nigeria (CBN) raised N1.4 trillion from OMO bills offered at the primary market auction conducted on Thursday. The auction which was strong oversubscribed attracted local banks and foreign portfolio investors seeking to take advantage of higher yield on naira assets. Demand for money market instruments has continued to increase on the back of elevated yield on naira assets. Inflation pressures has changed the market dynamics. The CBN adopted monetary policy tightening to fight off inflation but the consumer price index has gotten worse, settling at 34.80% in Dec,…

Naira Falls for 8-Day over Insufficient FX Supply The naira fell for eight days since last week due to insufficient foreign currency supply in the official window. Forex market intervention has slowed down amidst strong decline in external reserves. Analysts said the Central Bank has stepped down on its aggressive back up for the naira as Nigeria’s foreign reserves declined to $39.154 billion this week as a results of foreign payments obligations. After a strong rally that caused exchange rate re-rating below N1500, the official window has been witnessing consecutive negative movement. According to spot FX data obtained from the…

Dangote Cement Sees Fast, Furious Rebound after Sell Shock Dangote Cement Plc has been launched into a fast lane in the equities market as investors ramped up its shares on the Nigerian Exchange (NGX). Stock market price uptick has been fast, furious, spanning three out out four trading sessions due to investors improved sentiment. The cement stock has gained about N80 on each of its 17.040 billion outstanding shares in the equities market in anticipation of good earnings results for financial year 2024. According to data obtained from the local bourse on Thursday, the cement company share price hit the…

EU-Nigeria Agribusiness Platform Inaugurates Steering Committee The European Union-Nigeria Agribusiness Platform (EUNAP) has inaugurated a Technical Steering Committee (TSC) to expand agribusiness trade and foster investment between Nigeria and EU member states. Mr Roland Oroh, Chief Executive Officer (CEO) of Agribusiness Register Ltd, said at the inauguration on Thursday in Abuja that the platform aims to generate an estimated 575 million euros in additional trade value for Nigeria’s agribusiness sector. Oroh noted the need for active participation from government agencies, private-sector actors, and development partners to achieve this goal. According to him, EUNAP, funded by the European Union and managed…

Kwara Awards N5bn Contracts for Facilities Upgrade The Kwara Government on Thursday disclosed that contracts worth N5 billion had been awarded for the upgrade of 70 Primary Health Care (PHC) facilities in the three senatorial districts of the state. Prof. Nusirat Elelu, Executive Secretary, Kwara State Primary Health Care Development Agency, made this known in Ilorin at the contract-signing event. Elelu stated that the intervention would include infrastructural upgrade, solarisation, provision of staff quarters, potable water supply and supply of ultra-modern hospital equipment across all benefitting PHC facilities. “The intervention is coming with the support of the World Bank supported…