The Minister of Finance, Mrs Kemi Adeosun, has expressed confidence that the Federal Government’s revenue and debt management strategy would mitigate the country’s debt service risk and fast-track development. Adeosun, in a statement by her Special Adviser on Media, Mr Oluyinka Akintunde, on Thursday welcomed the advice of the International Monetary Fund in regards to the country’s decision to take more foreign loans. She said that Nigeria’s further borrowings from foreign partners would help mobilise revenue, whilst reducing the nation’s debt burden by lengthening the maturity profile. She said that foreign borrowings would also increase foreign exchange reserves, reduce crowding-out of the private sector and create savings in debt service cost. The minister said that a key element of the Federal Government’s economic reform strategy was the mobilisation of revenue to improve the ratio of debt service to revenue. She said that this was being undertaken through a number of initiatives including the plugging...
 By OLUSHOLA BELLO, Lagos Based on its positive performance for the first nine months of the year, the Banking stocks listed on the Nigerian Stock Exchange (NSE) has recorded a market capitalisation growth of N6.305 trillion. From the data gotten from NSE, this shows a growth of 191.63 per cent from a market capitalisation of N2.162 trillion achieved in the beginning of the year 2017. Also, the 15 listed Banking stocks contributed 51.61 per cent to the whole NSE market capitalization of N12.217 trillion recorded at the end of trading on September 29, 2017. Under the period review, the banking sector of the NSE outperformed others, including the benchmark, NSE All-Share Index, rising by 60.46 per cent. An analysis of the individual stock showed that Stanbic and UBA are clear leaders, with 165.46 per cent and 123.60 per cent, respectively. Access Bank recorded a nine-month gain of 79.81 per cent, Fidelity Bank appreciated by...

Forex: Naira Loses Against Dollar

The naira on Thursday continued to fall against the dollar at the parallel market, the News Agency of Nigeria (NAN) reports. The Nigerian currency lost one point to exchange at N368, weaker than N367 posted on Wednesday, while the Pound Sterling and the Euro closed at N478 and N432. At the Bureau De Change (BDC) window, the naira was sold at N363 to the dollar, while the Pound Sterling and the Euro closed at N478 and N432. However, the naira appreciated at the investors’ window, exchanging at N361.17 stronger than N362.39. Traders at the market told NAN that in spite of the weekly auction of foreign exchange by the Central Bank of Nigeria (CBN) to BDC, the naira continued to depreciate. (NAN)
By Kayode Tokede, Lagos - A total of 10 commercial banks that include Zenith Bank Plc, Access Bank Plc, United Bank for Africa Plc (UBA) have reported N26.8 billion on current account maintenance fee in six months. Others are Guaranty Trust Bank Plc, First Bank of Nigeria Holdings Plc, Sterling Bank Plc, FCMB Group Plc, Diamond Bank Plc, Union Bank of Nigeria Plc and Unity Bank Plc. The 10 commercial banks in half year of 2016 generated about N26.5 billion for maintaining customers’ current account. The Central Bank of Nigeria (CBN) had indirectly reintroduced Commission on Turnover (CoT) fee as Current Account Maintenance (CAM) Fee in 2013. The apex bank in 2013 commenced reduction of CoT terminated with zero CoT charge by 2016. Of the N26.8 billion generated from customers’ current account maintenance, Tier-one banks contributed about N21.99 billion in six months under consideration, a decline of 2.1 per cent from N22.46 billion recorded in...
By Kayode Tokede, Lagos - The Ecobank Group has upgraded its Mobile App that will offer Xpress Cash service. The Xpress Cash service allows customers access cash from Ecobank Automated Teller Machine (ATMs) using e-Tokens generated from their Mobile App. The Xpress Cash e-Token gives the customer total control over theirs funds to make convenient withdrawal by self or send to 3rd parties via SMS, email or social media. Released to the iOS Store and Playstore in August 2017, the Ecobank Mobile App 3.1 incorporates several exciting and innovative features which enables non-Ecobank customers activate the Mobile app with their debit cards and conduct seamless transactions as well as make digital payments at merchant locations with Masterpass and mVisa on the App. Commenting on this new development, Ecobank Nigeria Executive Director, Consumer Banking, Mrs. Carol Oyedeji said “with these exciting and innovative features on the Ecobank Mobile app, customers will continue to enjoy...
