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Nigeria says working hard to resolve gasoline crisis

In a chat with Nigerians from all walks of life on Sunday evening during the stopover, the Vice President noted that the Federal Government was moving as quickly as it could to solve the fuel crisis and reduce the difficulties Nigerians were facing as a result.

How Jonathan’s officials, cousin shared 27bln proceeds of PHCN sale -EFCC

The Economic and Financial Crimes Commission (EFCC) has narrated how top government officials under the administration of former president Goodluck Jonathan shared 27 billion, part of the proceeds of the sale of Power Holding Company of Nigeria (PHCN) in 2014.

- Nigeria unemployment rate climbs up

Four out of every ten people in Nigeria's workforce were unemployed or underemployed by the end of September, National Bureau of Statistics (NBS) said on Friday.

Why is Jerusalem important, what makes Donald Trump's intervention so toxic

What is the status of Jerusalem? Israel set up its parliament in West Jerusalem when the state of Israel was proclaimed in 1948. The move followed the United Nations’ vote to partition Palestine on the basis of the British pledge known as the Balfour Declaration that paved the way for a homeland for the Jewish people.

- Nigeria's dollar reserves at $34.53 bln as of Nov. 24

Nigeria’s foreign exchange reserves stood at $34.53 billion as of Nov. 24, up nearly 3 percent from a month earlier, central bank data showed on Thursday. The bank did not provide a reason for the increase in reserves, which stood at $33.58 billion at the same date last month.

Thursday 31 August 2017

Nigeria dollar reserves at 2-1/2 year high of $31.6 bln -cenbank

Nigeria’s foreign exchange reserves stood at a two and a half-year high of $31.59 billion as of Aug. 18, central bank data showed on Thursday.Image result for US Dollars
Nigeria’s dollar reserves have climbed back to a level they last reached in January 2015, the data showed, shortly before general elections in Africa’s biggest economy.
The bank did not provide a reason for the increase in reserves.
Nigerian assets, largely shunned by foreign investors over the past three years, have attracted significant amounts of capital after the central bank in April liberalised the exchange rate for investors.
Nigeria’s forex buffer stood at $25.73 billion, up 20.77 percent from a year ago, but is still far off a peak of $64 billion hit in August 2008.

Wednesday 30 August 2017

Allianz buys Nigerian insurer for $35 mln

Germany's Allianz plans to pay $35 million for 98 percent stake in Nigerian insurer Ensure Insurance in a push for growth in Africa, where many people are uninsured.
Foreign insurers are banking on growing premiums as the continent develops its infrastructure and a consumer class demands protection from risk.Image result for Germany Allianz
Allianz said that it would acquire the stake from UK-based holding company Greenoaks Global Holdings. Ensure Insurance offers life and non-life cover to businesses and retail clients and generated 11 million euros ($13 million) in gross premiums last year.
The Allianz group has operations in 16 African countries and views the Ensure acquisition as an opportunity to tap into Nigeria's strong demographics and economy.
"The transaction gives Allianz access to the fifth-largest insurance market in Africa and is in line with our strategy to capture long-term growth opportunities on the continent," said Allianz Africa spokeswoman Bettina Sattler.
"It is also a market with significant entry barriers, which is another reason why this acquisition is a great opportunity for us. Entering Nigeria with a team that knows the market was essential for us."
Allianz expects the acquisition to close this year and said it intends to retain Ensure's management team.
The german insurer plans to focus on property and casualty insurance, particulary underwriting industrial and speciality risk in the energy sector as well a large complex risks such as infrastructure.
"In the past two years, we have been quite visible in Nigeria, sharing our risk-management expertise in power, oil and gas, as well as cyber insurance," Sattler said.
"Now that we have a company locally ... the retail sector is another growth sector for us."
Allianz follows British insurer Prudential which last month bought a majority stake in Nigeria's Zenith Life to gain access to the African country's fast-growing insurance market.
South African insurer Liberty Holdings, which bought remaining shares it didn't already own in Nigeria's Total Health Trust in August 2015, said in February that it would acquire a 75 percent stake in an unidentified Nigerian long-term insurer for 160 million rand ($12 million).
France's AXA acquired Nigeria's fourth-largest insurer Mansard Insurance three years ago.
© Reuters News

