CAPITAL MARKET
SEC mandates full custody requirement for mutual funds
The Securities and Exchange Commission has announced the commencement of the implementation of a 100 per cent custody requirement in the collective investment schemes sector. According to a statement from the commission, the Director-General, SEC, Mr Lamido Yuguda, said that all clients’ assets managed under discretionary and non-discretionary mandates were to be held under an independent custodial agreement and custodial banks. Collective investment schemes, also known as mutual funds, were previously authorised for public offering by the SEC. Yuguda said although it was a natural operational requirement of CIS, the SEC was having some new enforcement and insistence on the compliance already in the books but with weak implementation. Punch
FMDQ, FSD Africa seal N25b bond issuance deal with Lagos state
FMDQ Holding Plc and Financial Sector Deepening (FSD) Africa have executed a memorandum of understanding (MoU) with Lagos State Government to facilitate the issuance of the maiden ₦25 billion green bond and other sustainability linked debt securities towards achieving the United Nations (UN) Sustainable Development Goals (SDGs). Among those present at the ceremony held in Lagos State House, were the Governor of Lagos State, Babajide Sanwo-Olu; the Commissioner of Finance, Lagos State, Dr. Rabiu Onaolapo Olowo; Special Adviser, Office of Sustainable Development Goals and Investment, Lagos State, Solape Hammond and other members of the Lagos state executive council. Guardian
Consolidated Hallmark pays N216.8m dividend
Consolidated Hallmark Insurance said it paid N216.8m dividend to its shareholders for the 2020 financial period. The Chairman, Obinna Ekezie, disclosed this during the company’s annual general meeting. He said, “In line with our desire to continually ensure appreciable returns to our shareholders, the board of directors wishes to recommend an interim dividend of N216.8m for your consideration and approval. “This translates to two kobo per ordinary share of 50 kobo subject to appropriate withholding tax.” According to the company’s annual report, the chairman said that despite the limitations on the economy in 2020, the company reported a positive result. Punch
BANKING
First Bank expands IMTOs to boost diaspora remittances
First Bank of Nigeria Limited says it has increased its network of International Money Transfer Operators to ease the accessibility of its customers to receive money from close to 100 countries across the world in a safe and secured manner. A statement on Sunday from the bank said that this was necessary to expand diaspora remittance inflow into the country. With over 750 branches across the country, customers could receive money from the nearest FirstBank branch closest to them, the bank said. It stated that over the years, FirstBank had been in partnership with Western Union, MoneyGram, Ria, Transfast, and WorldRemit. Punch
Customers scam banks with fake visas, tickets for forex
The Central Bank of Nigeria has vowed to engage financial crime fighting agencies to pursue fraudsters who have been deceiving the banks with fake documents to buy forex at cheap rates and sell at higher rates at the black market, NIKE POPOOLA reports Eight weeks after the Central Bank of Nigeria stopped selling forex to Bureau De Change operators and asked legitimate travellers to approach the banks to access cheap forex, the banks have been inundated with fake demands, findings have revealed. More customers have been deceiving the banks with fake documents to obtain the forex at cheaper rate, and prevented genuine travellers from gaining access to forex. Punch
ECONOMY
With the oil and gas sectors contributing only 8.34 per cent to real gross domestic products (GDP) in the first half of the year (1H 2021), the country’s macroeconomic resilience achieved through a broad and diversified economy may positively impact on its fortunes to access funding at the international capital market. Also, as against growing public criticism over the rising public debt, the country’s economic managers have insisted that Nigeria maintains one of the lowest debt to GDP ratios of its peers, pointing out that increasing debt service cost is being managed by revenue growth. The government maintains that public debt remained well balanced composition with majority of external debt and congressional/semi-concessional in nature. This Day
Troubled naira, untapped remittances and undefined role of BDCs
The die is cast. The official remittance market is in a battle for survival on all fronts. First, its old foe – the informal channels – is not relenting. And peer-to-peer (P2P) transfer is rearing its ugly head in readiness for what could be apocalyptic. At a forum on the country’s economic prospects, the Chief Economist of PwC Nigeria, Dr. Andrew Nevin, said humn capital, not oil, is the country’s largest export. A recent study by Bloomberg validated Nevin’s argument, picking Nigeria as the leader of countries with the most outstanding migrant workers across the globe. Nigeria was followed by Pakistan and Canada. Guardian
