The Naira on Wednesday gained 30 kobo to exchange at N359 to the dollar at the parallel market in Lagos, against N359.30 on Tuesday.
 
The Pound Sterling and the Euro closed at N464 and N414, respectively. At the Bureau De Change (BDC) window, the naira traded at N360 to the dollar, while the Pound sterling and the Euro closed at N464 and N414, respectively.
 
Trading at the investors’ window saw the naira close at N363.06, while it exchanged at N361.10 at the official CBN window.
 
Meanwhile, the CBN had continued to boost liquidity at the forex market with the injection of 210 million dollars on Tuesday.
 
 
 
The Guardian...

Following the two-day holiday declared by the Federal Government to celebrate this year’s Eid-El-Kabir, the stock market resumed on Thursday on a positive note as equities investors gained N198 billion.

The domestic bourse had recorded a bearish performance on Monday as the market capitalisation shed N219 billion to close at N12.66 trillion before the holiday.

But the market rebounded on Thursday as the benchmark index of the Nigerian Stock Exchange (NSE), All-Share Index (ASI), rose by 157 basis points to close at 35,206.16 points from 34,663.48 points recorded on the first trading session of the week.

Specifically, the market capitalisation appreciated to N12.85 trillion from N12.65 trillion, while the year-to-date losses of the ASI stood at 7.99 percent.

However, market breadth weakened as 25 stocks declined as against 11 that gained. The volume of stocks traded at the exchange rose by 0,1 percent, while the value of the stocks fell by 20.59 percent.

A total of volume of 210.71 million stocks valued at N2.53 billion were exchanged in 3,287 deals as against total of 220.49 million stocks worth N3.19 billion traded in 3,054 deals on Monday.

Wapic Insurance was the highest gainer today rising by 8.82 percent to close at 37 Kobo per share. Veritas Kapital Assurance trailed with 7.69 percent gain to close at 28 Kobo per share, while Dangote Cement appreciated by 6.98 percent to close at N230 per share.

Dangote Flour garnered 6.49 percent to close at N8.20 per share, while Oando rose by 5.26 percent to close at N5 per share.

On the other hand, Livestock Feeds led the laggards by shedding 9.84 percent to close at 55 Kobo per share. Red Star Express followed by dropping 9.65 percent to close at N5.15 per share, while Jaiz Bank lost 9.43 percent to close at 48 Kobo per share.

Equity Assurance depreciated by 9.09 percent to close at 20 Kobo per share, while Secure Electronic Technology fell by 8.70 percent to close at 21 Kobo per share.

United Bank for Africa emerged the most traded stock as total turnover hit 54.33 million volume of shares valued at N436.11 million. Zenith Bank followed with a volume of 25.99 million shares worth N571.42 million, while FBN Holdings recorded a volume of 14.19 million shares valued at N138.64 million.

 

Vanguard.

Agricultural, manufacturing and the sectors considered as growth and employment stimulating, can now borrow long term as much as N10 billion at consolidated nine per cent interest rate under new guidelines issued by the Central Bank of Nigeria.
 
The new credit policy called Guidelines for Accessing Real Sector Support Facility (RSSF) through CRR and Corporate Bonds was released by the CBN today.
 
And it marks a big departure from the excruciating interest rate regime of 25-30 per cent that has been blamed for stifling enterprises in the country.
 
The CBN acting Director, Corporate Communications in a statement on Thursday in Abuja said the new directive aimed to increase the flow of credit to the real sector; agriculture and manufacturing.
 
He said that Deposit Money Banks (DMBs) would henceforth be incentivised to direct affordable, long-term bank credit to the manufacturing, agriculture, as well as other sectors considered by the Bank as employment and growth stimulating.
 
He said also that Corporate, Triple-A rated companies would be encouraged to issue long-term Corporate Bonds (CBs).
 
He said that a CBs Funding Programme had already been put in place to enable the CBN and the general public invest in the CBs.
 
Furthermore, Okorafor said the Bank had put in place another programme under the Differentiated Cash Reserves Requirement (DCRR) Regime.
 
He said under the programme, banks interested in providing Credit Financing to new and expansion projects in the real sector could request for the release of funds from their Cash Reserve Ratio (CRR) to finance the projects.
 
Making further clarifications, Okorafor said that the tenor for the Differentiated CRR would be a minimum of seven years with a two-year moratorium.
 
For the Corporate Bonds programme, he said the tenor and the moratorium would be specified in the prospectus by the issuing corporate.
 
He said also that the maximum facility would be N10 billion per project and facilities were to be administered at an Interest rate of 9 per cent per annum.
 