Trump attacking freedom of the press - UN rights boss

U.S. President Donald Trump's criticism of journalists amounts to an attack on the freedom of the press and could provoke violence against reporters, the United Nations' human rights chief said on Wednesday.
Zeid Ra'ad al-Hussein said Trump had also made worrying remarks about women, Mexicans and Muslims and went on to question the president's approach to immigration and decision to pardon former Arizona lawman Joe Arpaio.The president and first lady flew to Texas today to survey some of the damage as the Trump campaign pointed supporters to three charities that helped people and four charities that would help the animal victims of Hurricane Harvey 
There was no immediate response from the White House on the wide-ranging rebuke of Trump's repeated references to the "fake media" and some of his other statements and decisions.
"It's really quite amazing when you think that freedom of the press, not only sort of a cornerstone of the U.S. Constitution but very much something that the United States defended over the years is now itself under attack from the President," the U.N. High Commissioner for Human Rights said.
"It's sort of a stunning turnaround. And ultimately the sequence is a dangerous one," he told a news conference in Geneva.
Referring to the New York Times, Washington Post and CNN, he added: "To call these news organisations 'fake' does tremendous damage and to refer to individual journalists in this way, I have to ask the question is this not an incitement for others to attack journalists?"
Zeid voiced concern that a journalist from the Guardian had been "assaulted in the United States most recently" but gave no details.
Trump rounded on journalists last week, calling them "truly dishonest people" and criticising their coverage of a white supremacist-organized rally in Virginia and the political fallout from his comments that violence there was caused by "many sides".
"TABOO BREAKER"
Nazi salutes, swastikas, anti-Semitic slurs and racist references to African-Americans had "no place in the United States or beyond", Zeid said, in his first comments on the events in Charlottesville.
Trump has also made worrying remarks about women, Mexicans and Muslims, "mocked a person with disabilities publicly" and issued a directive on a transgender ban in the military, he said.
"The President prides himself as a taboo breaker, indeed his supporters see him as such. But at the time I expressed my feeling that this was grossly irresponsible, because it has consequences, it emboldens those who may think similarly to sharpen their assaults on these communities," he said.
Zeid voiced deep concern at Trump's pardon of Arpaio, who was convicted of criminal contempt in a racial profiling case that highlighted tensions over immigration policy.
"Does the President support racial profiling, of Latinos in particular, does he support abuse of prisoners? Arpaio referred at one stage to the open-air prison that he set up as a concentration camp, he later recanted said it was a joke," Zeid said. "Does the president support this? These actions have consequences."
Zeid, comparing the leadership role of a U.S. president to a bus driver, said: "I almost feel that the President is driving the bus of humanity and we're careening down a mountain path.
"And in taking these measures, at least from a human rights perspective, it seems to be reckless driving."
(C) Reuters News

South African watchdog ends talks with banks over forex probe

South Africa will no longer do deals with banks offering to cooperate in a case into alleged rigging of the rand, the head of the Competition Commission said on Wednesday, a blow to some banks that had discreetly approached the watchdog for a settlement.Image result for Jacob Zuma
The Commission concluded an investigation in February into whether banks colluded to coordinate their trading actives when giving quotes to customers who were buying or selling currencies.
It recommended fines amounting to 10 percent of the more than a dozen local and foreign banks' South African revenues in a scandal that has piled political pressure on local banks.
"Some banks have approached us discreetly to discuss a settlement. We are no longer interested in those discussions," Commissioner Tembinkosi Bonakele a news conference.
Bonakele declined to name the banks that have approached his office to settle the case.
The Commission launched the investigation in April 2015, joining a global clamp down that has led to big banks being fined around $10 billion in total for rigging interest rate and forex benchmarks.
It referred the case to the Competition Tribunal, which adjudicates on anti-trust matters.
So far none of the 17 banks named in the investigation has pleaded to the merits of the case.
Some banks have raised objections about the lack of specific details in the case to allow their lawyers to present a defence while others questioned whether the Commission can prosecute banks with no branches in South Africa.
"This case was referred in February. To date, no bank has answered on the merits of the case. I don't know if there's hope that somehow this is going to go away," Bonakele said. "This may take years. We have the patience for this. What we want is an answer as to what happened to trading desks of these banks."
Barclays Africa Group, a regional unit of Barclays Plc, has been granted conditional immunity from prosecution in return for its cooperation in the investigation while the local arm of Citigroup was handed a reduced fine of $5 million for agreeing to cooperate.
© Reuters News

Ivory Coast sold forward 1.32 mln T of cocoa by Aug. 25

Ivory Coast sold forward 1.32 million tonnes of its 2017/18 cocoa crop by Aug. 25, already hitting its upper limit on advance sales because of an expected drop in output, two sources from the Coffee and Cocoa Council (CCC) said on Wednesday. Image result for Cocoa
The world's top grower is on course for a record harvest this season, with traders and exporters predicting production of 2 million tonnes or more. But most observers expect a dip in output in the upcoming season, which opens in early October.
The CCC sells forward 70-80 percent of the crop ahead of each season to set a guaranteed price for farmers.
"We hit 1.32 million tonnes on Aug. 25 and, according to our production forecasts for the next harvest, that's the maximum we can sell. So we'll stop sales at the end of the month," one CCC source told Reuters.
The marketing board expects output of about 1.3 million tonnes of beans during the forthcoming October-to-March main crop, down from about 1.535 million tonnes this season, the official and a second CCC source said.
They blamed the decline on cool weather and heavy rainfall that has damaged the setting for the 2017/18 crop since July.
The CCC will also roll over into next season about 80,000 tonnes of 2016/17 export contracts that were not executed because of quality and pricing issues, the two officials said.
© Reuters News

Nigerian president chairs first cabinet meeting since return from medical leave

Nigeria's President Muhammadu Buhari on Wednesday chaired his first cabinet meeting since returning from sick leave in Britain this month.Image result for President Buhari
Buhari returned to Nigeria on Aug. 19 after more than three months in London for treatment for an undisclosed ailment.
He has kept a low profile and last week canceled a cabinet meeting, raising concerns that the president, criticised for inertia by his opponents, was returning to his former ways when he worked from home and missed weekly cabinet meetings.
The refusal to disclose details of Buhari's illness has caused speculation about whether the 74-year-old is well enough to run Africa's most populous country and biggest economy.
He had reduced his working day to a few hours after returning to Nigeria from his first stint of medical leave in Britain on March 10, diplomats and government sources said at the time.
Since his return, this month, Buhari's office has been releasing a flurry of photos and statements from the president's engagements, like meetings with his vice president, heads of the military and economic ministers and the central bank.
© Reuters News

