NAIRAMETRICS BUSINESS & ECONOMY
Adeosun Wants Credit for Any Economic Growth Nigeria Enjoys – Nairametrics| The Minister of Finance, Kemi Adeosun, has said that it is the ‘right policies’ implemented by the FG that will pull Nigeria out of the recession and not the activities of the Organization of Petroleum Exporting Countries, OPEC. Source Nairametrics Read More
Federal Government Is Making Cooking Gas More Expensive – Nairametrics|The poor state of Nigeria’s port facilities is responsible for the high cost of cooking gas. A representative of the Nigeria Liquefied Natural Gas (NLNG) stated this at an event in Lagos. Lagos ports are the only one capable of discharging the gas from large ships, after which it is distributed to other parts of the country. Source Nairametrics Read More
‘President Buhari is dying in Aso Rock’ – A popular columnists and convener of Every Nigerian Do Something, ENDS, Perry Brimah has said on Friday in a statement that President Muhammadu Buhari is dying in Aso Rock, while people are compasionless about it. Source Vanguard Read More
Nigeria has unacceptably low level of non-oil revenue – Adeosun – The Minister of Finance, Mrs Kemi Adeosun, has advised Nigerians to focus on non-oil revenue growth, tax compliance and budget transparency to drive economic development in the country. Source Punch Read More
Nigeria can export tomato paste in 18 months — APEMAN – The Agricultural Products and Equipment Manufacturers in Nigeria has stated that in 18 months, with the support of the Federal Government and effective implementation of the ban on importation of tomato paste, Nigeria will be able to produce enough tomato paste for local consumption and export. Source Punch Read More
Lagos’ fifth top destination of Fortune 500 companies – Lagos is the fifth leading destination of Fortune 500 companies within the Middle East and Africa (MEA), a new report by Infomineo, a global business research company specialising in the region, has said. Source The Nation Read More
Fayemi briefs Buhari on $150m W’Bank mining loan – The Minister of Solid Mineral Development, Dr. Kayode Fayemi, on Thursday informed President Muhammadu Buhari of the $150m loan approved by the World Bank for the country’s mining sector. Source Punch Read More
Adeosun, G24 discuss tax revenue, compliance – Finance Minister, Kemi Adeosun has discussed with fellow finance ministers in the G24 Group on ways to boost tax revenues and compliance to drive sustainable economic development. Source The Nation Read More
We’ll begin construction of three new general hospitals this year- Ambode – Lagos State Governor, Mr. Akinwunmi Ambode on Friday said that plans are already underway to commence construction of three new ultra modern General Hospitals in the State this year to improve healthcare delivery in the State. Source Vanguard Read More
CBN to sanction banks denying forex access to SMEs – The Central Bank (CBN) threatened on Friday to sanction banks denying Small and Medium Enterprises (SMEs) access to foreign exchange (Forex) from the newly instituted SMEs Forex Window. Source The Nation Read More
Foreign donors dump expired products on religious bodies, NGOs –NAFDAC – The National Agency for Food and Drug Administration and Control has raised the alarm that faith-based and charitable organisations in the country are victims of unscrupulous foreign donors who dump expired or banned products on them in the name of donations. Source Punch Read More
Fed Govt approves 48hr for import, export trade deals timeline – The Federal Government has approved the reduction of documentation requirements and timeline for import and export trade transactions to 48 hours. Source The Nation Read More
Federal Govt to issue more international bonds – The Federal Government plans to get out of recession by boosting revenue and cracking down on corruption, Finance Minister Mrs. Kemi Adeosun said yesterday. The government will also issue more international debt to pay for infrasturcture projects. Source The Nation Read More
Diaspora remittances to Nigeria, other developing countries decline in 2 years – World Bank – Remittances to developing countries fell for a second consecutive year in 2016, a trend not seen in three decades, says the latest edition of the Migration and Development Brief. Source Premium Times Read More
GenCos can produce 12,000mw ‘but Nigerians can’t get more than 4,600mw’ – The association of power generation companies (APGC) says Nigerians can not enjoy more than 4,600MW of electricity despite its capacity to produce 12,000MW. Source The Cable Read More
Buhari confirms Saleh Dunoma as MD of FAAN – The Federal Government of Nigeria has confirmed Saleh Dunoma as the Managing Director of the Federal Airports Authority of Nigeria. Source Premium Times Read More
Cheque transaction value hits N1.45trn in Q’1 – Nationwide usage of cheque for banking and other financial transactions in Nigeria is valued at N1.45 trillion in the first quarter of this year. Source Daily Trust Read More
Cashless Policy: CBN suspends bank charges for deposits and withdrawals – Nairametrics| The Central Bank of Nigeria released a circular BPS/DIR/GEN/CIR/04/004 suspending its most recent withdrawal and deposit processing fee policy that came into effect 1st April 2017 in Lagos, Ogun, Kano, Abia, Anambra, Rivers, and FCT. It requires that the banks revert back to the old charges of 3% processing fee for withdrawals and no processing charges for lodgements. Source Nairametrics Read More
