1. MARKETERS TO BEGIN DIRECT DANGOTE PETROL PURCHASE
The Punch, Page 2
According to the Paper, the Major oil marketers are to begin the direct purchase of Premium Motor Spirit, popularly called petrol, from the Dangote Petroleum Refinery between Thursday and next week as the Nigerian National Petroleum Company Limited pulls out as sole off-taker of the product from the $20bn plant. Multiple sources from NNPC and the Major Energies Marketers Association of Nigeria confirmed on Tuesday that NNPCL was no longer the sole off-taker of Dangote petrol, giving room for other players in the downstream to buy products directly from the Dangote refinery.
This came as unconfirmed reports stated that the Nigerian Midstream and Downstream Petroleum Regulatory Authority had released new petrol prices, which are higher than the current pump prices in various locations nationwide. The spokesman of NMDPRA, George Ene-Ita, did not confirm the development when contacted on Tuesday night. He also did not reply to the text message sent to him on the matter as of the time of filing this report.
2. FG 31-MEMBER PANEL TO BEGIN TALKS WITH ASUU
The Punch, Page 7
The Paper stated that, the Federal Ministry of Education has set up a 31-man panel to renegotiate the agreement entered into between the Federal Government and the Academic Staff Union of Universities. The committee, according to findings by our correspondent, will be inaugurated next Wednesday.
This move by the government is part of plans to avert a potential disruption in the academic calendar of universities, following a fresh strike threat issued by ASUU. Speaking to our correspondent in Abuja, the Director of Press, FME, Folasade Boriowo, said, “The government has started working, and I am sure that ASUU won’t be embarking on a strike because a number of developments are ongoing. A 31-man renegotiation committee has been formed, and they will be inaugurated next Wednesday.”
3. CIVIL SERVICE ANTHEM WILL DRIVE REFORMS, SAYS HOSF
The Punch, Page 7
The Paper stated that, the Head of Civil Service of the Federation, Didi Walson-Jack, has reintroduced the civil service anthem for workers in the federal civil service. According to Walson-Jack, the aim of the anthem is to encourage civil servants and drive the Renewed Hope Agenda of President Bola Tinubu.
The PUNCH reports that the civil service anthem was initially introduced in 2018. Speaking at a meeting with media executives in Abuja, and according to a transcript released on Tuesday, the HoSF stressed the need for the civil service to deliver on the President’s Renewed Hope Agenda.
5. CAPITAL IMPORTATION HITS $2.60B IN Q2
The Nation, Page 2, Vanguard, Page 20, Daily Trust, Page 23, The Guardian, Page 15
According to the Paper, the National Bureau of Statistics (NBS) yesterday said capital importation in the second quarter (Q2 2024) increased to $2.6 billion. In the same period lat year is tood at $1.03billion. “In Q2 2024, total capital importation into Nigeria stood at US$2.604.50 billion, higher than US$1.030.21 billion recorded in Q2 2023, indicating an increase of 152.81 per cent,” it said.
In comparison to the preceding quarter, capital importation declined by 22.85 per cent from US$3.376.01 billion in Q1. NBS said portfolio investment ranked top with US$1.404.70 billion, accounting for 53.93 per cent, followed by other investments with US$1.169.97 billion, accounting for 44.92 per cent.
6. TINUBU: SLOW GROWTH RATE PROMPTS REFORMS
The Nation, Page 7
The Paper Stated that, the President Bola Tinubu yesterday said Nigeria’s slow economic growth rate prompted his administration to embark on various reforms aimed at achieving sustainable and inclusive growth. Speaking at the 54th Annual Accountants’ Conference, with ‘Governance Reimagined: Mapping the Future’ as theme, Tinubu emphasized that Nigeria’s reality is that it was not growing fast enough, and decades of underinvestment have hindered the economy’s potential.
Represented at the event by the Minister of Budget and Economic Planning, Alhaji Abubakar Atiku Bagudu, the president said his administration’s Renewed Hope Agenda is designed to address this reality, adding that his strategy involved making necessary choices to stop the decline and put the country on a path to higher, sustainable, and inclusive growth.