Germany's Allianz buys into Nigeria's Ensure Insurance Plc in African push

Germany's Allianz said on Wednesday it is buying control of Nigerian insurer Ensure Insurance Plc in a push for growth in Africa, where many people are uninsured.
Foreign insurers are banking on growing premiums as the continent develops its infrastructure and a consumer class demands protection from risk.Image result for Germany's Allianz
Allianz said in a statement that it would acquire a 98 percent stake in Ensure Insurance from UK-based holding company Greenoaks Global Holdings. It did not disclose the acquisition value.
Ensure Insurance offers life and non-life insurance to businesses and retail clients. It generated 11 million euros ($13 million) in gross premiums written in 2016.
Allianz Group has operations in 17 African countries.
"The acquisition of Ensure Insurance Plc gives us full access to this key insurance market in Africa and marks a major milestone for Allianz's long-term growth strategy on the continent," said Coenraad Vrolijk, Allianz's regional CEO Africa.
Allianz expects the acquisition to close later this year.
Allianz follows British insurer Prudential which last month bought a majority stake in Nigeria's Zenith Life to gain access to the African country's fast-growing insurance market. South African insurer Liberty Holdings, which bought remaining shares it didn't already own in Nigeria's Total Health Trust in August 2015, said in February it would acquire a 75 percent stake in an unidentified Nigerian long-term insurer for 160 million rand ($12 million).
France's AXA acquired Nigeria's fourth-largest insurer Mansard Insurance three years ago.
© Reuters News

Why I am ending my marriage to Ooni of Ife - Olori Wuraola

Olori Wuraola Ogunwusi has announced that her marriage to Oba Adeyeye Ogunwusi, the Ooni of Ife, is over.
The queen who has reverted to her maiden name Zaynab-Otiti Obanor says she was never unfaithful to the monarch despite reports suggesting so.Olori Wuraola1
In a statement posted on Instagram on Wednesday, she wrote: “We have got to stop this culture of shaming and vilifying women with false stories of infidelity & nefarious behavior. The spreading of false information (through “sources” afraid to be identified) is the mark of cowards and a cover up for guilty parties to justify their horrific actions.
“There is absolutely no truth to the media circulated lies of infidelity and infertility- on my end. What I can confirm, is that the Ooni and I are no more.
“I inhale love & exhale gratitude. My journey continues as a Humanitarian aiding woman and victims of domestic violence & abuse with the United Nations. No matter how much time you’ve invested, no matter the use of media to silence & manipulate, no matter the circumstance, slander, embarrassment, threats, and lies: Get out and seek immediate help!
“We’ve seen this movie before. Women being dragged in the press & blamed for everything under the sun. This behavior is unacceptable. I urge those involved to be mindful of their actions for the eyes of our Almighty God are always watching. The seeds of slander is cancer that harvests to eat away the souls of the planter.”
“{The throne is sacred and the attempts to tarnish the name of a Queen, in defense or on behalf of a silent King makes all involved look terrible. Remain dignified in all you do. It’s not the end of the world, but the start of a new chapter and you must turn the page with grace. The world is watching.
“As I bid adieu to this chapter, my wish to you all is to step into your lives – boldly & fearlessly, the way God intended and live not just by words, but through example. The best chapter in our lives is the one we are writing now. Thank you for your love and support.”
The statement was signed with “Her Highness, Zaynab Otiti Obanor”.
The royal union lasted only 17 months.
* Culled from thecable.ng

Tuesday 29 August 2017

London cocoa slips from early peak, raw sugar weakens

London cocoa futures rose to the highest level in almost three weeks on Tuesday before gains were eroded as a short-covering rally ran out of steam.
Prices had risen early to reflect gains in New York cocoa on Monday, when London-based contracts had been shut for a British public holiday.Image result for Cocoa
COCOA
* December London cocoa was up 12 pounds, or 0.8 percent, at 1,540 pounds a tonne by 1320 GMT after peaking at 1,574 pounds in early trade, the highest for the second position since Aug. 10.
* "London seems to be playing catch-up after New York gains (on Monday), which seem to have been sponsored by an increase in the U.S. spec (short) position," one dealer said.
* The speculative net short position in New York and London cocoa rose substantially in the week to Aug. 22, according to U.S. government and exchange data.
* Dealers said the scope for further gains may be limited with no clear justification on fundamentals for a significant rise in prices.
* Abundant rain mixed with sunny spells last week in most of Ivory Coast's main cocoa-growing regions boosted prospects for the upcoming main crop in the world's top producer, farmers said on Monday.
* December New York cocoa fell $41, or 2.1 percent, to $1,956 a tonne.
SUGAR
* October raw sugar was down 0.12 cent, or 0.8 percent, at 14.19 cents per lb. The front month had peaked at 14.35 cents on Monday, its highest since Aug. 4.
* Dealers said the recent run-up in prices had been fuelled by fund short-covering while producer selling had helped to stall the advance.
* "Producers have been waiting for this short-covering and are already taking advantage of it on a scale-up basis," said Sucden Financial senior trader Nick Penney in a market note.
* October white sugar rose $2.80, or 0.7 percent, to $387.50 a tonne, reflecting gains in raws on Monday when London-based markets were shut.
COFFEE
* November robusta coffee fell $5, or 0.2 percent, to $2,107 per tonne as the market consolidated after a sharp rise in prices late last week.
* Dealers said the market was underpinned by a fall in exports from top robusta producer Vietnam.
* Coffee exports from Vietnam will drop an estimated 19.4 percent in the first eight months from the same period last year, the General Statistics Office said on Tuesday.
* "Lower coffee supplies from Vietnam and Brazil have been supportive to coffee prices," ING said in a market note.
* December arabica coffee fell 1.35 cents, or 1.0 percent, to $1.30 per lb.

