Analyst Insight: A Small Rise in the FGN’s Domestic Debt in Q3 2020

FGN's Domestic Debt

Analyst Insight: A Small Rise in the FGN’s Domestic Debt in Q3 2020 FBNQuest Research   The FGN’s domestic debt stock amounted to NGN15.85trn (USD37.7bn at the recently adjusted NAFEX rate) at end-September, equivalent to 10.0% of 2019 GDP. It increased by NGN390bn over the quarter, and the stock of FGN bonds by NGN410bn. The DMO had a challenging remit to raise NGN1.6trn from domestic issuance as FGN deficit financing in 2020, and the bonds are by far the largest element in its programme. Its timely data update also shows…

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2020: A year of extraordinary uncertainty & unprecedented events

2020: A year of extraordinary uncertainty & unprecedented events By FXTM Analyst, Lukman Otunuga It only felt like yesterday that the United States and China reached a ‘phase one’ trade deal and Parliament backed Boris Johnson’s plan to leave the European Union on 31st January 2020. Such encouraging developments lifted investor confidence and raised optimism over the outlook for 2020. Unknown to all, the global economy was in store for a nasty shocker as a string of unforgettable and distressing events rocked financial markets – ultimately cementing their places in…

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Op-ed: A Bank in Every Pocket

Op-ed: A Bank in Every Pocket   By Murray Gardiner, MD of Bluecode Africa  Confidence in African digital payment solutions is essential to minimising fraud and corruption while improving the free flow of funds to boost business and economic activity. Their value is illustrated in statistics released by the South African Banking Association (SABRIC) in June 2020. The report found that digital banking fraud had risen by 20% but that the fraud losses on banking applications had only increased by 1%, in spite of a significant rise in transactions.  Mobile…

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Why businesses should ensure data privacy in vendor relationships

By Andrew Bourne ____________________ Whether we realize it or not, we are being tracked everywhere we go on the Internet. In fact, Internet surveillance is so widely used that several vendors have built businesses worth billions of dollars using this model. The websites and descriptions of these renowned data brokers and aggregators openly display the depth and breadth of the information they gather. However, in plain words, it’s a complete surveillance of our digital life.  An innocent facade with severe privacy risks in the background Called adjunct surveillance, this kind…

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ANALYSIS: Dollar rationing to persist on meagre inflows

Dollar rationing to persist on meagre inflows

November 2020 Economic Insight By NOVA Reasearch Analysts Dollar Rationing to Persist on Meagre Inflows and Rising Outflows The CBN intervention across segments of the FX market improved in the month of October, with total intervention sales rising 25% MoM to $1.9 billion from $1.5 billion in September, albeit below the average of $2.0 billion over Q1 2020 when inflows moderated the level of interventions. CBN sales to the SMEs, Invisibles and SMIS (retail and wholesale) segments totaled $540 million compared to $400 million in September. Non-auction sales increased to…

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Analysts put economic losses to #EndSARS disruption at N1.5trn

Analysts put economic losses to #EndSARS disruption at N1.5trn

The economic cost of the #EndSARS protest disruption is estimated at N1.5 trillion, approximately 1.03 per cent of the GDP and 11.47 per cent of the 2021 budget, Financial Derivatives Company Limited has said. “This suggests that the economic recovery path could be longer than anticipated. Massive investment in job-elastic sectors with minimal control on the pricing mechanism will serve as catalysts and would ensure a sustained ‘take-off’,” the FDC, led by foremost economist Bismarck Rewane, said in its latest economic bulletin. Last month, a large number of Nigerians, mostly youths, protested…

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Why businesses should consider opening offices in small towns and villages

By Andrew Bourne For a while now, tech companies and workers have been eyeing smaller cities to escape the exorbitant real estate costs, manic lifestyles, and endless traffic jams in traditional tech hubs. The time is ripe for this trend to pick up as COVID-19 has induced massive reverse migration with employees moving back to their homes, closer to their families. Another trend that the pandemic brought forth is expatriates returning to their respective countries due to job loss or other reasons. This reverse-globalisation goes hand-in-hand with the sudden rise…

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NSE back above water, Nairobi still in difficulties

NSE back above water, Nairobi still in difficulties

By FBNQuest Research The NSEASI crossed a notable threshold on 02 October, returning to positive territory ytd for the first time since 26 February. The advance has now widened to 8.0%, compared with a -3.8% ytd contraction for the Jo’burg all-share and a -32.3% slump in Nairobi (NSE20). Healthy GDP growth and household spending have been absent in Nigeria since early 2015. We struggle therefore to explain the index’s relative outperformance although we can point to the removal of fuel subsidies as a market-friendly reform, albeit one that the FGN…

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HINT: 7 stocks to have in your portfolio before 2020 ends

HINT: 7 stocks to have in your portfolio before 2020 ends

By Investdata Analysts Looking at the seasonal swings trend in the final quarter of every year, Investdata Research has put together stocks to watch and will help you target strategic gains in six months. If you have not been paying attention to what is happening in the market and the economy right now, this report is for you; and should you be one of those yet to position for this earnings season and post-earnings portfolio repositioning, it is time to act. This will help you profit from the seasonal wave…

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More agriculture loans but longstanding bottlenecks remain

By CSL analysts According to local media reports, the Minister for Agriculture, Sabo Nanono through an information official of the Agric ministry announced plans by the ministry to provide relief for farmers in form of interest-free loans, and effective input subsidisation. According to the statement credited to the minister’s representative, the relief is for the recent covid-19 disruptions to farming activities and flooding in Kebbi, Jigawa and Kano states. In addition, the minister stated the interest-free loans would be provided through a partnership of the Agric ministry and the Central…

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