7. NGX LAUDS GERMAN GOVT, DEG FOR SUSTAINABILITY
The Nation, Page 7
According to the Paper, the Nigerian Exchange Group Plc (NGX Group) has lauded the German Government and its development finance institution, Deutsche Investitions- und Entwicklungsgesellschaft (DEG), a subsidiary of KfW Bank, for their unwavering commitment to advancing impact investing in Nigeria. This comes as NGX Group looks to strengthen partnerships aimed at fostering sustainable development, with a focus on climate action.
The Group Managing Director/CEO of NGX Group, Temi Popoola, made these remarks during the DEG Impact Investing Dialogue held yesterday in Lagos. He acknowledged the vital role DEG has played in deepening sustainable finance in Nigeria and bolstering confidence in the country’s economy.
8. FG’S DEFICIT SPENDING RISES 28% TO N8.44 TRN IN H1’24
Vanguard, Page 19
The Paper reported that, the Federal Government’s, FG’s, deficit spending rose by 28 percent year-on-year (YoY) to N8.44 trillion in the first half of the year (H1’24) from N6.59 trillion in H1’24. The deficit recorded in H1’24 represents 92 per cent of the proposed annual deficit spending of N9.18 trillion deficit as contained in the 2024 budget. Furthermore, the increased deficit spending is in spite 35 per cent YoY increase in FG’s revenue in H1’24.
The Central Bank of Nigeria, CBN, disclosed this in its Quarterly Economic Statistics Report for September 2024. Analysis of the fiscal activities of the FG as disclosed by the apex bank showed that in the first quarter of 2024 (Q1’24) deficit spending stood at N4.18 trillion and grew by 1.9 percent quarter-on-quarter (QoQ) to N4.26 trillion in Q1’24. The report also showed that the FG recorded 35.7 percent YoY growth in revenue to N3.8 trillion in H1’24 from N2.8 trillion in H1’23.
9. CONSUMER CREDIT: CREDICORP DISBURSES LOAN TO 10,942 CIVIL SERVANTS
Vanguard, Page 20
According to the Paper, In a bid to alleviate financial pressure on Nigeria’s working population, the Nigerian Consumer Credit Corporation, CREDICORP has launched a consumer loan program to help citizens manage the impact of rising petrol prices. As at yesterday, 10,942 civil servants across various sectors have benefited from this initiative, with more recipients being added daily. The Corporation disclosed this in a fifth-day disbursement publication.
A breakdown of the beneficiaries according to the publication showed that education workers and teachers were the highest in number with 4,786. This was followed by administrators with 2,831 beneficiaries, while doctors and health care workers were 1,307. Additionally, 1,264 police and paramilitary officers benefitted from the loan with 753 specialized workers.
10. NAIRA DOWN TO N1,685/$ IN PARALLEL MARKET
Vanguard, Page 25
The Paper Stated that, the Naira yesterday depreciated to N1,685 per dollar in the parallel market from N1,660 per dollar on Monday.
But the local currency appreciated to N1,561.76 per dollar in the Nigerian Autonomous Foreign Exchange Market, NAFEM. Data from FMDQ showed that the indicative exchange rate for NAFEM fell to N1,561.76 per dollar from N1,635.15 per dollar on Monday, indicating N73.39 appreciation for the naira. The volume of dollars traded (turnover) in the official market grew by 100.9 percent to $253.68 million from $126.24 million traded on Monday
Consequently, the margin between the parallel market and NAFEM rate widened to N123.24 per dollar from N24.85 per dollar on Monday.
11. OKONJO-IWEALA SEEKS CUT IN SUBSIDIES ON COTTON, MORE MARKET ACCESS FOR DEVELOPING COUNTRIES
This Day, Page 8
According to the Paper, the Director-General of the World Trade Organisation (WTO), Dr. Ngozi Okonjo-Iweala, has underscored the importance of levelling the playing field by reducing subsidies on cotton, which currently amounts to $8 billion, to allow developing countries greater market access and enable them to benefit more from trade. According to her, WTO members have worked hard and will continue advancing negotiations to achieve this goal.