How a kidnap suspect used victim's organs to make pepper soup

Operatives of the Rivers State Police Command have arrested a member of a notorious gang, one Roland Peter, who allegedly kidnapped one Pastor Samuel Okpara, killed and beheaded him, before using his liver, intestine and other internal organs for pepper soup and plantain porridge.
The suspect was arrested while preparing the meal in his house at Abarikpo in Ahoada East Local Council of the state. The victim, who hailed from Edoha in Ahoada East Local Council, was kidnapped on August 15, 2017, from his house.
According to the state's Commissioner of Police, Zaki Ahmed, that Peter was allegedly in possession of the gang’s riffles.
The police boss disclosed that the gang is led by one Justus, popularly known as Hriflession, who also hails from Abarikpo in Ahoada East Local Council. Ahmed said the suspect is helping in police investigation.
The cannibal suspect confessed to have known the victim, Okpara, but denied using his body parts for pepper soup.He said: “Yes I know Pastor Samuel Okpara, but it is not true that I used his body parts for pepper soup. I am a servant of God, I am being paraded because the Lord said my kitchen shall be for everyone he created. So, I usually open my kitchen for everyone.
“One day, my wife told me a guy is in my house and I came and asked him why he was in my house, he said he is hungry and I ordered her to give him food because if you deny the guys what they want, they will rape your wife, kill you and your children. So, to save my wife and family, we gave him food and the police came in the night and arrested me.”
Asked what he used to prepare the meal, he said: “My wife cooked soup with fish not meat and it’s the same food we gave him, I am also a mechanic and the head pastor of God’s Tabernacle Church. So, I can’t lie.”

Looking back at the earnings season - United Capital

As we close the books for the first half of 2017, we are pleased to note that most Nigerian companies posted strong earnings growth for the period.Image result for nigerian stock exchange
Companies in the consumer goods sector have been the standout. Albeit from a low base, the sector showed some strength in the second quarter of the year, supported by improved foreign exchange liquidity and upward price adjustments. Industrials showed some strength too amid growth in global cement consumption, operational efficiency, as well as additional price adjustments in Q2.
The banking sector also posted impressive earnings growth, buoyed by increased interest income. However, system illiquidity and asset quality challenges stifled some of the growth momentum from the topline. The Oil and Gas sector saw fractional improvements in turnover amid heightened cost pressures which overshadowed the momentum from the topline
In all, we think that improvements in the macroeconomic environment have really been supportive of earnings growth. The outlook also remains bright as the economy escapes the thorns of recession- this points to better prospects for earnings growth through year-end and into 2018.

Nigerian annual inflation slows in July to 16.05 pct, food inflation soars

Annual inflation in Nigeria slowed for a sixth month in July, easing to 16.05 percent, but the rise in food inflation was the biggest in eight years, the National Bureau of Statistics (NBS) said on Monday. Related image
The rate of annual inflation was 0.05 percent lower than in June. A separate food price index showed inflation rose to 20.28 percent in July, up from 19.91 percent in June, the biggest year-on-year increase since 2009, the statistics office said.
"The rise in the index was caused by increases in prices of bread and cereals, meat, fish, oils and fats, coffee, tea and cocoa, potatoes yam and other tubers and vegetables," the report said.
Nigeria - which has Africa's biggest economy - is in its second year of recession and is contending with a currency crisis and dollar shortages brought on by low oil prices.
© Reuters News

Friday 25 August 2017

Nigeria overnight lending rate drops on liquidity injection

Nigeria's overnight lending rate dropped to 12 percent on Friday after spiking to almost 100 percent on Wednesday due to a liquidity squeeze as lenders paid for hard currency and treasury bills purchased from the central bank, traders said.Image result for Nigerian naira
Money market rates moderated on Thursday after the state disbursed 224.54 billion naira ($715.10 mln) in budget allocations to its three tiers of government, boosting liquidity.
The bank also repaid around 95.7 billion naira in matured treasury bills, to boost liquidity, traders said.
Subsequently, the bank sold around 26.90 billion naira at an open market treasury auction on Friday to soak up naira liquidity. Traders said the money market remained liquid despite the auction.
One trader expected rates to rise up to 30 percent next week as the central bank issues more securities to mop up part of government disbursement from the banking system.
© Reuters News

