Nigeria: FG, states, LGs share N580.37b for December

Nigeria’s three tiers of government shared N580.37 billion from the federation account for December 2014 which represent N12.85 billion less than the N628.77 billion shared in November, it was disclosed on Friday.

The Minister of State for Finance, Amb Bashir Yuguda, who addressed journalists at the end of the Federation Account Allocation Committee meeting in Abuja said the money shared amount comprised statutory revenue of N474.4 billion, and N6.3 billion, being debt repayment made by Nigerian National Petroleum Corporation.

Other components of the allocation, according to him, are Value Added Tax of N73.5 billion, and an additional N15.6 billion from the Excess Crude Account was released to augment the shortfall in revenue generated during the period.

The breakdown of revenue share showed that the Federal Government received N220.5 billion, representing 52.68 per cent; states, N111.8 billion, representing 26.72 per cent, the local governments got N86.2 billion or 20.60 per cent of the amount distributed, while N47.2 billion, representing 13 per cent derivation revenue was shared among the oil producing states.

The minister put the gross revenue received for the month of December at N490.03 billion noting that the amount was lower than the N500.07 billion received in the previous month by N10.04 billion.

Yuguda said a 12 per cent drop in crude oil prices between the month of October and November last year had a negative effect on revenue accretion to the federation account.

He said the Excess Crude Account dropped by about $610 million from the $3.1 billion in December to $2.49 billion as of January 16.

We Will See $100 Per Barrel Crude Oil Prices Again - OPEC

Reports say the spot price of crude oil has dropped approximately 55% in the last 6-7 months due to current supply exceeding the nominal demand of 92 million barrels per day by 1.5-2 million barrels per day.

A number of planned oil and natural gas (O&G) projects globally have been cancelled or delayed, O&G sector capital expenditure budgets are being revised and trimmed, drilling rigs are being laid down, and workers are being laid off. At least one oil producing country appears to be teetering on the edge of default.

A concurrent slowdown in global growth (aside from the US) along with the impacts from crude oil price drop has seriously rattled stock markets globally with the O&G sector companies being the hardest hit.

OPEC oil ministers left and right are talking down the price of oil and stating emphatically that OPEC, and Saudi Arabia in particular, will not intervene (cut production) in order to halt the drop in price.

No OPEC production cuts will be forthcoming. One of the comments from a Saudi businessman a couple days ago really caught my attention.

Nigeria naira firms after central bank sells dollars

Nigeria's naira firmed 0.46 percent on Friday, recovering from near record lows against the dollar after central bank intervention, dealers said.


The naira closed at 184.90 to the dollar, strengthening from 188.80 during mid-day trades before the intervention. It closed at 185.75 the previous day.

The central bank has been selling dollars on the interbank market to help the naira and also to meet demand for hard currency. The naira is still under pressure from much reduced prices for Nigeria's oil exports.
The bank invited 21 commercial lenders to bid for $500,000 each on Friday, dealers said, adding that dollar demand in the market was still significant.

The central bank was forced to devalue the naira two months ago to halt the slide in its foreign reserves and has tightened trading rules to try to curb speculation.

Even so, the naira has traded well outside its devalued band of 160-176 per dollar and reserves fell 3.2 percent month-on-month to $34.51 billion by Jan. 13, according to central bank data.

The central bank will hold its first monetary policy meeting for 2015 next Tuesday, with analysts expecting the bank to keep liquidity tight to support the naira. Several analysts expect interest rates to be left on hold at 13 percent.

Ghana to review budget estimates due to lower oil prices: Finance minister

 

Ghana's government is reviewing its 2015 budget estimates given a fall in the global crude oil price, which could have a negative impact on the current account balance and foreign exchange reserves, Finance Minister Seth Terkper said on Friday.

The West African state, which produces gold, cocoa and oil, is in talks with the International Monetary Fund on an assistance package designed to stabilise its economy amid high inflation and a wide budget deficit, so it is sensitive to any changes in its fiscal outlook.

"The required adjustments (to the budget estimates) will be done through the necessary procedures to ensure that the continued fall in the crude oil price does not derail our fiscal consolidation objectives," Terkper told journalists.

