Naira gains against dollar as CBN adjusts clearing rate to N196.90k

The nation’s currency, the naira, yesterday, gained over the US dollar by N0.36k or 0.18 percent at the inter-bank market after the Central Bank of Nigeria (CBN) adjusted the clearing rate to N196.90k.

The official exchange rate of the apex bank was adjusted from N196.95k last week to N196.90k this week.

Consequently, after trading on Thursday the local currency closed at N198.42k/ compared with N198.78 the previous day, data from Financial Markets Dealers Quotations (FMDQ) indicated.

On Wednesday, naira weakened 0.6 percent against the USD in the inter-bank and -7.7 percent Year-To-Date on June 10, 2015.

While the inter-bank foreign exchange market is somehow stable, naira short-term outlook is weak due to impact arising from sustained low oil prices, low level of FX reserves and large level of unmet USD demand, according to Ecobank report.

Naira foreign exchange indicator as revealed by Standard Chartered-MNI Business Sentiment Indica- tor (BSI) falls to a series low in May 2015.

We have 1.1b litres fuel stock, says NNPC

The Nigerian National Petroleum Corporation (NNPC) yesterday said  its subsidiary, the Pipelines and  Products Marketing Company (PPMC) presently has a stock level of 1.1billion litres of fuel representing 27 days sufficiency.

It stressed that the stock excludes volumes with confirmed delivery dates within the next couple of days.

NNPC Group Managing Director (GMD), Dr. Joseph Dawha , said the state-run oil firm is ready to work with all relevant stakeholders in the downstream sector of the oil and gas industry to bring to an end the lingering fuel scarcity across the country.

Its Group General Manager, Group Public Affairs Division, Mr. Ohi Alegbe, in a statement, explained that the NNPC boss spoke while on a tour of some filling stations in Abuja with top management staff of the Corporation.

Dawha noted that the NNPC as the supplier of last resort, has improved availability of petrol in the country and would ensure its effective distribution nationwide.

He said arising from the meeting with petroleum products marketing stakeholders last week, the NNPC and its downstream subsidiary PPMC is committed to bringing the fuel queue situation to an end in Abuja and across the other states of the federation.

Nigeria inflation rises to 2-year high on food prices

Nigeria's consumer inflation rose to 9.0 percent year-on-year in May, the upper end of a central bank target, from 8.7 percent in April, marking the highest rate since May 2013, the national statistics office said.

Food inflation edged higher to 9.8 percent year-on-year in May, up 0.3 percentage points from April, due to the late onset of rains which pushed back the harvest season and a hike in transport costs because of a fuel shortage, it said.

"Food prices rose by 1.1 percent in May, the highest month-on-month increase recorded on food prices since September 2012," the National Bureau of Statistics (NBS) said on Thursday.

Major cities in Africa's biggest economy are still suffering from crippling gasoline shortages despite the end of a fuel distribution strike.

After negotiations last Friday with the new administration, fuel will become available both at state-owned retail stations and those owned by major and independent marketers, who are still not importing due to money owed them by the government, to reduce the queues of double-parked cars.

The dispute over subsidy payments disrupted services including telecom services, banking and aviation in May, as Nigeria, which does not have sufficient refining capacity, relies almost wholly on imports.

The NBS in March said it expected inflation to inch up to around 9 percent this year, from its January forecast of 8.78 for 2015, following a currency devaluation meant to counter the effects of lower revenues from crude oil, Nigeria's main export.

DMO to raise N80.2billion worth of bonds on June 17

 

The Debt Management Office (DMO) says it will raise N80.22billion worth of bonds in three categories on June 17.

According to the DMO, in its ‘Bond Circular’ issued on Wednesday, the categories of bonds will include a 20, 10 and five-year bonds. It said that the 20-year bond would attract N40 billion, N15.22 billion for 10-year bond and N25 billion worth for the five-year bond.

It said the three categories of bonds would mature in February 2020, March 2024 and July 2034 respectively.

The DMO added that the three categories of bonds had different coupon rates. The 20-year, 10-year and five-year bonds will have coupon rates of 15.54 per cent and 14.20 per cent respectively while the 10-year bond will attract 12.15 per cent.

 It said that while the bonds would be auctioned on June17, the settlement date would be June19. The DMO said that all the bonds could be re-opened.