Okorafor therefore advocated for a total compliance with the guidelines by stakeholders.
 
He also reiterated CBN’s determination towards the encouragement of projects that would further enhance Nigeria’s import substitution strategies.
 
The guidelines followed the recommendation of the CBN Monetary Policy Committee (MPC). At its 119th meeting held between 23 and 24 July, the MPC emphasised the need to increase the flow of credit to the real sector of the economy, to consolidate economic recovery.
 
 
Source: NAN

The National Bureau of Statistics (NBS) says a total of 509,668,433 transactions valued at N32.90 trillion was recorded in Nigeria’s banking sector during the second quarter.

The NBS stated this in its “Selected Banking Sector Data: Sectorial Breakdown of Credit, ePayment Channels and Staff Strength (Q2 2018)’’report released in Abuja.

 

According to the report, Automated Teller Machine (ATM) transactions dominated the volume of transactions recorded.

It said 217,417,961 volume of ATM transactions valued at N1.603 billion was recorded in the period under reveal.

“In terms of credit to private sector, the total value of credit allocated by the banks stood at N15.34 trillion as at the second quarter.

“Oil and Gas and Manufacturing sectors got credit allocation of N3.45 trillion and N2.02 trillion respectively to record the highest credit allocation as at the period under review.

“As at the second quarter, the total number of banks staff increased by 13.67per cent, from 89,608 in first quarter to 101,861,”  the report stated.

 

Source: The Ripples

The Central Bank of Nigeria (CBN), says the aggregate foreign exchange inflow into the country stood at $91 billion in 2017.

The bank disclosed in its 2017 annual report adding that the figure was an increase of 45 per cent from $62.75 billion in 2016.

The bank also said the figure surpassed the total outflow by $57.32 billion in the period.

According to the bank, inflow through the CBN was $42.17 billion, while inflow through autonomous sources amounted to $48.33 billion.

In percentage terms, inflow through the CBN accounted for 46.3 per cent, while autonomous sources took 53.7 per cent.

Also, aggregate foreign exchange outflow, from the economy, increased by 31.8 per cent to U$33.68 billion, higher than the $25.55 billion in 2016.

The report said the outflow through the CBN accounted for 90.7 per cent, about $30.55 billion. It was $23.16 billion in 2016.

Outflow via autonomous sources was calculated at $3.13 billion

The increase was attribute to the increased intervention by the CBN in the inter-bank and Bureau De Change (BDC) segments of the foreign exchange market.

NAN

The Naira gained 40k against the dollar at the end of Friday trading, exchanging at N359.6 stronger than N360 traded on Thursday.
 
The Pound Sterling and the Euro closed at N469 and N413 respectively.
 
At the Bureau De Change (BDC) window, the Naira exchanged at N360 to the dollar, while the Pound Sterling and the Euro closed at N469 and N413 respectively.
 
Trading at the investors’ window showed that the naira gained 30k to close at N362.50 from N362.53 traded on Wednesday, posting a turnover of 606.21 million dollars, while the Naira was sold at N306.10 at the Central Bank of Nigeria (CBN) official rate.
 
NAN reports that the Naira had remained stable at the foreign exchange market, due largely to the series of interventions by the apex bank.
 

The Central Bank of Nigeria (CBN) has granted N14.9 billion loan to the North East Commodity Association (NECAS), on the platform of its Anchor Borrowers’ Programme (ABP). Alhaji Sadiq Deware, National President, NECAS, disclosed this on Monday in Abuja, that the loan is for a period of one year at a single digit of 9 per cent. He said under the programme 27,000 farmers would benefit while 75,000 hectares of land would be cultivated in the four participating states.

“The beneficiaries were farmers were mainly affected by the insurgency in Taraba, Bauchi, Gombe, Adamawa and Yobe states. Deware explained that Borno state was not included as a result of the insecurity in the state. He explained that out of the 27,000 farmers 10,000 out of them were from Gombe State, and attributed the development to their dedication and commitment in terms of farming activities. “For example 11,525 farmers are cultivating 38,678 hectares of land for maize, sorghum, soya beans , rice and cotton, while the nearest to it Yobe state is cultivating 14,666 hectares of land by 5,676 farmers. He said the programme would cover all the commodities that the North east have comparative advantage of producing which includes, rice, maize, millet, sorghum and even small ruminants amongst others. Deware said that inputs would be given to farmers on loan basis and they were expected to pay back in three phases.