The government based its 2015 budget announced in November on a crude price of $99.736 per barrel, a figure derived using a formula based on legislation. Oil is currently trading below $50 a barrel.

Ghana began producing oil in 2010 and has a stabilization fund to protect against price shocks.

The economy grew at around 8 percent in recent years due to exports but GDP growth is expected to slow in 2015 to 3.9 percent, in part because of fiscal problems and a currency that slumped 31 percent last year.

Harmattan winds threaten West Africa's cocoa light-crop output - Reports

The worst Harmattan winds to hit Africa's top cocoa producers in several years may lower light-crop output, farmers, exporters and analysts said on Friday, dimming hopes that they can make up ground after a slow start to the season.

The dry seasonal winds began to blow down from the Sahara last month, blanketing much of West Africa's cocoa-growing regions in dust, blocking out sunlight, and lowering temperatures.

The impact was visible in the world's top two producers, Ivory Coast and Ghana, but farmers in Nigeria and Cameroon said their light crop - which typically produces smaller, lower-quality beans - had not been affected.

Farmers in top grower Ivory Coast said the Harmattan had hindered development of the April-to-September mid-crop.

"Last year at this time we had lots of flowers and cherelles (small pods) on the trees. But this year there's nothing," said Diedie Biali, who farms near the western town of Meagui.

Cocoa arrivals at Ivorian ports were around 11 percent lower than last season's bumper crop by Jan. 11, according to exporter estimates.

"The latter half of the main crop is kind of a done deal. So whatever effect (the Harmattan) will have will be on the mid-crop," said Victoria Crandall, soft commodities analyst with Ecobank.

She said some exporters thought the Harmattan might simply reduce bean size. Others, however, predicted output losses.   Continued...
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JP Morgan says it could remove Nigeria from key bond index

 

JP Morgan said on Friday it would assess Nigeria's suitability to remain in a key emerging currency bond index because of a lack of liquidity in the African country's forex and bond markets.

The bank, which runs the most commonly used emerging debt indexes, said it had placed Nigeria on a negative index watch and would assess its place on the Government Bond Index (GBI-EM) over the next three to five months.

Removal from the index would force funds tracking it to sell Nigerian bonds from their portfolios, potentially resulting in significant capital outflows. This in turn would raise borrowing costs for Africa's largest economy, although analysts said they did not expect JP Morgan to take such a step.

The bank added Nigeria to the widely followed index in 2012, when liquidity was improving, making it only the second African country after South Africa to be included. It added Nigeria's 2014, 2019, 2022 and 2024 bonds, which make up 1.8 percent of the GBI-EM Global Diversified index.

Investors have $216 billion benchmarked to the GBI-EM, the most popular emerging local debt index. But the bank said the current liquidity issues made it hard for foreign investors to replicate it.

The forex and bond markets have come under pressure after the price of oil, Nigeria's main export, plunged. In response, the central bank devalued the naira by 8 percent last year and tightened trading rules to curb speculation.

David Spegel, head of emerging debt at BNP Paribas, said: "I would be very surprised if Nigeria was ejected from the index entirely given the size of the economy and potential for future capital raising in the debt and equity markets there.

"Eventually the whole oil risk issue will be priced into the market and flows of capital and investment will return to Nigeria," Spegel said.

Germany’s 2014 Inflation the Lowest in Five Years

Germany finished the year 2014 with inflation at 0.9 percent, its lowest rate since 2009, the Federal Statistical Office (Destatis) announced on Friday, confirming its previous estimates.

The low rate of inflation was due primarily to the evolution of prices in the second half of the year.

A determining factor was the 2.1 percent fall in energy prices, so if these had been excluded from the calculations, the rate of inflation would have been 1.3 percent.

In December, the annualized rate of inflation was 0.2 percent, after it had been at 0.6 percent in November.

Food prices rose by 1.0 percent.

Stock Exchange records first listing in 2015 with Transcorp Hotels

The Nigerian Stock Exchange (NSE) on Thursday successfully recorded its first listing on the bourse in 2015 by listing the shares of Transcorp Hotels Plc.