DMO to raise N80.2billion worth of bonds on June 17 By Yolanda Onyebuchi on June 11, 2015 @ 3:37 am@todayng Pin It dmo Click here for Nigeria's Largest Newspaper Directory The Debt Management Office (DMO) says it will raise N80.22billion worth of bonds in three categories on June 17. According to the DMO, in its ‘Bond Circular’ issued on Wednesday, the categories of bonds will include a 20, 10 and five-year bonds. It said that the 20-year bond would attract N40 billion, N15.22 billion for 10-year bond and N25 billion worth for the five-year bond. It said the three categories of bonds would mature in February 2020, March 2024 and July 2034 respectively. The DMO added that the three categories of bonds had different coupon rates. The 20-year, 10-year and five-year bonds will have coupon rates of 15.54 per cent and 14.20 per cent respectively while the 10-year bond will attract 12.15 per cent. It said that while the bonds would be auctioned on June17, the settlement date would be June19. The DMO said that all the bonds could be re-opened.

Read full story here: http://www.today.ng/business/dmo-to-raise-n80-2billion-worth-of-bonds-on-june-17/

CBN registers 2,688 Bureau De Change

The Central Bank of Nigeria (CBN) says it has registered 2,688 Bureau De Change (BDC) operators in the country. The CBN said this in a circular issued and released to all the BDC operators by the Financial Policy and Regulation Department of the bank on Thursday.
According to the circular, the list contains the names of confirmed operators that have complied with its new requirements on recapitalisation.

NAN recalls that the CBN had in August 2014 released the names of 2,442 BDC operators and later in February 2015, published a list of 2,586 licensed BDC firms. There were 3,208 registered BDC operators in the country before the expiration of the deadline.

 The CBN on June 23, 2014 announced a new minimum capital requirement of N35 million for the operation of BDC in Nigeria, up from N10 million that it was previously. In order to ensure that the forex dealers comply with the new capital requirements, the CBN had extended the deadline to July 31, 2015.

The apex bank had also said interest would be paid on the mandatory cautionary deposit of N35million, based on banking industry savings account rate. The financial sector regulator had equally raised the mandatory caution fee from N10 million to N35million.

CBN registers 2,688 Bureau De Change operators By Yolanda Onyebuchi on June 11, 2015 @ 3:00 pm@todayng cbnn Click here for Nigeria's Largest Newspaper Directory The Central Bank of Nigeria (CBN) says it has registered 2,688 Bureau De Change (BDC) operators in the country. The CBN said this in a circular issued and released to all the BDC operators by the Financial Policy and Regulation Department of the bank on Thursday. According to the circular, the list contains the names of confirmed operators that have complied with its new requirements on recapitalisation. NAN recalls that the CBN had in August 2014 released the names of 2,442 BDC operators and later in February 2015, published a list of 2,586 licensed BDC firms. There were 3,208 registered BDC operators in the country before the expiration of the deadline. The CBN on June 23, 2014 announced a new minimum capital requirement of N35 million for the operation of BDC in Nigeria, up from N10 million that it was previously. In order to ensure that the forex dealers comply with the new capital requirements, the CBN had extended the deadline to July 31, 2015. The apex bank had also said interest would be paid on the mandatory cautionary deposit of N35million, based on banking industry savings account rate. The financial sector regulator had equally raised the mandatory caution fee from N10 million to N35million.

Read full story here: http://www.today.ng/business/cbn-registers-2688-bureau-de-change-operators/

Dog meat dealers say it's business as usual in FCT

Dealers in dog meat at the Ushafa Bridge in Bwari, FCT, say that media reports about people who died from consuming dog meat and local gin will not to deter them from doing their business.

The traders spoke in separate interviews with the News Agency of Nigeria (NAN) correspondent on Thursday in Bwari.

The tragedy was said to have happened in Woji Obio/Akpor council area in Rivers State.

One of the dealers, Mr Naboth Zachariah, told NAN he had never received any complaint from his customers since he started the business in 2013.

Zachariah, who hails from Kaduna State, said although the story generated anxiety and apprehension among people in the community, he was bent on continuing with the business.

She, however, advised people to always examine bush meat they buy before consumption, to avoid health complications.

 According to her, such complications often occurred through the consumption of animals that died from poisoning.

 ``Therefore, people need to be cautious before eating them,'' she said.

According to her, the regular demolition of the bush meat spot is the only challenge to the growth of the business in the area.

She, therefore, appealed to the Bwari Area Council authority to build a befitting market where people could legitimately engage in bush meat and dog meat trade, in order to attract fun seekers and promote business growth. 

Ghana to add 1,000 MW of power and end blackouts in 2015: Minister

 

Ghana will add 1,000 megawatts to its power capacity by the end of 2015 and end a series of rolling blackouts.

The country's Minister for Power Kwabena Donkor, told newsmen, that already some power plants are under-construction, repeating a promise to resign if the problem is not resolved by Dec. 31.


Power generation has become a serious political and economic issue in the West African nation due to cuts that frequently last 24 hours, raising the cost of doing business, hampering the economy and angering voters.

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Other power plants are being expanded and the government will also introduce new forms of electricity generation using power barges and gas, he said, adding that the government would increase Ghana's grid capacity from 2,850 megawatts now.