Ghana reconstitutes board of its Re-Insurance firm

 'The Growth and innovation of the insurance industry will serve as an avenue to develop the domestic capital market.'
The minister of finance, Atiwa East, made these remarks at the inauguration of the Board of Ghana Re-insurance (Ghana Re) in Accra and challenged them to work assiduously to support the mobilization of national savings towards a cohesive drive to narrowing the investment gap in the economy.Image result for Ghana Re-insurance firm
She noted that the insurance industry has become one of the fastest growing industries in Africa, thus spearheading intense competition, continuous growth and production innovation.
The Ghana Re she noted, has about 60% of the re-insurance market share in Ghana as at December 2015. Its international business she added, constitutes 33% of the company's gross premium, as well as the local market which constituted up to 67%.
Aside its presence in Kenya and Cameroun, the Hon. Minister expressed great optimism that Ghana Re could increase its premium above current levels in other regional markets.
She, however, said for Ghana Re to compete favourably globally and locally in sectors such as the oil and gas market and the construction and industry, its US$52.97 million capital has to be increased substantially.
Whiles affirming government's support for Ghana Re, she was quick to draw the attention of the Board to the requirement of the Public Financial Management Act, 2016 (ACT 921) as they exercise oversight responsibility over the company.
She said government's intention is to support the growth of the insurance industry giving the favourable market Ghana has to offer.
The Board Chairman, Mr George Otoo, on behalf of his colleagues thanked President Nana Addo Dankwa Akufo Addo, for the opportunity to serve.
He said Ghana Re over the years has chalked a lot of successes. He, as such, called upon his colleagues to commit to build upon it and endeavor to position Ghana Re to offer the needed financial and human resource to support the insurance industry and lead the company to greater heights.
Other members of the Board sworn in were; Mr George Mensah, Mr. Francis Sapara Grant, Madam Marian Mensah, Mad Jennifer Owusu, Mr, Franklin Hayford. Present at the ceremony were officials of MoF and Ghana Re.

Nigeria's Emir Sanusi moves to eradicate child marriage

His daughters tease that he is a mild reformer, but the chief of Nigeria's Kano emirate hopes to end child marriage in the country's deeply conservative north
Lamido Sanusi II, Nigeria's second highest Islamic authority, is on a mission to end child marriage.
As the emir of Kano in northern Nigeria, one of 13 states where there is no minimum age for marriage, he is well placed to understand the issue. Yet Sanusi, a hugely symbolic religious figure, is at pains to point out that it is a social rather than scriptural problem.Image result for Emir Lamido sanusi
"Every day you're dealing with young girls who are withdrawn from school and are married, often into abusive or vulnerable situations, then divorced and left with nothing," says Sanusi.
"There is an idea in the north [of Nigeria] that child marriage is Islamic, but it is not an article of faith, it is something societies decide for themselves."
Although the legal age for marriage is 18, the Nigerian constitution allows states to set their own limits. This gives child marriage a legal and cultural foothold in regions across the country, including Kano and other areas of the largely Muslim north.
Related: Child marriage will cost the world $4tn by 2030, researchers warn
According to Girls Not Brides , a coalition of more than 700 organisations working to end early and forced marriage, 76% of girls in Nigeria's north-west are married before they turn 18.
The UN Population Fund is working with the government to end child marriage by 2030. In Kano, it is specifically working with the state government and, significantly, the Kano emirate council, to set a legal age limit.
Sanusi has proposed setting the legal age at 17, or younger provided consent is given by a judge. But his views have ruffled feathers in the conservative region, not only among local clerics who believe any age restriction on marriage is unacceptable, but also among campaigners, who want an outright ban on marriage before the age of 18.
"What I'm proposing is a 'third-eye'," Sanusi explains. "Our approach has been to offer reforms that can pass, because, if you say you are outlawing child marriage completely, they [the religious establishment] will respond that you can't prohibit what has not been prohibited in Islamic law. But you can say it needs to be regulated."
Zubaida Abubakar, a UN Population Fund programme analyst for adolescent sexual and reproductive health, feels Sanusi's plan is "not ideal", but recognises the challenges he faces.
"We're still working to end child marriage, but at the same time we recognise his campaign is a huge step forward from two years ago," says Abubakar. "When we had this discussion then, people were saying the age should be 13."
If I went any further or if I move too fast, people would rebel
Lamido Sanusi II, emir of Kano
Abubakar says the emir's advocacy offers unique validation for the campaign in local communities. "We have an adolescent girls initiative where we're targeting about 114,000 girls, helping their access to education and funding safe spaces to teach them about their reproductive system and give them confidence and agency. We're making progress, but the palace are the custodians of the culture in Kano. Their impact goes much further and there is already a change in attitudes."
Sanusi, who married his fourth wife in 2015, when she was 18, says he also faces criticism at home. "My daughters tell me that I'm a progressive fraud. They say my changes are mild, that I don't have a single woman on the emirate council, that I'm not going far enough to improve women's representation. But I tell them that my proposals are already meeting resistance. If I went any further or if I move too fast, people would rebel."
This year, the council convened debates with scholars in Kano, hoping to win religious support for the bill, but the process has stalled.
"Many feel that child marriage is acceptable under Islam," says Bashir Umar, a chief imam at Kano's Al-Furqan mosque. Regulating against sex with child wives is – for many – hard to accept, he says.
One imam, who wishes to remain anonymous, says efforts to help girls should focus on medical issues. "If the palace and the government feel there are medical issues young girls face, we can address these issues without attacking Islamic practices or making such changes."
But even making the medical case against early marriage, which will often result in girls having sex at a young age, has come under attack. Sanusi says some doctors dispute evidence linking high rates of fistula and maternal deaths to child marriage and pregnancy. At a conference at Bayero University, a female gynaecologist who had been collecting childbirth data for 30 years presented statistics showing the harmful effects of underage marriage. But two male doctors disagreed with her research, blaming fistula on poor facilities.
"There was a crowd in the audience who were extremely hostile to the findings," says Sanusi. "The two male doctors … [rebutted] her evidence. People who came open-minded said, 'Well, we were told that there were medical problems linked to child marriage but now we have two doctors saying it is not an issue.'
"If you look at the data on maternal health, girls who get pregnant below the age of 15 are five times more likely to die than girls who get pregnant at the age of 20. But this is the anti-intellectual, emotional environment that we deal with."
Despite slow progress on setting a legal age in Kano, the campaign is yielding results. After his imam began to speak out on child marriage last year, retired businessman Dasut Usman, 64, decided against marriage for his youngest daughter, Hamzat, 14. His first three daughters were all married before the age of 16.
"For her, she won't marry until after she finishes her compulsory education and university," says Usman, whose daughter hopes to become a nurse.
Sanusi remains hopeful of change. "If you held a vote in Kano today on child marriage, most women would vote against it. They've seen the effects on their daughters, on their siblings and friends. Ultimately, even if changing the law presents resistance, there is a conversation happening now that didn't happen before."