As a result, the shares of Transcorp Hotel Plc have been admitted on the daily official list of the Nigerian Stock Exchange (NSE). Trading also commenced on the shares as dealers exchanged 57,000 units.

Recall that Transcorp Hotels Plc approached the Nigerian stock market last year through an initial public offering (IPO) of 800 million ordinary shares of 50 kobo each at N10 per share.  Transcorp Hotels raised N4.2 billion in an initial public offering that was made to the investing public between September and October 2014. The share price is N10 per share.

The company aims to utilise proceeds of the IPO in Transcorp Hilton Ikoyi project with an estimated completion year of 2017 as well as Transcorp Hilton Port Harcourt project, also with an estimated completion year of 2017.

Valentine Ozigbo, managing director/CEO, Transcorp Hotels Plc said: “The journey till this moment has been a long one and we thank God for the success so far.

Power: FG to buy one million meters

President Goodluck Jonathan has approved funds for the procurement of one million electricity meters.

This is coming as the Federal Government on Thursday shifted its earlier target of generating 6,000MW of electricity before the end of 2014 to 2015.

Addressing the complaints of power consumers and civil society organisations during a town hall meeting in Abuja, the Minister of Power, Prof. Chinedu Nebo, said the private sector owners of the electricity distribution companies inherited a lot of customers who had no meters.

He said, “The private sector inherited a customer base in which 50 per cent do not have meters. Nigeria has the highest per capital electricity theft in the world. That is why we are now doing smart meters and we are moving to a place where the meters will be mounted on poles, because something has got to be done fast.

Electricity consumers who do not have meters receive estimated bills monthly.

Statistics obtained from the ministry showed that peak generation on Wednesday was 4,405.6MW; energy generation, 4,000.63MW; while energy sent out was 3,914.60MW. Peak demand was, however, put at 12,800MW.

On gas pipelines vandalism, Nebo said the country lost an average of 1,000MW in 2014 as a result of the activities of vandals.

Nigeria’s foreign reserves fall to $34.51bn

Nigeria’s foreign exchange reserves fell to $34.51 billion by January 13, down 20.2 percent from $43.24 billion a year earlier, owing to draw-downs by the central bank to defend the local currency, the naira.

Data from the central bank on Thursday showed the reserves of Africa’s biggest economy have steadily declined, falling 3.2 percent month-on-month from December, when they stood at $35.66 billion.

The naira has remained under pressure, trading outside the central bank’s target band of N160-N176 to the dollar, as oil prices plunge. This is despite a devaluation meant to find the currency’s true value and shore up Nigeria’s foreign reserves.

Nigerians to face more austerity measures – Okonjo-Iweala

The Federal Government has announced that it was preparing additional measures to mitigate the impact of the price drop on the Nigerian economy, this follows the continuous decline of the price of crude oil in the international market.

It also denied withdrawing the Medium-Term Expenditure Framework from the National Assembly, adding that the MTEF and the budget were with the lawmakers.

The Minister of Finance, Dr. Ngozi Okonjo-Iweala, stated these at an event in Abuja. 

Okonjo-Iweala said the country was facing a challenging time because of the developments in the global economy, adding that this had necessitated the need for additional austerity measures.

The minister did not provide details of the additional measures being planned.

She had during a public presentation of the 2015 budget proposal listed the stoppage of the purchase of new furniture, and reduction in international travels and trainings by government officials by 50 per cent as some of the austerity measures to be taken this year to boost revenue.

Others are the implementation of the Stephen Orasanye committee’s report on the rationalisation of the civil service; and introduction of 10 per cent tax on private jets, three per cent surcharge on champagnes and one per cent property tax on mansions with value exceeding N300m.

Between December 17, 2014 when the budget proposal was submitted, with oil benchmark price pegged at $65 per barrel, and now, global oil prices have further crashed to around $46 per barrel.

SEC clarifies redeployment of personnel

The Securities and Exchange Commission says the redeployment exercise in the commission, was strategically done to strengthen the regulatory mechanism of the Commission.

In statement issued in Abuja, SEC said that the redeployment affected key divisions such as, Investigation, Enforcement, Investor Education and Financial Literacy, which saw many staff members posted to the Commission’s Learning and Career Development Division for continuous training.