The power cuts are a sign of wider problems facing Ghana, which entered an aid agreement with the International Monetary Fund in April to stabilise an economy grappling with inflation at 16.9 percent, a high debt-to-GDP ratio and sliding currency.

President John Mahama faces reelection in 2016 when he will likely face opposition leader Nana Akufo-Addo. If left unresolved, power generation could become a key issue. Mahama is yet to confirm he will run for what would be a second term.

Ghana generates much of its power from three hydro-electric dams. It also imports natural gas from Nigeria via the West African Pipeline Company.

CBN adjust Naira peg again

The Central Bank of Nigeria has adjusted the exchange rate peg to 196.90 naira against the dollar from the 196.95 set last week.

Data on the bank's website showed on Thursday. Dealers said the central bank had sold dollars to the interbank market at the new rate the previous day, dismissing the move as a currency appreciation as it wasn't market driven, but noted it could signal the coming of a new policy.

The naira opened trade on thin volumes at 198.90 to the dollar on the interbank market. It traded at 220 naira on the black market on Thursday.
The central bank made a tiny adjustment to the exchange rate peg last week, with industry watchers saying the move may indicate that the bank is beginning to think about how to loosen its currency regime.

Last week JPMorgan said it may eject Nigeria from its Government Bond Index (GBI-EM) by the year-end unless Africa's biggest economy restored liquidity to currency markets in a way that allowed foreign investors tracking the benchmark to transact with minimal hurdles.
 
  Meanwhile the country's foreign reserves fell to $29.18 billion by June 9, down 1.65 percent from last month, as the apex bank moved cash to defend the local currency.

EFCC Arraigns Three Russians, Others for Illegal Oil Bunkering

The Economic and Financial Crimes Commission (EFCC), has arraigned 14 foreigners alleged to be involved in illegal oil bunkering and three companies before Justice Ibrahim Buba of the Federal High Court sitting in Lagos State, Nigeria’s commercial city.

The commission revealed the prosecution in a statement signed by its Head, Media & Publicity, Wilson Uwujaren, on Wednesday.

The suspects were charged on a 4-count charge bordering on conspiracy and illegal dealing in petroleum products.

The suspects include three Russians – Pakhladzhian Artur, Kretov Andrey and Shkundich Vasily; three Ukrainians – Laguta Oleksiy, Chepikov Oleksandr and Bilous Vitalli.

Other suspects are eight Filipinos – Cadavis Gerardo, Baduria Benjamin, Regidor Hilarion, Naranjo Allan Antero, Patero Christian, Alkyde Joel, Caratiquit Micheal Bryan, Ciudad Prudencio, Cabanal Anecito, Cabuquin Andres and Podutan Eduardo, with a Georgian – Agbarian Sergoand.

The companies involved are MT Anuket Emerald, Monjasa DMCC, and Glencore Energy UK Limited.
The Nigerian Navy Ship Beecroft intercepted MT Anuket during a routine patrol within Nigerian waters on March 8, on suspicion of illegal oil dealing before handing over the vessel and its crew to the EFCC.
Investigation by the EFCC revealed that the registered owner of the vessel was Combe Shipping Limited and the beneficial owner was Alliance Tankers Incorporated.

The inquiry further exposed that the ship fled Panama Flag with IMO number 9393644 and it was discovered that Monjasa DMCC of Dubai UAE were chatterers of the vessel.

DPR to demolish 150 petrol stations in Akwa Ibom

The Department of Petroleum Resources (DPR),says that it would demolish over 150 illegal petrol stations in Akwa Ibom.  DPR Controller of operations, Asuquo Antai, told newsmen that the stations, which were built on unsuitable sites, had no licence to operate.
He said though some of the station owners have commenced the regularisation of their documents, the development was unhealthy.

Antai advised the marketers to always get appropriate guidelines before going into the business. He said the various fire incidents that occurred in some parts of the country and outside the country were through illegal location of petrol stations.

He commended the government of the state for demolishing stations without town planning authority permission to build in residential areas.

Naira Appreciates in All Forex Market Segments

According to the FDC report, Nigeria is currently faced with “limited options and hard choices” because oil output is dropping as power supply continues to fall.
Amidst the woes bedeviling the economy, it says the Naira is however appreciating.

“The naira has appreciated in all segments of the forex market: N198 at the interbank, N217 at the parallel, and N199 at the International Air Transport Association segment.

“The forex demand at the interbank market is slowly normalising due to the delayed impact of the devaluation and consumer resistance to higher prices at the retail level. Huge payments to oil marketers have increased money supply saturation in the economy.”