She spoke at the ongoing World Cotton Day 2024 opening ceremony in Cotonou, Benin Republic, where she highlighted the WTO’s progress in supporting the cotton sector. The WTO DG lamented that despite the high quality and environmentally-friendly nature of African cotton, the sector faces significant challenges, from market distortions to climate change.
12. PORTFOLIO INVESTORS CROWD NIGERIA AS CAPITAL IMPORTATION SLUMPS BY 22.85%
This Day, Page 11
The Paper reported that, the Portfolio investors continued to throng Nigeria in Q2 this year, rising by over 1,200 per cent Y-o-Y, dominated mainly by investment in money market instrument, even as total capital importation declined by 22.85 per cent during the period under review compared to Q1, 2024. Latest data from the National Bureau of Statistics (NBS) indicated that compared with the previous quarter, total capital importation slumped from $3.37 billion in Q1 to $2.60 billion in Q2.
Generally speaking, capital importation is the net purchases, that is the difference between purchases and sales of domestic assets by non-residents, either as equity or debt; cash or goods. It’s divided into three main types: Foreign Direct Investment (FDI), Portfolio Investment and Other Investments.But according to the data, when compared to the same period of last year, Nigeria’s capital importation rose by 152.8 per cent from $1.03 billion when put side by side the extant figure of $3.37 billion.
13. BANKS’ IMPAIRMENT CHARGES SOAR BY 56.3% TO N1.03TN ON WEAKENING ECONOMIC VARIABLES
This Day, Page 21
The Paper stated that, In an apparent move to reduce the negative impact of macro-economic challenges on their risks assets, 11 banks significantly increased their impairment charges to N1.03 trillion in half year ended June 30, 2024. The provisioning showed a jump of 56.3 per cent compared with N657.7 billion recorded in half year ended June 30, 2023.
An impairment charge usually reflects a fall in value or worse-than-expected performance of the asset. While banks increased their lending partly due to the Central Bank of Nigeria (CBN)’s policy on loan-to-deposit ratio (LDR), which is put at 65 per cent, macro-economic challenges in Nigeria and Sub-Sahara Africa countries where they operated have disrupted economic activities, and it is expected to affect most risk assets.
14. FOREIGN RESERVES SURGED BY $5.57BN IN SIX MONTHS DESPITE VOLATILE GLOBAL MARKETS
This Day, Page 21
The Paper report that, the Nigeria’s foreign reserves grew by a notable $5.57 billion over six months, rising from $33.04 billion on April 8, 2024, to $38.61 billion by October 3, 2024, underscoring the resilience of the country’s external position despite ongoing global economic challenges and external factors.
Data from the Central Bank of Nigeria (CBN) showed that starting at $33.04 billion on April 8, 2024, the reserves initially fluctuated, indicating the economic pressures of the time. By May 3, 2024, reserves had dipped to $32.30 billion, signaling a momentary tightening in foreign exchange liquidity, likely influenced by global market dynamics, including the uncertainties surrounding the oil market and foreign capital outflows. However, the reserves began a steady recovery by mid-June, reaching $32.74 billion on June 3, 2024.
15. WE’LL ENSURE EVERY VERIFIED HERITAGE BANK CUSTOMER IS PAID – NDIC
Daily Trust, Page 23
According to the Paper, the Nigeria Deposit Insurance Corporation (NDIC) says it is committed to ensuring that every customer with verified Bank Verification Number from the failed Heritage Bank is paid. Managing Director of NDIC, Bello Hassan stated this in Abuja on Tuesday at the Customer Service Week celebration organised by the corporation with the theme “Above and Beyond, “
Bello who was represented the Executive Director, Corporate Services of NDIC, Emily Osuji, said “This year’s theme encapsulates the commitment of NDOC to service delivery as the reflection of going above and beyond to transform relationship with customers. “The NDIC also remains committed to fulfill its mandate and expectations which it has been doing in the last 35 years of its existence to ensure we create impact and boost depositors confidence in the banking industry, which is why are reiterating that every verified customer with NIN from the failed Heritage Bank will receive his payment.