This Timeline Shows All EFCC Recoveries Since October 2016 And Their Worth – Nairametrics| One of the most controversial agencies during the present Buhari administration is the Economic and Financial Crimes Commission (EFCC). From the outset of the administration, it was obvious that the President was relying heavily on the agency to carry out his anti-corruption war. Since then, the EFCC has been more active than ever before, claiming to make several recoveries. Source Nairametrics Read More
Nigeria LNG puts up May cargo in sell tender-trade sources – Nigeria Liquefied Natural Gas (LNG), the country’s sole LNG producer, has launched a tender offering a May shipment on a free-on-board basis, trade sources said. Source Reuters Read More
Why MTN Nigeria Recharge Card Sellers Jacked Prices Up – Nairametrics| The last two years have been difficult for MTN Nigeria. From the N1.04 trillion (later reduced to N330 billion) fine slammed on it in 2015 by the Nigerian Communications Commission (NCC) in 2015 for not disconnecting unregistered subscribers, to macro economic challenges in Nigeria, the telecoms firm is not having it easy. Source Nairametrics Read More
Crony Capitalism: Is Erisco Foods Overly Dependent On Government? – Nairametrics| The ban on import of tomato paste and increase in tariff for tomato concentrate has started yielding positive benefit as Ericson foods has decided to expand its operations. While the expansion will create jobs in a country with millions of unemployed youths and increase the revenue that will accrue to the government through taxes, the company depending on government to survive smacks of crony capitalism. Source Nairametrics Read More
Two Air Peace planes collide at Lagos airport – Two aircraft belonging to Air Peace on Thursday had a ground collision, when one of the planes was being towed to position for take-off at the Murtala Muhammed Airport, Lagos. Source Punch Read More
Housing fund contributions rise to N43bn from N13bn – Contributions to the National Housing Fund have increased by over 300 per cent in the past one year, the Federal Mortgage Bank of Nigeria has said. Source Punch Read More
NNPC diversifies into health sector – The Nigerian National Petroleum Corporation on Thursday announced its readiness to diversify into the health sector. Source Punch Read More
ALERT: Nigerian Breweries Posts N11 billion Profit (2017 3Months) – Nigerian Breweries today released condensed interim Financial Statements for the three months period ended 31 March 2017 Source Nairametrics Read More
Suspended NIA DG, Oke, admits Jonathan ordered release of $289m – The suspended Director-General of the National Intelligence Agency, Amb. Ayodele Oke, has met with Vice-President Yemi Osinbajo, where he admitted that his agency received the sum of $289,202,382 on the orders of former President Goodluck Jonathan in February 2015. Source Punch Read More
FG postpones annual retreat of SGF, SSGs indefinitely – The Federal Government has postponed 2017 retreat for the Secretary to the Government of the Federation and Secretaries to State Governments indefinitely. Source The Nation Read More
How to access new CBN’s Agric fund
Each non-interest deposit Bank to set aside 5% of its PAT annually as contribution to the Fund.
The Central Bank of Nigeria (CBN) has unveiled guidelines for a Non-Interest Financial Institutions under its Agri-Business, Small and Medium Enterprise Investment Scheme (AGSMEIS) and Micro, Small and Medium Enterprises Development Fund (MSMEDF).
This was disclosed by the apex bank via its website on Tuesday. The guidelines also included the Accelerated Agricultural Development Scheme (AADS) and seven other intervention schemes in its bouquet.
How the AGSMEIS works
* The CBN would create a Fund to be known as ‘AGSMEIS Non-Interest Fund’ that will be domiciled in a dedicated account with the apex bank.
* Each non-interest deposit Bank (full-fledged or window) was to set aside 5% of its Profit After Tax (PAT) annually as contribution to the Fund.
* Each non-interest Deposit Bank was also to transfer its contribution to the CBN not later than 10 working days after the Annual General Meeting (AGM) of the participating bank.
* Eligible activities under the Scheme are businesses across the agricultural value chain, covering production, inputs supply, storage, processing, logistics and marketing.
* Others included MSMEs in the real sector including manufacturing, ICT, mining, petrochemicals and the creative industry as well as other activities as the CBN may determine from time to time.
How to access fund
The application of the Fund shall be categorised into three broad components. They are debt, equity and developmental components.
• The debt component shall constitute 50% of the fund which shall be disbursed as financings to eligible businesses through Non-Interest Deposit Money Banks.
*Asset purchased shall be registered with the National Collateral Registry (NCR).
* Financing limit: N10,000,000
* Mark-up: 5% per annum
* Tenor: Up to 7 years (depending on the nature/gestation period of the
* Moratorium: Maximum of 18 months for principal and 6 months on mark-up.
* Duly completed application form.
* Bank Verification Number (BVN).
* Certificate of Training from recognised Entrepreneurship Development Institution (EDI) or evidence of membership of organised private sector association.
* Letter of Introduction from any of the following: Clergy, Village Head, District Head, Traditional Ruler, senior civil servant etc (for individuals, microenterprises only).
* Evidence of registration of business name or certificate of incorporation and filing of annual returns (where applicable) in compliance with the provisions of the Companies and Allied Matters Act (1990).