South Africa's cabinet to make final decision on Airways recapitalisation next month

South Africa's cabinet will make a final decision on how to recapitalise state airline South African Airways (SAA) by end September, Finance Minister Malusi Gigaba said on Friday.
The airline runs one of Africa's biggest fleets but is loss-making. It received state funds in July to help to repay debts and also depends on government debt guarantees of about 20 billion rand ($1.5 billion).Image result for South Africa airways
"Before the end of September, we should have gone to cabinet, proposed the options and cabinet should have taken the decision," Gigaba told reporters after meeting business leaders.
"What is a fact is that there is a 10 billion rand capitalisation that is required for South African Airways but the source or model of that recapitalisation is not yet finalised."
Gigaba said the other options include a share equity, public-private partnerships and "a full share swap in regard to the Telkom shares."
South Africa is considering selling its stake in landline provider Telkom to fund SAA's 10 billion rand bailout. The government holds a stake of about 39 percent in Telkom.
Telkom Chairman Jabu Mabuza said talk of disposing of the government's shares in the company should not be discussed recklessly as the discussions could impact its shares.
"We have a duty being a listed entity to encourage and urge our shareholders, particularly those like the government that hold such a big chunk of our stocks, to always be mindful of their pronouncements publicly about their intentions, about their shares, that could be price sensitive," said Mabuza.
Credit rating agencies say SAA should be reformed and cite the cost of propping it up as a threat to South Africa's credit rating. S&P Global Ratings and Fitch have downgraded South Africa's credit to "junk" status.
© Reuters News

No longer on the side-line, Q2-2017 capital inflow jumps 44 pct y/y - United Capital

The National Bureau of Statistic published its capital importation report for Q2-17 during the week indicating a 95.0 percent q/q or 43.6 percent y/y expansion in foreign capital into the country.Image result for Dollars 
In contrast to Q1-17, Foreign Portfolio (FPI) and Direct (FDI) investment rose 145.7 percent and 29.8 percent q/q respectively, reaffirming the impact of the investors' & exporters' (I&E) window introduced in April-2017. 
FPIs into the equity market surged 502.0 percent to $614.1m in the period, accounting for 34.0 percent of total capital imported compared to 11.0 percent in the prior quarter. Contrariwise, FPI flow into the domestic fixed income market fell 26.1 percent to $156.5 million in the period due to decline in investment in money market securities (down 53.4 percent q/q to $98.6 mmillion). FDI also rose 29.8 percent q/q to $274.4 million due to a 30.4 percent q/q expansion in equity capital inflow into Nigerian corporates. Other investments – majorly loans (up 102.4 percent to $747.5 million)- also saw a 95.0 percent q/q increase to $747.5 million during the period.
On a month-on-month basis, we note that capital flow surged not only in Q2-17(on adoption of the I&E window) but also in February after the Vice President sealed the Niger-Delta peace deal. Accordingly, outlook on funds flow will depend on the stability and implementation of more market friendly policies.

Thursday 24 August 2017

Nigeria to offer liquidity support to boost Islamic banking

Nigeria's central bank said on Thursday it is setting up two financial instruments to provide liquidity support to its non-interest paying lenders.
It is a push by Nigeria, home to the largest Muslim population in sub-Saharan Africa, to establish itself as the African hub for Islamic finance, which follows religious principles such as bans on interest and gambling.Image result for Godwin Emefiele
The central bank has been working to set regulatory ground rules for such things as Islamic bonds (sukuk) and insurance (takaful) to try to emulate the success of the industry in Malaysia.
Nigeria's banking industry is dominated by lenders offering conventional products.
Islamic banking is currently offered by the Islamic window of Sterling Bank, Stanbic IBTC, a unit of South Africa's Standard Bank, and Jaiz Bank , a full-fledged Islamic lender which has operated since 2012.
But Nigeria wants to increase the sector.
"In a bid to aid liquidity management and deepen the financial system, the central bank hereby introduces two new financial instruments ... for access by non-interest financial institutions," the central bank said in a circular.
Nigeria is gradually opening up to Islamic finance to bring non-interest banking to over 80 million Muslims and develop one of Africa's growing consumer and corporate banking sectors.
In October the regulator granted liquidity status at its discount window for banks' investment in Islamic bonds issued by national governments, and for banks' liquidity ratios.
Among other conditions, it said non-interest lenders must have a liquidity problem to be able to access the new window -- which will offer liquidity at zero interest, although lenders will be required to post collateral.
If a lender is unable to repay the funds, the central bank will discount the collateral at maturity, the regulator said in the circular.
Islamic banking products, which are compliant with Islamic sharia law, do not charge interest on financing. Profits or losses are instead shared with the borrower, meaning they discourage unnecessary speculation and spread risk.
Nigeria launched a 100 billion naira ($318 million) debut sovereign sukuk in the local market in June to help develop alternative funding sources for government and to establish a benchmark curve for corporates to follow.
(C) Reuters News