“Starting with first payment of 40 per cent after the first farming cycle, then they would pay the remaining two cycles of 30 per cent making a total of 100 per cent. “Before now, the size of each farm had been captured and an identity card was issued to each of the beneficiaries of the project for easy identification and documentation to enable them to access the required support,’’ he said. Daware said that the project was a modified version of the ABP, which was aimed at strengthening efforts to attain bumper harvests and expressed the optimism that the new initiative would double the achievements of the ABP. He said that under the new initiative, the Central Bank of Nigeria (CBN) had modified the programme to facilitate its direct relations with NECAS so as to ensure timely disbursement and full repayment of ABP loans, unlike what obtained in the past. Deware disclosed that the association has re-absorbed some of the retired extension agents in the beneficiary states and re-trained them on modern technologies in enhancing their job performance.

“NECAS under the programme has commenced the recruitment of retired but willing to work extension workers in order to boost support for farmers and ensure proper sensitisation on new farming methods as well as advise on any problem faced by farmers. He said that more than 128 extension agents were recruited for the programme in Adamawa state as it was in other states. Dware said that for the successful implementation of the exercise the extension workers have been taught the working systems of modern technologies in service delivery and they are optimistic that the training would be beneficial to the farmers. According to him, the efforts are geared toward encouraging increased agricultural production in line with the drive to diversify the economy. He said this has become imperative because the role of agricultural extension agents in the development of agriculture throughout the world is very essential. “It has remained one of the prime movers in the development of agriculture and invariably in the rural development.

“There specific objectives as agricultural extension officers were to provide advice to farmers on problems or opportunities in agricultural production, facilitate development of local skills and transfer new technologies to farmers and rural people,’’ he said. Deware said they have also developed a suitable extension service that is gender specific and tailored to women farmers. (NAN)

Some Nigerians have decried the widespread circulation of mutilated naira notes in the country and called on the Central Bank of Nigeria (CBN) to reverse the trend and ensure better management of the nation’s currencies.
In interviews with the News Agency of Nigeria (NAN) on Thursday in Lagos, they noted that several cases of misunderstandings had occurred among citizens while carrying out business transactions with the tattered and dirty notes.
 
They also decried the use of the polymer banknotes, which are easily defaced, and suggested a return to the paper currency for all denominations.
 
NAN reports that the CBN on Feb. 28, 2007 announced the introduction of polymer versions of N5, N10, N20 and N50 notes.
 
However, 11 years after, many Nigerians now reject the polymer notes citing its poor quality and short life span that make it difficult to carry out transactions with them.
 
Mr Tunde Okeowo, a financial expert, said the CBN should consider bringing back the coins, and that its absence had resulted in the negative impact on transactions, which had a multiplier effect on the economy.
 
Okeowo identified inflation as part of the negative effects of the absence of coins, especially as people were no longer bothered about collecting balance after paying for products.
 
“On this recurring issue of scarcity of clean notes, especially N100, I advise the CBN to look into issuing some new naira notes in densely populated states like Lagos in order to make it more acceptable for use.
 
He also called for continuous enlightenment to educate traders on reasons and ways of preserving the notes.
 
Mrs Tolu Ajibade, a civil servant, said the prevalence of dirty and mutilated naira notes was appalling, and that the N200 note was gradually becoming unfit like the N100 notes.
 
She said many Nigerians have resigned themselves to the reality of possessing and transacting business with dirty naira notes.
 
“I tell you, they are appalling. As a nursing mother, I am always scared of touching those notes because it is very glaring that those naira notes, particularly the N100 are contaminated,” said Ajibade.
 
She said while the CBN had been sensitising Nigerians on the handling of the naira notes, there should be effective enforcement of relevant laws to curtail mishandling of the naira.
 
A bus driver, who preferred anonymity, said the rejection of the defaced polymer notes and the dirty N100 notes by passengers greatly affected his business.
 
According to him, a day hardly passes by without verbal exchange which sometimes degenerated into fights because of dirty naira notes and faded polymer notes.
 
“I think I prefer the paper naira notes to the polymer ones because it does not fade easily like the polymer. The only disadvantage of the paper note is that it gets torn easily,” he said.
 
Besides, Dr Foluwakemi Ekiogiawe, a medical practitioner, raised concerns over the implications of regular contact with mutilated notes.
 
Ekiogiawe said apart from the economic implications of poor currency handling, it could lead to a myriad of adverse medical problems.
 
She explained that regular contact could result in the transfer of germs from one person to another, and that it could result to gastrointestinal infections, which often leads to frequent purging, vomiting, abdominal pain, fever among others.
 
“This is seen mostly in children who put things indiscriminately into their mouths. They could serve as allergies to people with immune hypersensitivity like asthma triggering an immunologic attack.
 
