Economic and Business News

For the Week ending, Friday, 12th January, 2018


Made-in-Aba campaign gets international recognition

The Made-in-Aba campaign created by the TBWA Africa\Middle East Network has bagged the Grand prix award at the annual leadership conference dubbed "Africannes" in South Africa.

According to a statement from the agency, the Grand Prix is an award given when a campaign is seen to meet the highest standards in creativity, execution and impact.

"This is only the second Grand Prix awarded in the last five years," it stated.

The Global Creative Chairman, TBWA\Worldwide, John Hunt, was quoted as saying that it was important to ensure that communication campaigns were not treated with a knee-jerk/start-and-stop approach but with a clear intention to create impact and affect the lives of people.

The Punch. Friday, 5th January, 2018


Kwara govt. to engage 10,000 youth farmers in 2018

The Kwara State Government, on Sunday, said it has commenced plans to engage 10,000 youth farmers under the Central Bank of Nigeria (CBN) newly-introduced Accelerated Agricultural Development Scheme. (AADS).

Commissioner for Agriculture and Natural Resources, Mr. Adegoke Bamidele, who gave the assurance in Ilorin , the state capital capital, while answering questions from journalists during an interview on Sunday noted that the scheme is part of the Federal Government’s expanded Anchor Borrowers Programme. (ABP)

The Sun. Sunday, 7th January, 2018


New Minimum Wage'll be binding on states - Ngige

DESPITE the apprehension by many state governments over the new minimum wage, the Minister of Labour and Employment, Dr. Chris Ngige has said that the new minimum wage, which is already in the works, would be binding on all the states of the federation and the federal capital territory when it is eventually approved.

Some states have been demanding that they be allowed to negotiate with their workers on the minimum wage to enable them come up with what could afford to pay.

Vanguard. Sunday, 7th January, 2018


Terminal operator explains cause of Apapa gridlock

She said the current reduction in traffic was not due to any deliberate government action, but as a result of a drop in importation.

"Now that the 2017 importation peak season is over, the number of trucks coming to the port had reduced, which has provided a temporary relief to road users."

In a statement, she urged the Federal and Lagos State governments to use the period of a drop in importation activities to fix the road.

The Guardian. Monday, 8th January, 2018


Akwa Ibom govt is pursuing a private sector driven industrialisation agenda - Udoh

ommissioner of Information, Akwa Ibom State, Mr Charles Udoh, in this interview with Financial Vanguard disclosed the state government's drive to industrialise the state and efforts to build infrastructure to attract foreign investors in different sectors of the economy. He disclosed that opportunity exists to build gas fired thermal power, other factories, among other viable projects in the state.

Vanguard. Monday, 8th January, 2018


NDE trains 2,000 on skills acquisition in Edo

NDE State Coordinator, Ayo Edegbai disclosed this to newsmen during its orientation/induction course for the 74,400 jobs creation programme (B-NOAS) in Edo.

He said the training was designed to consolidate NDE's effort to sustain employment generation interventions and poverty reduction endeavours and demand driven skills.

She noted that skills acquisition was a major instrument for empowering citizens to access decent and productive employment.

The Guardian. Monday, 8th January, 2018


Uncertainty as CBN rattles interbank with N422bn liquidity mop up

THE direction of interest rate and liquidity level in the interbank money market this week is clouded in uncertainty following the N422 billion liquidity mop up by the Central Bank of Nigeria (CBN) in the first trading of the year.

While the liquidity mop-up enhanced the attractiveness of money market instruments to investors, as it prompted interbank cost of funds to rise by 1,300 basis points (bpts), it however left analysts wondering if the apex bank would maintain the aggressive liquidity mop-up program which occasioned interest rate volatility in the market for most part of 2017.

Vanguard. Monday, 8th January, 2018


National Bureau of Statistics to release 179 reports on economy

The National Bureau of Statistics (NBS) is to release no fewer than 179 reports on different sectors of the economy this year.

According to the 2018 tentative data release calendar posted on the bureau's Website, the NBS is expected to release 40 data in the first quarter.

According to the calendar analysed by the News Agency of Nigeria (NAN), the bureau will release data on consumer price index and inflation, price watch on diesel, petrol and kerosene.

Other items on the calendar are telecommunications data, monthly Federal Account Allocation Committee disbursements, gross domestic products and foreign trade merchandise.

Vanguard. Monday, 8th January, 2018


Gelegele Seaport development to begin as Obaseki signs MoU with China Harbour

The Governor of Edo State, Mr Godwin Obaseki, has signed a Memorandum of Understanding (MoU) with China Harbour Engineering Company Limited (CHEC), for the development of the Gelegele Seaport and other transport infrastructure in the state.

The landmark event which held in China today, will see China Harbour Engineering Company, the biggest infrastructure company in China, with a robust portfolio covering the broad infrastructure spectrum, lead the development of the seaport that will serve as the gateway for exporting manufactured goods from the Benin Industrial Park under construction and other manufacturing companies in the region.

Vanguard. Tuesday, 9th January, 2018


CBN to sanction banks, others for violation of payment system rules

The Central Bank of Nigeria (CBN) yesterday threatened to impose N10, 000 daily fine on banks and other electronic payment service providers that fail to renew its operating licence within the regulatory deadline.

Director, Banking and Payment System Department (BPSD), CBN, Mr. Dipo Fatokun gave this warning in a circular titled, "Re: Sanctions on erring banks/e-payment service providers for infractions of payment system rules and regulations".

