Foreign and domestic investment inflows into the Nigerian stock market slumped by 83 percent two months after the Central Bank of Nigeria (CBN) raised its key interest rate for the first time in six years.
The Nigerian government is weighing declaring a state of emergency in the oil and gas sector following a series of attacks on oil and gas assets in the Niger Delta, the country’s regulator has said. “The imperative is on Nigeria to declare some sort of emergency in its..
Nigeria’s Gross Domestic Product (GDP) grew by 3.54 percent on a year-on-year basis in the second quarter of 2022, compared to a 3.11 percent growth rate in the first quarter. The non-oil sector sustained its momentum as it contributed 93.67 percent to the country’s GDP in Q2 2022, up from 93.37 percent in Q1…
The Federal Government’s decision to engage a former militant in a multimillion naira pipeline security contract is fueling new agitations by other groups who want their own share of the deal. A group calling themselves the ‘Creek Men’ appeared on a local television station demanding inclusion in the Federal Gover…
Dapo Abiodun, the governor of Ogun State has appealed to the striking Academic Staff Union of Universities (ASUU) and the Federal Government to find ways of resolving the impasse for the interest of students and the nation as a whole. Abiodun, made the appeal on Thursday, August 25, at the inauguration of the…
Nigeria’s equities market sentiments tilted slightly in favour of the bulls as heavy-weight counters drove performance indices higher in the week ended Friday August 26. Expectedly, the market closed the week in the green zone, rising by 0.63 percent or about N167billion. This came on the heels of three days of gains…
Imagine Nigeria – Exploring the Future of Nigeria
– To achieve its potential Nigeria must make big decisions now and follow them through with wisdom and courage. The three main policy interventions required to push Nigeria towards a brighter future can be summarised in three words: innovation, green and regional. Source High Level Panel of Imagine Nigeria Read More
Oil Prices Edge Up on Signs of Improving Demand
– Oil prices rose as much as $1 on Friday on signs of improving fuel demand, although further gains were capped as the market awaited clues from the U.S. Federal Reserve chairman on the outlook for rate hikes in a speech later in the day. Source Reuters Read More
DisCos’ debt to GenCos hits N2tn – Group
– Power generation companies have blamed low power generation for the inability of the utility firms, also known as the DisCos, to pay up the N2trn debt owed them. Source Punch Read More
Dangote Cement’s H1 2022 Result: Tough Times for Earnings, but Gross Revenue Grows 17%
– A challenging operating environment and currency devaluation weighed slightly against Dangote Cement’s financial performance in H1 2022. The H1 2022 result showed a -5.82% decline in PBT as production costs rose due to energy supply shocks. Source Ademidun Shogo Read More
Forex, Power, Taxes Hurting Manufacturing Sector – MAN
– The Manufacturers Association of Nigeria has identified the shortage of foreign exchange, poor electricity supply, high lending interest rates, multiple taxes and levies as some of the challenges confronting the sector. Source Punch Read More
UBA Partners MFS Africa on Seamless Digital Payments and Remittances
– Africa’s Global Bank, the United Bank for Africa (UBA) Plc and MFS Africa, Africa’s largest digital payments hub, have announced a partnership that will see both institutions offer innovative and timely solutions to a wide range of customers, especially in the area of Remittances, Electronic Money Services, SME Payments, as well as integration to businesses for cross border payments. Source UBA Read More
ExxonMobil, Shell, Chevron to Withdraw $3bn Suits Against NNPC
– Shell Plc, ExxonMobil Corporation, Chevron Corporation, and Equinor ASA have said they will withdraw their lawsuits of about $3 billion, against the Nigerian National Petroleum Company (NNPC) Limited. Source LeadershipNG Read More
FG Defends Foreign Borrowings with Infrastructure Projects
– The Minister of Works and Housing, Babatunde Fashola, said yesterday that the Federal Government under President Muhammadu Buhari has justified foreign borrowings with construction of infrastructure projects across the country, compared to previous administrations. Source Vanguard Read More
CBN Unveils USSD Code for eNaira Transactions
– The apex bank had announced plans to introduce a USSD code to improve the adoption of the eNaira. The new code — *997# — was introduced to engender financial inclusion and avail Nigerians opportunities to endless possibilities through financial services. Source TheCable Read More
Cyber-attacks: Crypto Platforms Lose $44bn
– A global leader in cyber protection, Acronis, has disclosed that about $44bn has been lost to cyber-attacks on cryptocurrency, particularly decentralised finance, between June 2021 and June 2022. Source Punch Read More
Danbatta Urges Nigerians to Protect Telecoms Infrastructure
– The Executive Vice-Chairman (EVC)of the Nigerian Communications Commission, Prof. Umar Danbatta, says Nigerians have a duty to protect telecommunications infrastructure in the country. Source The SUN Read More
PenCom to Provide Incentives for Micro Pension Contributors
– The National Pension Commission said it is strategizing to provide incentives to contributors under the micro pension plan to encourage more enrolments. Source Daily Trust Read More
Eterna Plc Declares N1.25bn PAT in Q2’22 Unaudited Results, (SP: N6.05K)
Eterna Plc released its Q2 2022 Unaudited results for the period ended June 30th, 2022.