Nigeria's GT Bank trades off-market deals worth $9.2 mln

Nigeria's GT Bank traded the largest volume on the Lagos bourse on Thursday in deals worth 2.89 billion naira ($9.2 million) as foreign funds exchanged shares in off-market deals following strong half-year results, traders said.Image result for GTBank
Guaranty Trust Bank traded 71 million units in mostly cross-deals at an average price of 40.80 naira between some offshore funds and local investors, traders said.
A broker said foreign funds viewed the bank favourably as one of the most profitable and some were taking positions in it.
Last week the top tier lender posted an 18 percent rise in half-year pretax profit to 101.10 billion naira, the highest profit level so far announced by any lender in the West African country.
Shares in GT Bank rose 0.25 percent to close at 40.60 naira, valuing the lender at 1.19 trillion naira. The stock is up 65.2 percent so far this year, adding to 36 percent gains last year.
The equity market in Africa's biggest economy, which recorded lacklustre performance earlier this year, has benefited from dollar inflows into the currency market after the central bank in April liberalised the market for foreign investors.
That singular reform has pushed the index up 38 percent so far. Though stocks shed 1.3 percent on Thursday on profit taking, particularly in Nigeria's biggest listed company Dangote Cement.
Traders also said investors were selling off some lenders which had been overbought prior to the release of half-year earnings to book profits.
Top decliners were fuel retailers Conoil, MRS and 11 Plc, formerly known as Mobil Oil each down more than 4.9 percent.
(C) Reuters News

The benefits of walking...simply putting one foot in front of the other is all it takes to improve mood

The mere act of putting one foot in front of the other for a few minutes can significantly boost our mood, a study has discovered.
And it doesn't matter where we do it, why we do it, who we do it with, or what effect we expect the walk to have.
Psychologists say the happiness-causing effects arise from the actual physical movement which is connected to how we evolved to move to find food and other rewards.
The researchers say their study is the first to show this by stripping away all the many factors associated with exercises - such as getting fresh air, being in nature and the satisfaction of reaching fitness goals.
Essentially, 'movement not only causes increased positive affect [emotional feelings] … but movement partially embodies, or in a sense reflects, positive affect,' the study authors from The Iowa State University wrote in the paper published in the journal Emotion.
How the research was carried out
Across three studies, the team tested hundreds of undergraduate students who were not aware of the true aims of the research to avoid biased answers.
Two of the studies showed that students who spent 12 minutes on a group walking tour of campus buildings, or on a dull walking tour on their own of the interior of a campus building, reported more positive mood.
This was compared to another group who sat and looking at photographs of the same campus tour or watched a video of the same building interior tour.
In a second study, positive mood effects were also found even when researchers induced 'dread' in the participants before their walk, by instructing them that after the walk they had to write a two-page essay afterwards.
In the final study, students spent 10 minutes watching a Saatchi Gallery video alone, one, in three groups who were either sitting, standing or walking on a treadmill.
Once again, at the end, the students who'd spent time walking reported more positive mood scores than those who had been sitting or standing.
Authors Jeffrey Miller and Zlatan Krizan wrote: 'People may underestimate the extent to which just getting off their couch and going for a walk will benefit their mood as they focus on momentarily perceived barriers rather than eventual mood benefits.'
(C) dailymail.co.uk

Nigeria's oil output in July slightly below 1.8 mln bpd -minister

Nigeria's oil production, excluding condensates, was slightly below 1.8 million barrels per day in July, the country's oil minister said on Thursday.
Emmanuel Ibe Kachikwu, speaking on the sidelines of an event in the capital, Abuja, said there had been issues with aging pipelines. Image result for Oil barrel
"We continue to have challenges, some of our pipelines are old, so these are basically technical. They are not militancy-induced stoppages, but they are basically maintenance-induced stoppages," he said.
Nigeria's oil output has rebounded this year, aided by government efforts to placate militants in the Niger Delta region where the bulk of the country's crude is produced, but it has struggled to maintain peak output levels.
Crude production in the country was cut by more than a third last year when militants carried out a series of attacks on energy facilities in the southern Niger Delta oil hub.
The country's crude oil exports are expected to fall to 1.72 million barrels per day in October, according to loading programmes. 
When asked whether Nigeria would agree to join OPEC's production cap at the group's November meeting, the minister said: "I can't disclose that."
OPEC has agreed with several non-OPEC producers led by Russia to cut oil output by a combined 1.8 million barrels per day (bpd) from January 2017 until the end of March 2018.
OPEC members Libya and Nigeria were exempted from the limits to help their oil industries recover from years of disruptions.
The minister said condensates contributed 450,000 bpd to Nigeria's production in July.
© Reuters News

Nigeria launches $200 mln fund to help local oil and gas firms

Nigeria launched a fund on Thursday with an initial value of $200 million to support local oil and gas firms, the oil minister said, part of a government drive to improve access to low-cost credit across the economy.  Image result for nigeria oil and gas rigs
The Nigerian Content Development Fund (NCDF) would be financed through allocating the fund one percent of the value of all contracts awarded in the state-run upstream oil and gas industry, Petroleum Ministry said.
Oil sales make up about two-thirds of national revenues in Africa's biggest economy, which is in its first recession in 25 years largely caused by low global crude prices.
The new fund would offer finance to energy firms setting up manufacturing facilities or acquiring assets such as oil rigs, ministry officials said. It would also offer project financing and help refinance existing loans, they said.
"I would like to see this fund going to cutting edge, tech-driven businesses," Minister of State for Petroleum Emmanuel Kachikwu told an event in the capital Abuja to launch the fund.
The goal was to increase the size of the fund to $1 billion, he said, without giving a timeframe.
Firms would be able to borrow up to $10 million for a single project or investment at single digit interest rates over five years, officials said. Typically, a commercial bank would charge double digit interest rates in Nigeria.
The Nigerian Content Development and Monitoring Board (NCDMB) would manage the fund alongside the state-run Bank of Industry, officials said.
© Reuters News

