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Financial Literacy

Articles and analysis on Financial Literacy from a Nigerian perspective

Here are questions and answers from our Everyday Money Matters radio show held yesterday. Everyday Money Matters holds every Wednesday from 7.30am-8.00am on Lagos Talks 91.3 FM. Question: Ayo just got a job as a salesman for a company that sells solar inverters. He wants to know if it has...
Stamp Duties are taxes paid to the Federal or State Government on documents such as Conveyances on sale, Bills of Exchange, Promissory notes, Agreements, Contracts, or even documents such as Letters and certificates of admission, Instruments of Apprenticeship, Insurance Policies etc. Any written document that is not stamped is not...
The National Bureau of Statistics announced on Tuesday that Nigeria has now exited from recession. This is after a real GDP growth rate of 0.5% in the second quarter of 2017. In this article, we will attempt to explain what this means to you as an ordinary Nigerian. What is...
The need for internal controls in exercise of compliance with the codes of good corporate governance cannot be over emphasized as one integral aspect of these controls is financial oversight. It is pertinent however, to determine reasons for audit engagement before involving in one as there are various types and...
Definition Mark-to-market is defined as an accounting tool used to record the value of an asset with respect to its current market price – The market price refers to the price at which the asset is trading at in a public exchange. The MTM can change the value on either side...
The Central Bank of Nigeria (CBN), Securities and Exchange Commission and other regulators have continually warned against the acquisition of cryptocurrencies by Nigerians over their alleged risky nature. For those who did not heed those warnings, many are swimming in millions of Naira if not dollars now, considering the...
Everyday Money Matters is live on @lagostalks913 every Wednesday between 7.30am. On the show, we give answers to questions from our listeners and those sent to us. Here are the questions we treated in today's edition. Question Tolu wants to know if SwissGolden is a ponzi scheme Answer There is a red flag on...
As a retail investor, there are times where you will have to rely to financial advice or tips to decide whether to buy, sell or hold a stock. Knowing which advice is in your best interest is critical to helping you make the right decision. This is even made more...
The Lagos State Internal Revenue Service (LIRS) recently issued a public notice to all employers, company owners and their representatives, employees, high net worth individuals and other members of the public to clarify the definition of reasonable removal expenses for the purpose of tax exemption. LIRS cited Section 4(3)(c)...
Today, there’s almost an app for everything. Games, fashion, modelling, you get apps that claim to help you in one way or the other. That is one advantage that comes with the digitization of services worldwide, especially over the Internet. In Nigeria, the craze has caught on as well...
In continuation of the previous article published on government policies that affect SMEs, we will be exploring another key policy. Another important economic policy that you need to be aware of is the monetary policy. This will help you position your business in a way that harnesses its benefits towards...
Introduction Yesterday (17 August 2017), Nigeria became a signatory to two major international multilateral instruments to address tax avoidance and evasion. These are the OECD’s Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (“Multilateral Instrument” or “MLI”) and the Multilateral Competent Authority...
Despite the fact that Nigeria has been in recession since August last year due to lowered global prices, decrease in oil production and poor state of refineries; a report by the Central Bank of Nigeria has revealed that Nigeria’s foreign exchange reserve has increased by 4.17%. According to the report,...
Every business operates within an economic environment and are therefore susceptible to the changes that takes place in the economic policies overtime. This makes it highly important for businesses to be informed on various ways these policies affect their sales, profitability and overall objectives. Although, government policies may come in different...
The economic recession that the country a little over a year ago has made many to ‘sit up’ as it were when it comes to how they handle their finances. Many had to drastically change their lifestyles with some having to suffer emotional and health problems as a result....
Today makes it three days since payday and if you are like most people, you know the same pattern concerning your finances is going to repeat itself again this month. In just a couple of weeks (or even days perhaps), you will have less in the bank than you...
The Central Bank of Nigeria has lofty goals heading towards 2020 According to the governing body’s National Financial Inclusion Strategy (NFIS) - a document outlining the government’s agenda to enhance financial inclusion in Nigeria - they intend to decrease the number of Nigerians that are excluded from financial services from...
Nigeria’s economy is growing rapidly. In recent times, there has been keen interest from the international sphere in its emerging markets. These days and in relatively every field we have returnees from diaspora seeking to take advantage of the available growth opportunities. Until recently, the international market was drawn...
Though the world may be going gaga about bitcoin and cryptocurrencies, in Nigeria, its price is beyond the reach of the average investor. One bitcoin is about N1.1 million. 0.1 bitcoin is a N100,000 still quite expensive. There however several lesser known but equally valuable coins. They are known as...
Given the current situation of things in the country, everyone is looking for extra ways to make more money for themselves. The Nigerian stereotype, however, means that the first point of call for most people is starting up a new business from the scratch, the entrepreneur style. Unfortunately, as attested...
The Nigerian Stock market has returned over 35% year to date and is the toast of both foreign and local investors. In a bullish market, virtually all stocks increase in price, even those without fundamentals.  Investors should choose shares they buy wisely and experts have often suggested that one...
Money laundering is the process of making money obtained from illegitimate means appear to have been earned in legally. It can also be defined as the conversion of criminal (dirty) money to legitimate (clean) money. Thais implies that before money laundering can take place, an offence must have been...
If you are new to bonds and the bond market then these 20 terms should quickly get you up to speed. Auction This is the mechanism through which the primary issue of government securities occurs. Bids are invited for a particular issue from primary dealers and the general public...
This article is written to help explain the confusion that arises with the characterization of inflation rate as a rise of fall. Whenever the National Bureau of Statistics releases its headline inflation rate news outlets often report it in ways that confuse the message to the ordinary Nigerian. For example,...
There are many Nigerians who are interested in participating in the stock market, trading shares and making profits. For many, though, their inability to understand even basic terms in the investment world serves as a deterrent. While most shy away for this reason, others who are bold enough to...
In fixed income markets, traders think of bonds in terms of clean and dirty prices, and this is how bond prices are quoted. Clean Price Clean Price of a Bond is the present value of the bond’s future cashflows minus the interest earned on the bond between the last payment date...
Emerging Markets An emerging market economy is a nation’s economy that is investing in more productive capacity and are progressing toward becoming advanced, as shown by some liquidity in local debt and equity markets, and the existence of some form of market exchange and regulatory body. Some emerging markets have some...
The tough economic situation in the country has impacted on the private sector so much that laying people off is now so common that it could form a section in many newspapers. The chances of getting new jobs are becoming very slim as many of these companies are packing...
  Often times, we wonder what the Monetary Policy Committee (MPC) does, who makes up the committee, and how the outcome of its quarterly economic review meetings affect you. We will address these questions in this short article. The Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) is...