16. CBN, FOREIGN REGULATORS TO SUPERVISE NIGERIAN BANKS WITH SUBSIDIARIES ABROAD
Daily Trust, Page 23
According to the Paper, the CBN has established Memoranda of Understanding (MoUs) with countries hosting Nigerian banks’ subsidiaries to improve regulatory coordination and ensure safe and compliant banking operations both locally and internationally. This was revealed in a statement by Mrs. Hakama Sidi-Ali, the Acting Director of Corporate Communications, on yesterday.
The director explained that this targeted approach enables the CBN to maintain strong oversight while supporting the overall stability of the banking sector. The CBN further reaffirmed its commitment to maintaining stability in the Nigerian financial system, emphasising that it has implemented various safeguards to protect public funds and uphold confidence in banking operations.
17. NIGERIA’S CAPITAL INFLOW GROWS BY 176.85% TO $6BN IN 6 MONTHS
Leadership, Page 1&7
The Papers reported that, the National Bureau of Statistics (NBS) reported that inflows rose to $5.98 billion between January and June this year, up from $2.16 billion during the same period in 2023. The United Kingdom and Netherlands were the biggest sources of capital, with portfolio investors pouring funds into the country’s banking sector. Nigeria’s central bank has allowed the naira to trade freely in a bid to boost foreign exchange inflows as part of President Bola Tinubu’s reforms, which also included slashing petrol and electricity subsidies. The bank plans to automate foreign currency trades from December to enhance transparency and remove market distortions.
The central bank has hiked interest rates five times this year to counter inflation and attract portfolio investors hungry for yields. However, on a quarter-to-quarter basis, capital importation reached $2.60 billion in the second quarter of 2024, representing a robust increase of 152.81% year-on-year compared to $1.03 billion in Q2 2023. Despite this substantial annual growth, the figure marks a decline of 22.85% from the $3.38 billion recorded in the first quarter of 2024.
18. WE HAVE REDUCED REVENUE BLEEDING – TINUBU
Leadership, Page 25
According to the Paper, President Bola Tinubu says his administration has significantly reduced revenue leakages and freed up more funds for the three tiers of government to fund administrative expenses. He failed to provide details on the issue. The President also said the “Necessary Choices, pleasant and otherwise,” his administration made in the last 17 months were designed to stop the decline and put Nigeria on a path to higher, sustainable, and inclusive growth.
“Revenue bleeding has reduced, and the three tiers of Government are receiving higher allocations, which enable more support to vulnerable populations,” President Tinubu said yesterday at the 54th annual accountants’ conference held in Abuja. In a swift comment on the current state of things in Nigeria, the diamond president of the Institute of Chartered Accountants of Nigeria, Davidson Chizuoke Alaribe said governance remains both a challenge and an opportunity in Nigeria even though progress has been made. “Substantial work is still needed to enhance the economic growth of Nigeria.”
19. NIGERIA CUSTOMS PARTNERS IMF, WORLD BANK, OTHER ON TRADE FACILITATION
Leadership, Page 25
The Paper reports that, the Nigeria Customs Service (NCS), in collaboration with the World Customs Organisation (WCO), the World Bank Group (WBG), and the International Monetary Fund (IMF), is holding a five-day workshop on Post Clearance Audit (PCA) in Abuja to enhance trade facilitation in Nigeria. At the opening ceremony, the comptroller-general of customs, Adewale Adeniyi, represented by the assistant comptroller-general of customs in charge of tariff and trade, Adekunle Oloyode, expressed his gratitude to the WCO, WBG, and IMF for their invaluable contributions to the PCA reform efforts, according to a statement that was issued by the agency.
He stated that the workshop is essential for establishing a robust PCA, which complements the authorised economic operator programme. According to him, both initiatives are critical to strengthening the compliance framework and advancing the trade facilitation efforts of the Service. “PCA plays a vital role in ensuring compliance in international trade and safeguarding national revenue long after goods have exited Customs control,” he said.
