CAPITAL MARKET
Profit-taking Persist on NGX as Market Cap Drops by N112bn
The stock market of the Nigerian Exchange Limited (NGX) yesterday extended its investors’ profit-taking position on the heels of sell pressure on MTN Nigeria, Guaranty Trust Holdings Company Plc, Zenith Bank Plc and 31 other stocks. The likes of MTN Nigeria dropped by 1.1 per cent to close at N169.20, while GTCO and Zenith Bank depreciated by 0.4per cent and 1.9per cent to close at N24.50 and N23.55 respectively. Thus, the overall market capitalisation value lost N112 billion to close at N22.045 trillion from N22.157 trillion it opened for trading, while NGX All-Share Index declined by 215.18 per cent,or 0.51 per cent, to close at 42,247.98 points from 42,463.16 basis points. This Day
BANKING
Moody’s upgrades outlook on 9 banks to ‘Stable’
Moody’s Investors Service (Moody’s), a global rating agency has upgraded its outlook on nine Nigerian banks to ‘Stable’ from ‘Negative’ even as it affirmed its B2 rating of the banks. Moody’s explained that the affirmation of the Nigerian banks’ ratings is based on expectation that the banks’ solvency will remain at adequate levels over the next 12-18 months. The banks are Access Bank Plc, Zenith Bank Plc, First Bank of Nigeria Limited, United Bank for Africa Plc, Guaranty Trust Bank Limited, Union Bank of Nigeria Plc, Fidelity Bank Plc, FCMB Limited and Sterling Bank Plc. Vanguard
Moody’s affirms FirstBank’s B2 deposit ratings
Moody’s Investors Service (Moody’s), a global rating agency has affirmed the B2 long term deposit ratings of First Bank of Nigeria Limited. In the same vein the rating agency upgraded the bank’s outlook from ‘Negative’ to ‘Stable’. Explaining the rationale for its decision, Moody’s said: “The affirmation of First Bank’s B2 long-term deposit ratings reflect the affirmation of the bank’s b3 BCA and Moody’s ongoing expectation of a high probability of government support, leading to one notch of uplift from the BCA. Vanguard
ECONOMY
Glo missing as NCC qualifies MTN, Airtel, new firm for 5G auction
Globacom and Emerging Markets Telecommunication Service Limited are set to miss out on the deployment of Fifth Generation network for at least two years as the Nigerian Communications Commission qualifies MTN Nigeria Plc, Airtel Networks Limited and one new player for its 5G auction. The NCC announced on Thursday only three qualified bidders met its criteria for the licensing process for the 3.5 gigahertz spectrum which is required for 5G deployment. These three companies paid at least $19.74m each in order to qualify, it was learnt. Punch
Nigeria revenue may crash further as OPEC forecasts supply glut
Nigeria’s revenue from crude oil sale may drop further in the first and second quarters of 2022 going by the latest projection of surplus oil supply in the period under review by the Organisation of Petroleum Exporting Countries. Industry analysts, as well as international organisations had explained that the surplus supply of crude oil globally had often led to a drop in the commodity’s price. Crude oil sale accounts for bulk of Nigeria’s foreign exchange earnings, but the commodity has seen repeated plunge in price lately, a development currently being heightened by the emergence of the Omicron variant of the COVID-19 virus. Punch
Direct Remittances Drops by 62.4% to $1.96bn in 10 Months
Latest data by Central Bank of Nigeria (CBN) has revealed that total direct remittances from Nigerians in Diaspora dropped by 62,4 per cent to $1.96 billion in 10 months of 2021 from $5.21billion it recorded in prior year’s 10 months. Analysts attributed the significant drop to current global economy challenges caused by COVID-19 and dwindling global oil prices. The CBN had revealed that Nigeria received $19.2 billion and $5.5billion in total direct remittances between 2019 and 2020 respectively. This Day
Olawale-Cole emerges LCCI’s new president
The Lagos Chamber of Commerce and Industry (LCCI), has announced the election of Dr. Michael Olawale-Cole, as the Chamber’s new president. Olawale-Cole was elected following the expiration of the tenure of Mrs Toki Mabogunje, who had meritoriously served the Chamber in the same capacity for two years. Speaking on the change of baton, the Chamber’s Director-General, Dr Chinyere Almona, in a statement, stated that the coming on board of the former Lagos State Commissioner for Finance and Economic Development and later Commissioner for Works and Transport, was arrived at, at the Chamber’s yearly general meeting, yesterday. Guardian