According to the statement. redeployment and transfer of staff of the Securities and Exchange Commission (SEC) Nigeria, especially at the beginning of a new year is a usual occurrence and part of its strategies at strengthening the apex regulatory body of the Nigerian Capital Market.

It added that the  exercise was not aimed at punishing or victimizing any staff due  to his or her loyalty  to some individuals as being insinuated in some quarters; instead it is for the overall interest of the market .
The role that SEC Nigeria plays in the nation’s economy is very critical and such changes should be expected

Angola November reserves at $25.92 bln from $25.9 bln in October

 Angola's foreign exchange reserves edged up to $25.92 billion in November from $25.9 billion in October, data on the central bank's website data showed.


Angola is Africa's second-largest producer of oil and depends on crude exports for over 95 percent of its foreign exchange earnings.

Nigeria naira down 1.2 pct despite cenbank dollar sale

 

Nigeria's naira fell 1.2 percent to close at 185.60 to the greenback on Thursday, despite the central bank intervening with dollar sales to try to prop up the currency, dealers said.

The unit opened at 183.40 naira to the greenback, the same level it closed at the previous day. But quickly weakened to an intraday low of 186.30 naira in thin trade, prompting the central bank to intervene, dealers said.
Reuters reports that the bank on Thursday asked 21 commercial lenders to bid for $500,000 each, in an intervention move aimed at providing liquidity to the interbank market and supporting the naira, which has been hard hit by falling global oil prices.

The central bank was forced to devalued the naira two months ago to halt the slides in its foreign reserves, after the country's main export commodity, oil plunged. The bank devalued the naira by 8 percent and tightened trading rules to try to curb speculation against the currency.

But the naira has traded well outside its devalued band of 160-176 - and reserves are still falling.

Nigeria's foreign exchange reserves on Jan. 13 were down 3.2 percent month-on-month from December to $34.51 billion by Jan. 13 because of draw-downs to defend the naira, central bank data showed.

At a separate dollar sale, the central bank sold $249 million to lenders at 168 naira at its twice-weekly forex auction on Wednesday to help meet demand for the greenback, higher than the $200 million it earlier offered.

Nigeria Sells N72 Billion In Bonds At Higher Yields

The Debt Management Office said on Thursday that Nigeria sold 72 billion naira of sovereign bonds at an auction on Wednesday, offering slightly higher yields on the debt notes to attract investors.

The DMO sold N28 billion in 2034-bond at 15.48 percent, compared with 15.49 percent at the previous auction last month and N20 billion in 2024-bond, at 15.43 percent against 15.2 percent at the previous auction.

A total of N24 billion in 2017-bond was sold at 15.2 percent, compared with 13 percent the note was last auctioned in June 2013.

Yields on Nigerian bonds have continued to rise at the secondary market as offshore investors exit the market on concerns on falling global oil price and depreciating local currency.

The Central Bank devalued the naira two months ago and in December tightened trading rules to try to curb speculation against the currency, slowing trading to a trickle. The naira had been hard hit by falling oil prices, cutting foreign income for Africa’s largest crude producer.

The devaluation of its target band by 8 percent to 160-176 against the dollar was meant to halt the slide in foreign reserves, but the naira has traded well outside that band – and reserves are still falling.

All the debt notes are re-openings of previous issues.

The DMO said in a notice it received a total of N129.5 billion in subscriptions for the bonds but allotted N72 billion.

JSE, NSE partner to grow African capital markets

The Johannesburg Stock Exchange (JSE), South Africa and the Nigerian Stock Exchange (NSE) are forging a new partnership that will lead to more opportunities for investors and companies in the African capital markets. The partnership, according to the Exchanges, will strengthen other African economy.

Speaking on the partnership, JSE Director, Capital Markets, Donna Oosthuyse, noted that though African securities exchanges face many challenges the collaboration will help grow the markets and also improve liquidity.


Oosthuyse expressed the optimism that the cross border-listing will greatly benefit investors and grow the continent’s capital markets as opportunities abound for products and services in cross-listing – companies that are listed Nigeria to also list on the JSE.


The JSE director added that the collaboration will also offer both exchanges the opportunity of training programmes to deepen their operational knowledge about topical subjects relating to capital markets.