By Bukola Idowu, Lagos - The oil and gas sector continued to account for the largest potions of the banking industry credit, clinching N3.35 trillion of the N15.71 trillion credit to private sector by banks in the country in the second quarter of the year. This is 22.46 per cent of the total banking industry credit to the private sector, a little higher than 22.34 per cent which it accounted for in the first three months of the year. Credit to the manufacturing sector was however much higher than as the sector accounted for 14.11 per cent of the credit to private sector by banks in the second quarter compared to 13.39 per cent share which it held in the first three months of the year. According to the National Bureau of Statistics, Nigerian banks credit to the manufacturing sector had risen to N2.22 trillion as at June 30, 2017. The NBS...
BY BAYO AMODU AND KAYODE TOKEDE Given severe macro economy challenges, United Bank for Africa Plc (UBA) for half year ended June 30, 2017 (H1) recorded impressive increase in gross earnings that impacted on its net interest income and probability. The prudent management of these financial parameters impacted on financial institution profitability in the period under review, reaffirming the pan-African bank as one of the most profitable and well managed financial institution in Africa. The lender joined other banks to release audited half year results to the Nigerian Stock Exchange (NSE) with impressive performance in key indices in following up to the first quarter results that was released early in the year. Growth in profitability further reflects the earnings capacity of the Group and its capability to progressively deliver superior returns to shareholders. The growth in profitability impacted positively on shareholders return as management paid interim dividend of N0.20 per share. With the tight liquidity...
By BUKOLA IDOWU, Lagos - The Central Bank of Nigeria (CBN) yesterday continued its intervention at the foreign exchange market injecting another $195 million into the inter-bank market to buy liquidity, even as the naira remained stable at the parallel market. In spite of the intervention the value of the naira at the official market was down to N306 from N305.95 which it closed last week while it closed at N360.20 at the Investors and Exporters window. Figures released by the CBN showed that it offered the total sum of $100million to the Wholesale segment, while the Small and Medium Enterprises (SMEs) segment received the sum of $50 million. The invisibles segment comprising tuition, medical payments and Basic Travel Allowance (BTA) received $45 million. CBN’s  acting director, Corporate Communications department, Mr. Isaac Okorafor, said the intervention is in line with the CBNs continual determination to ensure forex liquidity and satisfy legitimate demand. Okorafor assured...
Press Statement   The allegations raised are a direct result of sustained efforts by the Bank to recover its assets from an aggrieved ex Management staff over the last 18 months.  We are working with the relevant law enforcement agencies in this regard.   The Bank remains focused on its objective of asset recovery and is pursuing these claims lawfully, working with the law enforcement agencies to recover its assets and resolve all the issues. The Bank will continue to work with all regulatory bodies and will provide all necessary information that may be required.   Regardless of the news, allegations and information that may continue to circulate, we are confident that the truth will emerge. The Bank will continue to focus on its daily operational activities and will not be dragged into public exchange of words in a bid to distract it from its ongoing recovery process.   Over the years, ASO Savings &...
By Mbakaan Kwen, Abuja The Nigeria Deposit Insurance Corporation (NDIC) has been conferred with the special recognition and commendation award for excellence in banking service at the Business Day banking awards 2017. In a statement by Mr. Bakare, a letter of commendation to the corporation from the awards committee anchored by Business Day Research and Intelligence Unit (BRIU) stated that the NDIC was adjudged as an outstanding public service provider with sterling performance which stood high above its peers in effective leadership and accomplishments. The award committee reviewed the pragmatic and tangible transformations which the corporation brought into management and execution of its core mandate including mitigation of corruption, insider abuse as well as containing non-performing loans in the nation’s financial system. “The NDIC has pursued the observance of corporate governance principles in the Nigeria’s financial system”, it stated. While commending the corporation on the feat, the organisers stated that the NDIC had implemented...