20. ‘DANGOTE REFINERY TO SAVE AFRICA $17BN FROM PETROLEUM PRODUCTS IMPORT’
Leadership, Page 27
According to the Paper, the Chairman of Dangote Refinery and Petrochemicals Company Limited, Aliko Dangote, has said that Nigeria’s in-country petroleum products refining would help save the continent a whopping $17 billion spent to import products from Europe, Russia and others. He however said this can happen if Nigeria enhances its crude oil production capacity and effectively manages its crude supply to ensure adequate feedstock for domestic refineries.
This he stated will help the country transit from a net importer to a net exporter of petroleum products.
Dangote who was represented by the group executive director of Dangote Industries Ltd, Mansur Ahmed, made this assertion during his keynote address at a summit held in Lagos by the Crude Oil Refinery Owners Association of Nigeria (CORAN), which attracted top government officials and key stakeholders from the midstream and downstream sectors.
21. CBN REAFFIRMS COMMITMENT TO FINANCIAL SYSTEM STABILITY
Daily Sun, Page 2, Vanguard, Page 20, This Day, Page 5
The Paper reports that, the Central Bank of Nigeria (CBN) has reiterated its commitment to ensuring the stability of the Nigerian financial system. The apex bank gave the reassurance in a statement by Mrs. Hakama Sidi-Ali, its Acting Director, Corporate Communications on Tuesday. Ali said that the apex bank had put in place various safety nets to safeguard public funds and maintain confidence in banking operations.
She noted that these measures include regular stress testing, early warning systems, risk-based supervision and collaboration with foreign regulators. “The CBN actively ensures that banks adhere to established regulations and best practices to maintain the integrity of our financial system.
Preye Godwin Enoya
Information / Public Relations Officer 1
For Director, (Information and Public Relations Unit)
9th October, 2024 FEDERAL MINISTRY OF FINANCE ABUJA
PRESS RELEASE
FG CHAMPIONS FISCAL & MONETARY POLICY COORDINATION AT RENEWED HOPE AGENDA WORKSHOP
In a bold move to revitalize Nigeria’s economy, the Federal Government has convened a two- day groundbreaking Renewed Hope Agenda workshop, championing coordination between fiscal and monetary policies.
Organised by the Federal Ministry of Finance in partnership with the Central Bank of Nigeria (CBN), the workshop aimed to strengthen the Federal Government’s technical capacity in implementing macroeconomic, monetary, and fiscal policies that are vital to Nigeria’s future growth.
In his address on Critical Priorities in Macroeconomic and Fiscal Policy Coordination, the Honourable Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, highlighted Nigeria’s current fiscal challenges while proposing innovative reforms to stimulate economic growth under the leadership of President Bola Ahmed Tinubu.
He stressed the importance of aligning fiscal and monetary policies to curb inflation, attract investment, and foster sustainable economic development.
HM Edun reiterated President Tinubu’s strong commitment to guiding Nigeria towards economic recovery through sound policy implementation and international collaboration. He emphasized the need to leverage the workshop’s insights to ensure long-term fiscal stability and sustainable growth.
The workshop featured several sessions covering key economic areas, including Public-Private Partnerships (PPP) for Infrastructure Development, Managing Foreign Currency Liabilities, and Driving Economic Growth through Innovation.
Participants also explored how technological advancements can boost Nigeria’s economic competitiveness.
The Renewed Hope Agenda workshop, a collaborative effort between the Federal Ministry of Finance and the Central Bank of Nigeria, seeks to equip policymakers with innovative solutions for sustainable growth.
As the workshop comes to a close, Nigeria’s economic future looks brighter, especially with the Honourable Minister’s call to action. Policymakers are now poised to implement reforms, harness technological advancements, and foster international collaboration.
The stage is thus set for Nigeria’s economic revival – driven by coordinated policy implementation and a shared vision for prosperity.
Signed
Mohammed Manga, FCAI
Director, Information and Public Relations
October 9, 2024