CBN Releases 2015 MPC Meeting Calendar

Below is the Monetary Policy Committee meeting calendar for 2015


•January 19th and 20th

 •March 23rd and 24th

 •May 18th and 19th

 •July 20th and 21st

 •September 21st and 22nd

 •November 23rd and 24th

CBN Releases 2015 MPC Meeting Calendar

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CBN Releases 2015 MPC Meeting Calendar

At Proshare, our articles, materials and contents stem from critical research work and analysis which are of world class standard that require investment. Hence, we regard them as intellectual property which should not be trampled on. Please, do not cut & paste articles, rather share with the sharing tools provided below the articles. See our Terms & Conditions and Copyright Policy for more details or Email: contact@proshareng.com to know more.

CBN Releases 2015 MPC Meeting Calendar

At Proshare, our articles, materials and contents stem from critical research work and analysis which are of world class standard that require investment. Hence, we regard them as intellectual property which should not be trampled on. Please, do not cut & paste articles, rather share with the sharing tools provided below the articles. See our Terms & Conditions and Copyright Policy for more details or Email: contact@proshareng.com to know more.

FMBN Promises to make home ownership easier

Newly inaugurated managing Director of the Federal Mortgage Bank of Nigeria, Gimba Ya’u Kumo has assured Nigerians that the bank would work to continue to provide quality and affordable houses to Nigeria and strive to improve its balance sheet.

The MD spoke in Abuja at the inauguration of a new board for the bank by the Minister of Lands Housing and Urban Development, Mrs. Akon  Eyakenyi.

Kumo, whose appointment was renewed, promised that the team would recapitalize the bank and improve the balance sheet structure to modify its standing as a financial institution.

According to him, “ Our strategy will involve developing pro-active and effective strategies to attract offshore funding for affordable housing to Nigerians as well as improving service delivery to NHF contributors across the country.We also plan to look at improvement of members of staff welfare across board to ensure a well motivated workforce and profitable operations”.

The FMBN boss said that the completion of ongoing housing estate projects under the Ministerial Pilot Housing Scheme nationwide and the completion of the Goodluck Jonathan Legacy Estate in Kaba District in the Federal Capital Territory, FCT, will be vigorously pursued.

Nigeria’s central bank relaxes trade rules

Nigeria’s central bank loosened rules for buying and selling the weakening naira that were implemented last month and blamed for crushing foreign-currency trading in Africa’s largest economy.

The maximum net open foreign-exchange trading positions banks can hold at the end of each business day was increased to 0.1 percent from zero, the Central Bank of Nigeria, based in the capital, Abuja, said in a notice on its website dated on Monday.

Banks have 72 hours to use dollars bought in the interbank market before they must sell them back to the institution, up from 48 hours previously, it said.

Nigeria, which produces the most oil of any African country, tightened rules on foreign-currency trading as the naira slumped and crude prices plunged.

Nigeria records highest inflation rate in 2014, says survey

 FOR 10 consecutive months in 2014, rate of inflation in the country monitored showed that prices of goods and services remained high from 7.7% which was the lowest, to an all time high of 8.5% just before year end. However,all the highs were on single digit.

Analysis of figures released by the National Bureau of Statistics (NBS) all through 2014, indicated that in February, the rate of inflation stood at 7.7%, down from 8.0% in January,whereas in March, it jumped slightly higher to 7.8%.

In April however, the rate of inflation in the country inched higher to 7.9%,and in the following month(May),it clocked 8%. The rise continued in June when the Consumer Price Index(CPI) released by the bureau showed that inflation had hit 8.2%.In the following month(July), the free hike continued to 8.3%,leaving consumers at the mercy of market forces.

Then came the month of July which posted the highest ever inflation numbers of 8.5% in 2014.But in the month of September, prices of goods and services tracked showed a marginal reduction of the inflation rate to 8.3%.In the month of October, the inflation figure crashed momentarily to 7.8%,before heading up again to 7.9% in November.In a rather predictable manner, the figures again moved to 8.0% in December of last year,confirming analysis that the inflation rate in the country were consistently high for  straight ten months.