The FDC report also forecasts that the recent harmonisation of the Cash Reserve Ratio on public and private sector deposits to 31 per cent by the Central Bank of Nigeria’s Monetary Policy Committee will trigger some reaction in the banking system.

NBS says 469,070 jobs were created in the first quarter of 2015

The National Bureau of Statistics (NBS) has put the total number of jobs created in the first quarter of 2015, at 469, 070 which is an increase of 26.96 per cent (99,585)over the number of jobs in the preceding quarter.

In its Job Creation and Employment Generation Survey, for Q1 2015, released in Abuja, the agency stated that the formal sector, which is predominantly “white collar job”, generated 130,941 new jobs, representing 27.92percent of total jobs generated in the first quarter of 2015.  This shows  a decline of 5.13percent (7,085) when compared to the fourth quarter of 2014.

The report however, stated that the decline in the formal sector jobs often sought after by graduates created in Q1 2015 represents the third straight quarter of consistent reduction in formal sector jobs.

The agency in the report, added that, there was also a 30.5 percent (1,339) increase in the number of jobs created in the public sector of the economy, making it 5,726 new jobs generated in the public sector in the 1st quarter of 2015, the jobs generated in the public sector represents 1.2 percent of the total jobs generated during the reference period.

NEITI wants Buhari to recover N3.8trn revenue from oil firms

The Nigeria Extractive Industries Transparency Initiative on Tuesday urged President Muhammadu Buhari to prioritise the recovery of $19.1bn (about N3.8 trn.) from oil and gas companies operating in the country to provide the required funding for his administration’s economic agenda.

Details of the revenue consists of over $7.5bn from established cases of underpayments, under-assessments of taxes, royalties, rents, etc. revealed by several of NEITI’s independent audit reports since 1999.

The amount also include about $11.6bn, being total outstanding dividends from loans and interest repayments from Federal Government’s investment in the Nigeria Liquefied Natural Gas that was not remitted by the Nigerian National Petroleum Corporation to the government.

The NEITI executive secretary, Zainab Ahmed, was speaking in Abuja at an oil and gas conference convened for experts in the oil and gas industry to articulate an advisory agenda for the new administration’s plan to reform the industry.

Mrs. Ahmed said the vigorous pursuit of the agenda to recover the revenue with all political will and seriousness it deserved would bring enormous benefits to the country, particularly at this time the new administration was in dire need of huge funding to tackle complex problems facing the country.

Criticizing the transfer of eight oil wells sold in 2010 and 2011 by the NNPC to its upstream subsidiary, the Nigeria Petroleum Development Company, the Executive Secretary called for a full investigation, as the whole transaction was not transparent.

State Governments urged to embrace Capital Market for Infrastructural Development

 

State governments have been urged to take advantage of the numerous benefits inherent in the capital market to bring about desired development to Nigerians.

The Director General of Securities and Exchange Commission, SEC, Mounir Gwarzo, who stated this at the ongoing 18th Katsina Trade Fair, in Katsina State, said such advantages can be accessed through equities, bonds or mortgage bond securities.

Represented by Head Kano Zonal office of SEC, Malam Adamu Sambo, Gwarzo, said the Nigerian capital market has the capacity to provide long term funds needed to solve the infrastructural challenges in the country and act as a springboard that would fast track development of their states.

He added that both the federal and state governments in the last dispensation tasted the potential of the market as over N500 billion was raised from the nation's bourse through bonds by various states for infrastructure development between 1999 and 2013.

42 ships laden with fuel, food items to arrive Lagos

Forty-two ships laden with petroleum products, food items and other commodities are expected to arrive Lagos ports from June 10 to June 23, 2015.

This was revealed in the Nigerian Ports Authority (NPA) document, `Shipping Position’ made available to newsmen on Wednesday in Lagos.

According to the publication, Fourteen of the expected ships, will sail in with containers of different goods, nine ships with petroleum products and five ships will come in with fresh fish. It indicated that nine other ships contained general cargo, buck wheat, base oil, bulk urea, bulk clinker, gas and steel products.

The document stated that eight ships were waiting to berth with bulk rice, petrol, diesel, aviation fuel and base oil. 

Reports showed that 23 other ships containing general goods and petroleum products were discharging at the ports.

Igbobi College Old Boys' Association Abuja Gets New Exco

 

 A new set of executive members for the Igbobi College Old Boys Association, Abuja Chapter, were sworn in over the weekend after a successful election.

The mid year meeting had in attendance, Prof Lovett Lawson, MD Zankali Medical Centre, Hon. Uche Okpono, Jonathan Robson, Dr Shola Odunsanya Md Biotech Farms, amongst others.

The ICOBA President, Jide Coker, in his acceptance address, thanked the outgone executives led by Prof Lawson, and promise to move the organization to a higher level, while identifying and implementing the ideas of the founding fathers of the group.