“This happens when the individual comes in contact with the allergen in the form of or attached to the notes. These attacks could range from mild to fatal,” she said.
 
NAN also reports that the CBN in February began the disbursement of smaller naira notes to traders in order to improve circulation of N5, N10, N20, and N50 in the markets.
 
The campaign was targeted at the informal sector, especially traders in markets with the aim of increasing the circulation of the smaller units of the naira to make doing business easier.
 
The bank had already taken the new measure to Kano, Kaduna and Abuja and also intended to bring it to the south.
 
Reacting to the development, Mr Isaac Okorafor, Acting Director, Corporate Communications Department, CBN said the bank had so far disbursed N1.09 billion of various lower denomination banknotes in some states since it embarked on the new measure.
 
Okorafor said the disbursement of the funds was to over 20 different merchants, supermarkets, toll gates, eateries and other cash users.
 
He said efforts were being made to also penetrate the various markets in Lagos.
 
Okorafor said, “in this regard, we are currently engaging the market associations through their central leadership.
 
“Disbursement will commence in the markets the moment we conclude the logistics with the market leadership.”
 
He said beneficiaries of the new banknotes would include abattoirs, pharmacy, merchant’s tollgates, eateries, tollgates and car parks at the International Airport.
 
According to him, the lifespan of the paper banknotes is about 12 to 18 months while the polymer banknotes last for 24 to 36 months in circulation depending on handling.
 
 
Sterling Bank Plc, has reported a 63.4 per cent surge in net profit for the first half (H1) ended June 30, 2018.
 
The lender reported a Profit After Tax (PAT) of N6.2 billion and gross earnings of N77.6billion against PAT of N3.8billion on gross earnings of N57.1 billion during the corresponding period of 2017.
 
The Chief Executive Officer of the bank, Abubakar Suleiman, said: “We sustained our momentum in the second quarter, delivering solid growth across key financial indices.
 
We also achieved a 35.9 per cent growth in gross earnings to N77.6billion from N57.1billion in the second quarter of 2017.
 
“This was largely driven by a 25.1 per cent growth in interest income and a 56.5 per cent growth in transaction banking revenues, emphasizing our commitment to our retail drive.”
 
Suleiman disclosed that net operating income was up 29.1 per cent, on the back of a 54.8 percent reduction in impairment charges.
 
“Sterling Bank experienced significant improvement in asset quality as cost of risk declined further by 86 basis points to 0.8 per cent from 1.6 per cent in June 2017, reflecting the strength of our risk management framework.
 
Overall, Profit after Tax rose by 64.8 per cent to N6.2billion resulting in a 370-basis point increase in Return on Average Equity to 12.2 per cent.”
 
During H1 2018, the bank launched disruptive market offerings that included Farepay, Specta, and Sterling One Pay.
 
The most recent innovation, One Pay, is an upgrade of its mobile and internet banking solution in line with its digitisation drive, and promise to continuously innovate to meet customers’ evolving needs.
 
One Pay is designed to create an omni-channel experience for users by integrating both web-based Internet and mobile banking solutions.
 
In addition, the bank’s commitment to partnerships also resulted in the deployment of I-invest, a first-of-its-kind investment app that allows retail customers instant access to treasury bills.
 
I-invest eliminates entry barriers such as lack of education and information to make smart investment decisions and the ability to get a broker and/or time required to visit banks to fill forms for treasury bills.
 
On the prospect of the bank for the second half of the year, Suleiman said Sterling Bank would continue to explore and exploit opportunities already identified across the growth sectors of the economy while actively supporting special intervention and social investment programmes.
 
 
 
Source: The Guardian

The Naira on Thursday gained marginally against the dollar at the parallel market in Lagos, the News Agency of Nigeria (NAN) reports.

The Nigerian currency gained 50 kobo to close at N358, stronger than N358.5 traded on Thursday, while the Pound Sterling and the Euro closed at N480 and N418.5 respectively.

At the Bureau De Change (BDC) window, the naira closed at N360 to the dollar, while the Pound Sterling and the Euro closed at N480 and N418.5 respectively.

The naira, however, appreciated at the investors’ window, closing at N361.45, stronger than N361.68 traded on Thursday, while it was sold at N305.90 at the Central Bank of Nigeria official window.

Meanwhile, Mr Godwin Emefiele, CBN Governor, said that Nigeria performed very well among emerging markets in Africa.

Emefiele in an interaction with newsmen at the end of the Monetary Policy Committee (MPC) meeting in Abuja, added that the foreign exchange market had remained stable.

According to him, the apex bank had enough buffers to defend the naira.

 

Source: NAN

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