Meanwhile, the NBS has also disclosed that throughout last year,the inflationary trend in the country stood at single digits,even as it confirms the policy decision of the Central Bank of Nigeria(CBN),to retain  inflation rate at between 6 and 9% in 2014.

In 2012, the rate of inflation in the country clocked two digits of 12.0%, however, this was not the first time that inflationary trend clocked two digits. Between 2006 to 2013, inflation rate averaged 10.59 per cent, reaching an all time high of 15.60 per cent in February 2010 and a record low of three per cent in July 2006.

According to the NBS,in December, the Consumer Price Index (CPI) which measures inflation rose by 8.0 percent (year-on-year), 0.1 percentage points from 7.9 percent recorded in November. This implies that inflation has held in the single digit range for twenty four consecutive months. Specifically in December, the faster pace of price increases recorded by the Headline index was as a result of advances in a broad array of divisions that yield the Headline index.

Food prices edged slightly higher in December as a result of the Christmas and the new year celebrations. Within that period, the Food sub- index rose by 9.2 percent (year-on- year) up from 9.1 percent recorded in November. This was the first uptick in rates of food prices observed in four months. While higher increases were recorded in the Meat, Fish, and Dairy groups, the Food sub-index was weighed upon by slower rises in the Bread and Cereals, Oil and Fats, and Fruits groups.

NNPC Refutes Alleged N152bn Rehabilitation Expenditure on Four Refineries

The Nigerian National Petroleum Corporation (NNPC) on Tuesday said that it did not budget or expend N152 billion as recently claimed in certain political quarters for the rehabilitation of its four refineries located in Kaduna, Warri and Port Harcourt.

NNPC, in statement from its Group General Manager, Public Affairs, Ohi Alegbe, in Abuja, asked political gladiators in the country to exempt it and its operation from their political brick-bats, in their desperation for votes in the forthcoming general elections.

Describing as inaccurate claims that it expended N152 billion in the Turn Around Maintenance (TAM) of its refineries, the corporation frowned on such deliberate distortion of facts and figures about its operations by “desperate vote-seeking politicians intent on gaining partisan advantage by hook or by crook.”

It noted that as a public entity with fiduciary responsibility to the government and people of Nigeria, it will remain focused on its mandate rather than to be distracted by the spate of politically inspired attacks on its operations.

The corporation specifically described as fiction the recent report of N152 billion supposedly spent on the repair of refineries credited to some nondescript civil society organisations, and stated that the organisation was driven by an overheated imagination.

NNPC said that as an alternative, a new arrangement which kicked off in October, 2014 and entails phased and simultaneous rehabilitation of all refineries using in-house and locally available resources in line with the spirit and letters of the Nigerian content law was initiated by it.

Nigeria's naira sheds 1.4 pct against dollar

Nigeria's naira fell 1.4 percent against the U.S. currency on Tuesday, with no fresh dollar supply and after the central bank dropped a directive that had stopped commercial lenders from taking positions in the forex market, dealers said.

The unit closed at 183.70 naira to the dollar, weaker than Monday's close of 181.20 naira.

The central bank on Tuesday said commercial banks can hold 0.1 percent of their shareholders' funds in foreign currency, reversing a directive enforced last month to stop lenders from dealing in hard currency on their account.

The move is intended to curb speculation in the naira, which has been hit hard in the past few months by falling oil prices.

The central bank devalued the naira two months ago, and in December tightened trading rules to try to curb speculation against the currency, slowing trading to a trickle.

The devaluation of its target band by 8 percent to 160-176 against the dollar was meant to halt the slide in foreign reserves. But the naira has traded well outside that band, and reserves are still falling.

The bank sold $249 million at 168 naira to the dollar at its twice-weekly auction on Monday, dealers said, higher than the $200 million it earlier offered. The central bank has been selling the dollar at 168 naira since the devaluation, but the interbank market has traded lower.

24 ships laden with petroleum products, foods, arrive Lagos ports

Twenty-Four ships laden with foods, petroleum products and other goods have arrived at Lagos ports, waiting to berth.

The Nigerian Ports Authority (NPA) said on Tuesday in Lagos that five of the ships were carrying petrol, while two had diesel.