Vanguard. Tuesday, 9th January, 2018


Nigeria's external reserves hit $40.4bn

As projected by the Governor, Central Bank of Nigeria (CBN), Mr. Godwin Emefiele at the Annual Bankers' Dinner of the Chartered Institute of Bankers (CIBN) in Lagos last November, the nation's External Reserves have hit a new level of $40.4 Billion.

This is even as the Bank injected a total of $210 million into the interbank Foreign Exchange Market in the first round of trading for the year on Monday, January 8, 2018.

Figures obtained from the CBN on Monday, January 8, 2018 indicate that the External Reserves reached the $40.4 Billion mark on Friday, January 5, 2018, indicating an increase of about one billion United States dollars between December 2017 and January 2018.

Vanguard. Tuesday, 9th January, 2018


Nigeria spends 34% of revenue on debt servicing - DMO

In a clarification on the country's debt status entitled: 'Nigeria's Public Debt - Some Recurring Issues', the DMO contradicted reports that the country was spending as much as 60 to 70 per cent of its revenues on debt servicing.

According to the agency, as of June 2017, Nigeria's spending on debt servicing stood at 34.02 per cent of revenue, up from 33.94 per cent recorded as of December 31, 2016.

The DMO said, "While the debt service to revenue ratio was 33.94 per cent as of December 31, 2016 and 34.02 per cent by June 30, 2017, the government is conscious of the need to bring this ratio to a much lower level in order to make financial resources available for priority projects.

The Punch. Wednesday, 10th January, 2018


Average T-bills yield settles at 14.64%

The yields on the one-month, six-month, nine-month and 12-month instruments advanced by 0.13 per cent, 0.96 per cent, 0.07 per cent, 0.06 per cent and 0.0 per cent,% respectively. Consequently, the average T-bills yield advanced by 0.25 per cent, to close at 14.64 per cent.

The average bond yield declined, albeit marginally, by 0.001 per cent, to close at 13.60 per cent, as the yield on five instruments advanced, six traded flat, while five instruments recorded yield declines.

At the close of trades, the open buy-back and overnight rates declined by 1.67 per cent and 1.71 per cent, respectively. As a result, the average money market rate declined further by 1.69 per cent, to close at 16.77 per cent, according to Meristem data.

The Punch. Wednesday, 10th January, 2018


Kwara approves N100m SME funds for market groups

THE Kwara State gover-nor, Abdulfatah Ahmed, has approved the release of N100 million Small and Medium Enterprises (SME) funding to market associations in the state.

He said disbursement would be made to beneficiaries of the Fund on the basis of association.

Ahmed stated this at a meeting with Artisans, and members of National Union of Road Transport Workers (NURTW), Road Transport Employers Association of Nigeria (RTEAN) and Market Association in Ilorin.

He said: "The SME funding we promised the market association is ready for collection and also other support required by the different associations in form of buses, secretariat and other minor supports, would be attended to."

Vanguard. Thursday, 11th January, 2018


Nigeria, Switzerland sign legal pact to end dumping

The Chief Negotiator, and Director General, Nigerian Office for Trade Negotiations (NOTN), Ambassador Chiedu Osakwe, signed for the Nigerian Government, Daniel Crosby, did for King and Spalding.

Under the terms, King and Spalding is expected to support the drafting of Nigeria's trade remedy law as well as prepare a legal brief on the rationale and requirements for the legislation, which will effectively stop dumping on the Nigerian market.

A statement signed in Abuja, from the Ministry of industry, Trade and Investment, said the company's services are on a pro bono basis, which is supposed to be for public good and non-profit.

The Guardian. Thursday, 11th January, 2018


Naira appreciates to N360.43/$ in I&E as external reserves gain $664m

The naira Thursday appreciated to N360.43 per dollar in the Investors and Exporters (I&E) window, even as the nation's external reserves recorded $664 million increase in the first ten days of the year.

Vanguard analysis of external reserves data on Central Bank of Nigeria (CBN) website showed that the external reserve rose to $39.429 billion on Wednesday January 10th from $38.765 billion on December 29th last year.

Vanguard. Friday, 12th January, 2018

Other Economic and Business Indicators

GDP 1.40%
(Q3, 2017)
Inflation Rate
(Year-on-Year change)
(November, 2017)
Unemployment Rate 18.8%
(Q3, 2017)
Underemployment Rate 21.2%
(Q3, 2017)
Monetary Policy Rate 14%
(November, 2017)
Inter-Bank Call Rate 22.63%
(August, 2017)
Prime Lending Rate 17.65%
(July, 2017)
Maximum Lending Rate 30.94%
(July, 2017)
External Reserve USD 39,476,089,012
(11 January, 2018)
Exchange Rate (CBN)
12 January, 2018
USD: 305.8
POUNDS: 417.02
EUROS: 370.96
Exchange Rate (Parallel Market)
12 January, 2018
USD: 363.00
POUNDS: 485.00
EUROS: 431.00
Liquidity Ratio 30%
Treasury Bill Rate (91 Days) 12.54%
(3, January 2018)
Demand Deposits at Banks
(NGN million)
(July, 2017)
Credit to Government (Net)
(NGN million)
(July, 2017)
Credit to Private Sector
(NGN million)
(July, 2017)
Currency in Circulation
(Million Naira)
(July, 2017)
Bank Reserves
(Million Naira)
(July, 2017)
External Debt: FGN + States
(USD million)
(as at September 30, 2017)
Local Debt: FGN only
(NGN million)
(as at September 30, 2017)
Nigeria's Merchandise Trade N5,697.5 billion (Quarter 2, 2017)
Crude Oil $67.17 (OPEC Daily Basket, 12 January, 2018)

Source: CBN, NBS and DMO
Compiled by: Research Department, NACCIMA
15 January, 2018