Last month, the CBN announced that it has unveiled a framework that will integrate a non-interest window in all its intervention programmes aimed at supporting businesses and households that have been impacted negatively by the COVID-19 pandemic.
In a statement, the apex bank said the integration will focus mainly on its Anchor Borrowers’ Programme (ABP) as well as the Targeted Credit Facility (TCF).
Why it matters: The Scheme will be for start-ups, business expansion or revival of ailing companies and shall be in compliance with provisions of BOFIA (1991) as amended and the principles underpinning operations of NIFIs.
“The MSMEDF for NIFIs guidelines are aimed to channel low return funds to the MSME sub-sector of the Nigerian economy through participating Financial Institutions (PFIs) to enhance access by MSMEs to financial services.
“Similarly, the non-interest guidelines for the AADS are aimed at engaging a minimum of 370,000 youths in agricultural production across the country between now and 2023, in order to reduce unemployment among the youth in the country,” it added.
While the specific objectives of the MSMEDF for NIFIs are to increase the productivity and output of microenterprises, job creation and engender inclusive growth, those of the AADS are to increase agricultural production towards food security, job creation and economic diversification.
* It is targeted at Nigerian youth between 18 and 35 years, seek to promote interaction among state governments, the CBN and other stakeholders in the agricultural value chain in each state.
* To enhance job creation in the agricultural sector, with focus on two crops where States have comparative advantage.
* Others were the Real Sector Support Facility (RSSF) revised guidelines (V3); the Real Sector Support Facility (RSSF) among others.
CBN to hold MPC meeting on July 20
Apex bank to hold its 274th Monetary Policy Committee meeting on Monday, July 20, 2020.
The Central Bank of Nigeria has announced that it would hold its 274th meeting of the Monetary Policy Committee (MPC) on Monday, July 20, 2020.
This was disclosed in a statement issued by the apex bank and published on its website.
It stated, “The 274th Meeting of the Monetary Policy Committee (MPC) is scheduled to hold in Monday, July 20, 2020 by 8:00pm at the CBN’s Corporate Headquarters, Abuja.”
Last May, the MPC had reduced the Monetary Policy Rate (MPR) from 13.50% to 12.50%.
Governor, CBN, Godwin Emefiele, disclosed this while reading the communique at the end of the MPC meeting in Abuja.
Meanwhile, other parameters such as the Cash Reserve Ratio (CRR) remained at 27.5%, Liquidity ratio at 30%.
Highlights of the Committee’s decision
* MPC cuts MPR by 100 basis points to 12.50%
*CRR stood at 27.5%
*The Liquidity Ratio was also kept at 30%
Why it matters: The Committee is the highest policy-making committee of the Bank with the following mandate:
* Review economic and financial conditions in the economy.
* Determine appropriate stance of policy in the short to medium term.
* Review regularly, the CBN monetary policy framework and adopt changes when necessary.
* Also communicate monetary/financial policy decisions effectively to the public and ensure the credibility of the model of transmission mechanism of monetary policy.
Crypto: LINK price hits all-time high, passing $8
LINK has been one of the biggest winners, reaching a new all-time high at $8.33
As altcoin prices surge, LINK has emerged as one of the biggest winners. Data obtained from Glassnode, a crypto analytic data firm, showed that liquidity pouring into the fast-growing crypto asset has hit all-time high. Note that this is not just in terms of price, but also in terms of on-chain adoption.
Amongst the altcoin surge of the past week, LINK has been one of the biggest winners, reaching a new all-time high at $8.33 yesterday, although currently sitting at around $7.30.
Just recently, LINK exchange deposits spiked again bringing net flow back into the positive numbers, as more LINK flows to exchanges.
As altcoin prices surge, $LINK has emerged as one of the biggest winners.
With liquidity pouring into the asset, it is hitting all-time highs not just in terms of price, but also on-chain metrics.
Read more in our latest Glassnode Insights 👇https://t.co/LVpDlevXBp
— glassnode (@glassnode) July 14, 2020
Crypto behaviour analytics platform, Santiment, in it feeds detailed that its on-chain volume, along with social volume and daily active addresses, is a “great triple thread to track.” These macros help track whether a given crypto asset is poised to continue its bullish momentum, and in LINK’s case it shows the momentum is still on
LINK is continuing to see sky-high daily active addresses, indicating just how active the network has been. The four highest outputs in network activity over the past year for Chainlink have occurred in the past six days.
$LINK is continuing to see sky-high daily active addresses, indicating just how active the network has been. The four highest outputs in network activity over the past year for #Chainlink have occurred in the past six days. https://t.co/9Vn1WSNKjX pic.twitter.com/1xVMVgfWAV
— Santiment (@santimentfeed) July 10, 2020
Chainlink is a blockchain that is designed to bridge the space between blockchain technology-based smart contracts (created by ETH), and other user programs. Since blockchains by principle can’t have access to data outside their path or network, a defi instrument is needed to facilitate data feeds in smart contracts making chainlink helping to solve such need.
Among the leading 20 cryptocurrencies in market capitalization, it is the only one in this space we view as the only top-20 token with a broad, adaptable business application that is easily explained to an average person: ChainLink is the first successful Blockchain application to interact with the outside world.