Author: Marketforces Africa

Bitcoin-Backed Securities Carry High Market Value Risk –Fitch Bitcoin-backed securities’ heightened risks are consistent with speculative-grade credit profiles, Fitch Ratings says. The inherent market value volatility, structure and counterparty risks in these instruments warrant conservative collateral coverage and rapid deleveraging mechanisms. Crypto lender bankruptcies in 2022–2023 underscore the risks of inadequate margining. Fitch said these transactions generally involve a special-purpose vehicle that holds bitcoin as collateral and issues debt backed by that collateral pool, functioning much like a margin loan. Liquidation triggers are embedded at predefined coverage levels, often with short cure periods. Bitcoin holders may use these instruments to…

Debt Office Opens 2026 FGN Savings Bond for Subscriptions The Debt Management Office (DMO) has opened Federal Government of Nigeria (FGN) Savings Bonds for investors’ subscription at the rate of 15.39% per annum. FGN Savings Bonds are backed by the full faith and credit of the Federal Government of Nigeria, making them one of the safest fixed-income instruments available in the domestic market. Details of the offer were released by the DMO as part of its January 2026 FGN Savings Bond issuance notice published by the debt office. The issuance features a 2-year bond maturing in January 2028 and a…

Nigeria, UAE Trade Pact Opens Duty-free access for Local Goods —Minister Nigeria’s Comprehensive Economic Partnership Agreement (CEPA) with the United Arab Emirates will unlock duty-free access for thousands of Nigerian products, the Minister of Industry, Trade and Investment, Dr Jumoke Oduwole, has said. Oduwole spoke on Tuesday in Abu Dhabi after Nigeria and the UAE signed the landmark trade agreement on the sidelines of the 2026 Abu Dhabi Sustainability Week (ADSW). She described the CEPA as a historic milestone that would transform economic relations and deliver tangible benefits for Nigerian businesses, professionals and workers. He said, “Today marks a historic…

Nigerian Treasury Bills Yield Dips to 18% Ahead of CPI Data The average yield on Nigerian Treasury bills slid to 18.01% in the secondary market as investors’ interest in the naira asset increased ahead of the consumer price index (CPI) data scheduled for release. The Treasury market experienced bargain hunting across the short and belly of the curve in a soft on-the-day rally that dragged the average yield lower by a basis point on Monday. Due to buying interest, both the short and mid (-2 bps) segments of the curve recorded 2 basis point yield contractions, CardinalStone Securities Limited said…

African Eurobonds Face Sell Bias, U.S Yield Rises on Powell Probe African Eurobond selling pressures intensified at the international market as offshore investors reacted to U.S. yields and uncertainties in the global commodity market. Oil-linked issuers saw yields on their respective sovereign Eurobonds adjusted upward due to significant profit-taking activities experienced across the curve. The market witnessed a spike in U.S. yield as Federal Reserve Chair Jerome Powell’s criminal probe stoked sell pressures, while investors moved to safe havens. The benchmark 10-year Treasury yield moved higher on Monday as investor worries around the Federal Reserve’s independence spurred volatility in the…

UBA New Share Listing Boosts NGX Market Cap to N104.5trn Supported by new shares listed by UBA, the Nigerian Exchange (NGX) market capitalisation climbed to N104.5 trillion, a gain of N745 billion from the previous close. The local bourse sustained its upward trajectory, commencing the week with the All-Share Index climbing 0.58% to 163,244.69 points. Trading details showed that market capitalisation expanded by ₦744.99 billion to ₦104.52 trillion, representing a 0.72% increase driven by the additional listing of 3.16 billion ordinary shares of United Bank for Africa Plc on the NGX today. The bullish close was buoyed by price upticks…

Trump vs Fed fight escalates—markets won’t stand for it, CEO warns The independence of the Federal Reserve, the world’s largest economy’s central bank, is under attack, and markets won’t stand for it, warns the CEO of one of the world’s largest independent financial advisory organisations. The warning from Nigel Green of deVere Group comes as Chairman Jerome Powell says he is now under federal criminal investigation related to the $2.5 billion renovation to the central bank’s headquarters and his congressional testimony about that. The deVere Group CEO says: “This appears to be thinly veiled pressure on the Chair from the…

First HoldCo Names New Boards in Non-Banking Subsidiaries First HoldCo Plc has announced new board appointments across its non-commercial banking subsidiaries as part of measures to strengthen governance, deepen oversight and position the businesses for sustainable growth. The diversified financial services group said the appointments followed regulatory approvals from the Securities and Exchange Commission (SEC) and the National Insurance Commission (NAICOM). According to a statement issued by the group’s media unit on Sunday in Lagos, the board changes are aimed at injecting experienced professionals into the subsidiaries and aligning operations with international best practices in corporate governance. The statement said…

Naira Diverges as Informal Sector’s FX Liquidity Tightens The naira diverges as the official and parallel exchange rates move in different directions amidst a supply shortfall in the informal sector. The official rate, however, recorded a weekly gain, which widened the exchange rates between the Central Bank of Nigeria (CBN) and parallel market quotes.  The CBN said in its daily fx update that the local currency appreciated to N1423.17 per dollar, gaining N7.70 week on week. The naira traded at an average of ₦1,421.90/US$ during the week, with inflows from Foreign Portfolio Investors (FPIs) and supply from local participants supporting…

Nigeria’s Inflation to Rise by 1700 Basis Points –AIICO Capital Nigeria’s headline inflation rate for December 2025 would surge by at least 1700 basis points (bps) to a range of 31.4% and 32.4%, investment firm AIICO Capital Limited said, citing base effects and year end spending. The projection suggests that Nigeria’s 8-month disinflation will be halted in December ahead of the statistic office report this week. The market anticipates that the National Bureau of Statistics (NBS) will publish the Consumer Price Index (CPI) for the month of December 2025 on January 15, with consensus showing a significant uptrend in the…