The NPA said the remaining 17 would bring in fresh fish, bulk rice, bulk fertiliser, containers, base oil, palm oil and ethanol.

Forty-seven ships are expected to sail into the ports from Jan. 13 to Jan. 31 up from 29 ships which berthed on Monday.

The ships, according to the NPA, contain fresh fish, general cargo, containers, bulk malt, base oil, vehicles, containers, buckwheat, bulk charcoal, bulk gypsum, soda ash, bulk sugar, bulk rice and petroleum products.
It said 29 ships were currently discharging buckwheat, bulk rice, containers, general cargo, bulk fertiliser, fresh fish and petroleum products. 

Auto industry can create over 200,000 jobs, says NAC

THE Director-General of the National Automotive Council (NAC), Mr Aminu Jalal, said on Tuesday that the nation’s automobile industry had the potential to generate over 200,000 jobs.

Jalal said this in Abuja in an interview with the Newsmen. He said the areas of job opportunities included mechanics, insurance, financing and logistics.

Jalal said the new automotive policy of the Federal Government was investor-friendly.

He said that already 23 car assembly plants had shown interest to invest in the country,

He listed the companies to include Piaggio Innoson Vehicles Manufacturing Company and National Trucks Manufacturers at Kano State.

Inflation rate hits 8 per cent in December

The National Bureau of Statistics says Consumer Price Index (CPI) which measures inflation for the month of December rose by 8.0 percent (year-on-year), 2014, a 0.1 percentage points from 7.9 percent recorded in November.

In its monthly inflation report sent to our news desk on Tuesday,  the figures imply that inflation has held in the single digit range for twenty four consecutive months. Specifically in December, the faster pace of price increases recorded by the Headline index was as a result of advances in a broad array of divisions that yield the Headline index.

In Food prices, it edged slightly higher in December as a result of the festive period. Over that span, the Food sub-index rose by 9.2 percent (year-on-year) up from 9.1 percent recorded in November. This was the first uptick in rates of food prices observed in four months.

According to the statement, the headline index, food prices increased at a marginally faster pace in December. Food prices as measured by the Food sub-index rose by 9.2 percent, 0.1 percentage points higher from rates recorded in November. On a month-on-month basis, food prices increased by 0.9 percent in December, 0.3 percentage points higher from rates recorded in November. This also represents the highest month-on-month increase observed since March 2014.

Naira up as oil firms sell dollars, stocks down

The naira closed almost 1 percent higher against the U.S. currency on Monday, after three oil companies sold the greenback, increasing dollar liquidity on the interbank market, dealers said.

The unit closed at 181.20 naira to the dollar, firmer than Friday’s close of 183. The naira had weakened to 183 during mid-day trades before the dollar sales.

Dealers said China’s Addax and Itali’s Eni sold a combined $19 million while LNG sold an undisclosed amount of dollars to commercial lenders.

The central bank devalued the naira two months ago and in December tightened trading rules to try to curb speculation against the currency, slowing trading to a trickle. The naira had been hard hit by falling oil prices, cutting foreign income for Africa’s largest crude producer.

The devaluation of its target band by 8 percent to 160-176 against the dollar was meant to halt the slide in foreign reserves, but the naira has traded well outside that band – and reserves are still falling.

Stocks have also been falling as foreign investors unnerved by the drop in oil prices exit frontier assets.

Nigeria’s main share index fell more than 2 percent on Monday, hit by further falls in oil and by election jitters.

Nigeria faces a presidential election in less than six weeks, with frontrunners President Goodluck Jonathan, a Christian from the south, and former military ruler Muhammadu Buhari, a northern Muslim, facing off in a contest many think is too close to call.

Okunbor now Shell’s new MD

A new managing director has been appointed for the Shell Petroleum Development Company of Nigeria Ltd (SPDC), the largest oil producing company in the country.

He is Osagie Okunbor and takes over from Mutiu Sunmonu who is retiring after 36 years of service.
Osagie Okunbor has also been named the country chair of Shell Companies in Nigeria, combining the two positions as his predecessor did.

He is the third Nigerian to hold both posts.