- Revenue grew by 50.6% from N37.99bn to N57.22bn.
- Profit before tax stood at N1.58bn
- Profit after tax stood at N1.25bn
- Share Price Currently Stands at N6.05k
MTN Nigeria Commence Pilot Roll Out of 5G Network
Recently, MTN Nigeria kicked off an open 5G pilot in the build-up to its highly anticipated commercial launch. The operator, which intends to launch 5G services in the Nigerian cities of Lagos, Port Harcourt, Abuja, Ibadan, Owerri, Kano and Maiduguri, is testing the next-generation network infrastructure.
According to the telecom operator, customers with specific enabled devices will be allowed to connect with and try out the new service where coverage is available.
Adia Sowho, Chief Marketing Officer, MTN Nigeria, said, “The advanced technology promises to extend the reach and capacity of MTN Nigeria’s data network in Nigeria and enable much faster speeds and lower latency, giving customers near-instant access to the things they care about and downloads that take seconds instead of minutes.
“Every significant technological evolution redefines what is possible – changing how we live and connect. MTN Nigeria has been at the forefront of every leap in telecommunications: from GSM to 2G, 3G, and 4G. In addition, 5G has the potential to change the entire landscape,” she added.
Sowho also thanked “the unwavering support and leadership of the Honourable Minister of Communications and Digital Economy and the Nigerian Communications Commission in implementing the National Policy on 5G Networks for Nigeria’s Digital Economy, which has driven the implementation of 5G in the country.”
“We’re honoured to be a part of this revolution, and being the first to bring 5G to Nigeria, we are truly excited about all the possibilities for the nation,” she said.
According to a 2020 GSMA Intelligence report -“The Mobile Economy”, the spectrum issued to MTN Nigeria as one of the two winners of the 5G license bid holds a promising future for technology in Nigeria. It is projected to contribute US$2.2 trillion to the global economy by 2034.
Nigeria’s Real GDP Grows by 3.54% in Q2 2022 as Against 5.01% in Q2 2021
Overview of GDP in Quarter Two 2022
Nigeria’s Gross Domestic Product (GDP) grew by 3.54% (year-on-year) in real terms in the second quarter of 2022. This growth rate declined from 5.01% in the second quarter of 2021 when rapid growth was recorded following the toll the COVID-19 pandemic exacted on the economy in Q2 2020. In addition, the recent rising prices have adversely impacted on the second quarter 2022 performance. The Q2 2022 growth rate decreased by 1.47% points from 5.01% growth rate recorded in Q2 2021 and increased by 0.44% points relative to 3.11% in Q1 2022. However, quarter-on-quarter, real GDP grew at -0.37% in Q2 2022, reflecting lower economic activity in Q2 2022 than in the preceding quarter.
In the quarter under review, aggregate GDP stood at N45,004,520.89 million in nominal terms. This performance is higher when compared to the second quarter of 2021 which recorded aggregate GDP of N39,123,713.32 million, indicating a year-on-year nominal growth rate of 15.03%. The nominal GDP growth rate in Q2 2022 was higher relative to the 14.99% growth recorded in the second quarter of 2021 and higher compared to the 13.25% growth recorded in the preceding quarter. For better clarity, the Nigerian economy has been classified broadly into the oil and nonoil sectors
The Oil Sector
The nation in the second quarter of 2022 recorded an average daily oil production of 1.43 million barrels per day (mbpd), lower than the daily average production of 1.61mbpd recorded in the same quarter of 2021 by 0.18 mbpd and lower than the first quarter 2022 production volume of 1.49 mbpd by 0.06mbpd. (Figure2)
Real growth of the oil sector was –11.77% (year-on-year) in Q2 2022 indicating an increase of 0.89% points relative to the rate recorded in the corresponding quarter of 2021. Growth increased by 14.27% points when compared to Q1 2022 which was –26.04%. Quarter-on-Quarter, the oil sector recorded a growth rate of -4.97% in Q2 2022. The Oil sector contributed 6.33% to the total real GDP in Q2 2022, down from the figures recorded in the corresponding period of 2021 and the preceding quarter, where it contributed 7.42% and 6.63% respectively.
The Non-Oil Sector
The non-oil sector grew by 4.77% in real terms during the reference quarter (Q2 2022). This rate was lower by 1.97% points compared to the rate recorded same quarter of 2021 and 1.31% points lower than the first quarter of 2022. This sector was driven in the second quarter of 2022 mainly by Information and Communication (Telecommunication); Trade; Financial and Insurance (Financial Institutions); Transportation (Road Transport); Agriculture (Crop Production) and Manufacturing (Food, Beverage & Tobacco), accounting for positive GDP growth. In real terms, the non-oil sector contributed 93.67% to the nation’s GDP in the second quarter of 2022, higher than the share recorded in the second quarter of 2021 which was 92.58% and higher than the first quarter of 2022 recorded as 93.37%