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Headlines

Investors Lose N19.49bn as NGXASI Dips by -0.09% to Open The Week Negative

Equities market closed on a negative note, as NGXASI depreciated by -0.09% to close at 43,270.94 basis points as against  +0.46% appreciation recorded previously. Its Year-to-Date (YTD) returns currently stands at +7.45%. 

Market breadth closed negative as AIICO led 12 Gainers as against 20 Losers topped by UPDCREIT at the end of today’s session – an unimproved performance when compared with previous outlook.  

Market turnover closes negative as volume moved down  by -30.20% as against +14.73% uptick recorded in the previous session. FCMB, AIICO, and ZENITHBANK were the most active to boost market turnover.  AIRTELAFRI and GUARANTY topped market value list.

BETAGLAS leads the list of active stocks that recorded impressive volume spike at the end of today’s session.

Slow take-off of livestock plan worsens woes of farmers, herders

Msughve Tsavsaa, a 35-year-old father of six, lost his home, his farmland and his leg after his community was attacked during the farmer/herder clash in 2018 in Benue state. Since then, living has been traumatic and difficult for him.

Peace-building law afoot as Benue moves to secure economy

Benue State government, under the leadership of governor Samuel Ortom, has set plans in motion to enact a law targeted at fostering peace between farmers and herders in the state in order to secure the state’s economy and development gains.

 

Nigeria’s free trade zones crawling 29 years after

Nigeria has not derived any significant benefit from Free Trade Zones (FTZs) 29 years after the country adopted the model from China to drive industrialisation, diversify the economy and increase foreign direct investment (FDI)

MAN expresses concern as AfCFTA benefits elude Nigeria

The Manufacturers Association of Nigeria has expressed concerns over constraints by its members to fully enjoy benefits that the African Continental Free Trade Area (AfCFTA) should provide, due to high production costs that are unlikely to abate soon

Seplat Energy announces plan to acquire Exxon’s shallow water assets

Seplat Energy, Nigeria’s largest listed oil and gas firm by market value, has announced that it is in competitive discussion to acquire ExxonMobil’s shallow-water oil assets in Africa’s biggest economyAccording to a statement from the company sent to Nigeria’s Stock Exchange (NSE)

FG Raises Power Tariff, Begins Free Meters Purchase 

The FGN is expecting to revise electricity tariffs upwards by December as it steps up its mass metering initiative. The objective is to bring the market closer towards cost-reflective tariffs which is crucial to the industry’s sustainability and attracting investment flows.  

Oil Prices Crash as COVID Does What Biden Couldn’t – OIR 261121 

Oil prices experienced one of their worst trading days in recent memory on Friday, plunging across the board by over 10% on fears that a new COVID-19 variant discovered in Southern Africa might dampen economic growth and trigger another demand slump.  

Q4 2021 GDP Outlook: Will Positive Momentum be Maintained?

 It has been four consecutive quarters of positive growth since the economy last contracted in Q3’20 (-3.62%) in the wake of the adverse impact of the COVID pandemic. In line with expectations, the economy expanded in Q3’21 – by 4.03%, even though it slowed marginally by 0.98% from 5.01% in Q2’21. 

Fuel Subsidies – Gone at Long Last?

 The federal government, has set for itself a deadline of June 2022 to phase out fuel subsidies. It is even likely to be done earlier in the year as the government appears keen to double down on reforms ahead of the elections in 2023.   

Nigeria’s Exchange Rate Strategy Discourages Investors, Increases Inflation – W’Bank

 The bank disclosed this in the November edition of its Nigeria Development Update. While highlighting the role of the Central Bank of Nigeria in exchange rate stability, the World Bank said there had been intense pressure on the naira, with the CBN constantly raising the nominal official exchange rate.  

Busting the Wheat Import Mind Games

 Wheat in Nigeria has become weaponized. Nigeria produces one percent (63,000 metric tonnes) of the 5 to 6m MT of the product, a staple for Nigerians breakfast table. The shortfall has put strains on the country’s foreign reserves as Nigeria parts with US$2bn annually in the importation of pastry input.

NGX Group Q3 2021 Unaudited Results; Modest Profit Growth, Dampened Investor Enthusiasm 

The freshly demutualized Nigerian  Exchange Group Plc (NGX) released its Q3 results for 2021 with a slight glimmer of future solid earnings as post-tax profits rose from N1.37bn in Q3 2020 to N1.51bn in Q3 2021, a rise of +10.55%. Analysts note that the surge was not earth stumping, but it gave a sense of the underlying earnings potential of the group. 

NASD OTC NSI Decreased by -0.10% WoW to Close at 744.90 Basis Points 

NASD OTC Securities Exchange Index closed the week on a Negative return on NSI. The NSI return decreased by 0.10% to close the week at 744.9 points against 745.65 on Friday November 22, 2021.   

The Growth Board of the Nigerian Exchange: A Potential Exit Strategy for Nigerian Startups

One of the recent developments that took place in the capital market and has been of particular interest to Small and Medium Enterprises (SME’s) and startups is the introduction of the Growth Board of the Nigerian Exchange (“NGX”).

Inflation is a Greater Policy Test for Emerging-Market Sovereigns 

 Higher inflation is generally credit negative for sovereigns, but presents particular risks for emerging markets (EMs), as they often face higher and more volatile inflation than developed markets (DMs), and are exposed to greater currency instability, says Fitch Ratings.

Take Advantage Of Capital Market Master Plan, Finance Minister Charges Investors 

Capital market investors have been urged to take advantage of initiatives introduced in the capital market master plan to deepen knowledge in market fundamentals. 

FG Sets March 2022 Target For Ajaokuta Audit 

Barring any unforeseen development, the planned technical audit of Ajaokuta Steel Company would be completed in the first quarter of 2022. The Minister of Mines and Steel Development, Arch. Olamilekan Adegbite, disclosed this during a webinar organised by the Lagos Business School (LBS).  

Zenith Bank, Polaris Bank, Others Publish 1,042 FX Defaulters in 3 Months 

In compliance with the Central Bank of Nigeria (CBN) foreign exchange policy, Zenith Bank Plc, Sterling Bank Plc, and eight other banks have published a total of 1,042 foreign exchange defaulters in the last three months when it enforced.  

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First Ideas Limited is an investment and financial advisory company established in 1994 to provide advisory services to high net worth individuals, trust funds, financial institutions and medium sized companies in growth sectors.

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