A graduate of business administration from the University of Benin, Okunbor is an accomplished professional, who brings over 28 years of industry experience and expertise to the role. He has worked in Nigeria, the UK, Brunei and currently The Netherlands. His previous assignments included vice president, human resources for Shell’s upstream business in sub-Saharan Africa and vice president, infrastructure and logistics, Shell Nigeria.

He is currently senior advisor in Shell’s upstream international operated business based in The Hague, The Netherlands, from where he returns to Port Harcourt to take up his new role.

Osagie Okunbor, according to a statement issued by Precious Okolobo, corporate media relations manager of Shell Petroleum Development Company, would assume office on March 1, 2015.

Gwarzo takes over from Arunma Oteh as Actg. DG of the SEC Nigeria

Erstwhile Executive Commissioner, Operations in the Securities and Exchange Commission (SEC Nigeria), Mr. Mounir H. Gwarzo has taken over from outgoing Director General of the Commission, Ms. Arunma Oteh as the Acting DG.

This was announced by Oteh at a formal handover ceremony in the Commission’s headquarters in Abuja, Monday.

Oteh while handing over to Gwarzo, described her five year tenure at the Commission as absolutely outstanding attributing it to the co-operation she received from every member of staff.

She said “When I joined SEC in January 2010, I was absolutely certain about why the SEC was important and what it’s role and what the agenda was. I was able to articulate it in one phrase “building a world class market.”

“To have a vision and have everyone being able to connect and align around it for me whether it is capital market operators, shareholders and other stakeholders for me was very rewarding. But I don’t think it would have been possible without each and every one of you accepting the challenge to try something in a different way or to do something in a way that you are not quite sure of.”  

She said that what the commission has been able to achieve in summary is to lay a foundation for the nation to see a capital market that will help tackle its infrastructure challenges; that will help people who are setting up businesses, who own businesses raise millions of naira in capital.

“Our aim is to build a meritocracy so that it is the viable businesses that get funded, not necessarily the ones that have connections so that we can also tackle some of what we are seeing in our world today, whether it is security challenges we face or the security challenges that everybody faces. My view is that one of the things that will address it is if people can feel that they are included, that they have economic access; that they can create wealth, that the income inequalities that we see around us can be addressed. And I believe that the capital market is the answer and what we have done in the last five years is to lay a foundation; there is still a lot of work to be done” Oteh said.

She therefore appealed to staff to continue to work hard and support the leadership to ensure that the brand that has been built is not eroded.

The Acting DG, Gwarzo was born 50 years ago in Kano and attended Bayero University, Kano and graduated with a Bachelors Degree in Economics in 1987.  In 1991, he proceeded to the University of Birmingham in the United Kingdom where he obtained a Post Graduate Degree in Development Finance.  Mr. Gwarzo is an Associate Member of the Chartered Institute of Stock Brokers; in 2005 he became a Fellow of the Institute.

He has played roles the in Nigerian Capital Market as an operator and as a regulator.   This is evident from the caliber of institutions he has served in during his working career that spans a period of Twenty-Five (25) years. The institutions include Ministry of Trade, Kano State; Nigerian Stock Exchange, Century Merchant Bank Limited, Empire Securities Limited, Securities and Exchange Commission, Federal Mortgage Bank of Nigeria and MTL Global Investment Limited.

Gwarzo has been a participant in several courses both at home and abroad, some of which are: The Securities Market Regulation which is the leading training program in securities regulation in the world by the U.S. Securities and Exchange Commission; Development of Bonds Markets in Johannesburg, South Africa; Asset Backed Securities and Mortgage Securitization in Singapore; Operational and Credit Risk Management in Dubai; and Advanced Management Programs (AMPS) at INSEAD (The Premier Management Institute in Europe), Paris as well as at the SAID Business School, Templeton College, University of Oxford, UK.

He is happily married and widely traveled.

Oteh’s tour – of - duty as Director General of the SEC Nigeria will be remembered for its passion, purpose, articulation and faithful implementation of a therapy of reform measures driven by the vision to transform the Nigerian market into world class market.  She was in a hurry to see Nigeria achieve a world class capital market that would drive development and make Nigeria one of the most attractive investment destination.