Nigeria bond auction raises 56 bln naira, less than half of amount on offer-traders

Nigeria raised 56.05 billion naira ($179 million) in a bond auction on Wednesday, less than half the amount on offer as domestic pension funds and insurance firms cut orders due to low yields, traders said on Thursday.Image result for dollar and naira
The Debt Management Office (DMO) offered 135 billion naira worth of bonds maturing in 2021, 2027 and 2037, but investors shunned the auction to take positions in the relative liquid secondary market.
The DMO paid 16.80 percent for the 2021 and 2027 bonds and 16.90 percent for the 2037 debt. Investors demanded yields as high as 17 percent, auction results showed, to help boost returns further above inflation, which was 16.1 percent in June.
"Pension funds and insurance firms cut back their demand ... because of expectations of higher yields," one dealer said, adding that those two sectors, which dominate the local bond market, subscribed for just 63.65 billion naira.
Nigeria, Africa's biggest economy, is planning for a budget deficit of 2.36 trillion naira this year as it tries to spend its way out of recession. It expects to raise funds from the local market to cover more than half the deficit.
The DMO issues bonds every month.
At Wednesday's auction, the debt office sold 9.18 billion naira worth maturing in five years, 17.51 billion maturing in 10 years and 29.36 billion maturing in 20 years.
© Reuters News

Wednesday 23 August 2017

Nigeria naira eases on black market as dollar demand resurfaces

Nigerian naira fell on the black market on Wednesday, pressured by demand for dollars from Muslim pilgrims travelling to Saudi Arabia for the haj and individuals paying for school fees abroad.
The naira was quoted at 370 to the dollar on the black market on Wednesday as against 368 naira its previous session, traders said.Image result for dollar and naira
The currency has traded within a range of 359 to 366 naira to the dollar for investors and on the parallel market over the past two weeks. It is stuck at around 305 levels on the official market boosted by central bank intervention.
Nigeria has at least five exchange rates -- including for the haj -- which it has used to mask pressure on the naira. The central bank has been working to converge the rates through regular dollar sales.
On Wednesday the bank announced that it will sell the U.S. currency to clear backlog demand for airlines and to importers of petroleum products and raw materials.
Traders said demand has resurfaced in the past one week as private individuals with certain expenses in hard currency source for dollars.
Nigeria's parliament in July recommended that Muslim pilgrims travelling to Saudi Arabia this year should be able to buy their dollars for 200 naira, far below the official rate.
Aminu Gwadabe, president of the Bureau de Change operators told Reuters that pressure was coming from pilgrims travelling for haj and that central bank had not granted any concessions.
Gwadabe said dollar liquidity among exchange bureaus was low as some of his members refused to participate at a central bank currency auction over tight margins as the regulator tries to converge the different rates on offer.
(C) Reuters News

Nipco Plc raises stake in Nigerian fuel retailer

Nigerian fuel distributor Nipco Plc has bought another 3.23 percent stake in 11 Plc, the fuel retailer formerly known as Mobil Oil Nigeria, for 4.84 billion naira ($16 million) to increase its holding to 70 percent. Image result for Nigeria's Mobil
Nipco's investment subsidiary in October bought 60 percent of Mobil Oil Nigeria from Exxon Mobil Corp. when the U.S. giant pulled out of downstream fuel distribution in Nigeria.
Having amassed a stake of almost 67 percent, it wanted to increase that holding to around 70 percent. Under Nigerian takeover rules, it had to offer the same price of 417.12 naira per share to minority investors.
The downstream oil industry in Africa's biggest economy is consolidating as multinational oil firms sell out to focus on higher margin exploration and production following a drop in crude prices.
Nigeria exports nearly 2 million barrels of oil a day but imports the bulk of its refined products because its refining capacity is unable to meet the country's daily fuel needs of 40 million litres.
Mobil Oil Nigeria was founded in 1951 and operates more than 200 petrol stations in the country. It also owns three plants that manufacture lubricants, petroleum jelly, and insecticides in Nigeria's commercial capital of Lagos.
© Reuters News

Ghana producer price inflation falls to 2.0 pct in July

Ghana's producer price inflation fell to 2.0 percent year-on-year in July from a revised 3.2 percent the month before, driven by lower gold prices, the statistics office said on Wednesday.Image result for Ghana
Ghana is seeking to cut spending and restructure debt and is on target to slow inflation to 8 percent, plus or minus two percentage points, by the end of 2017 as part of a three-year aid deal with the International Monetary Fund.
Inflation in mining and quarrying dropped to 4.1 percent in July from 12 percent in June. In manufacturing, it fell to 1.8 percent from 2.4 percent. Utility inflation was unchanged at 1.3 percent.
"Ex-factory prices of gold eased in July by around 2 percent and that mainly accounted for the overall decline in the index," government statistician Baah Wadieh told reporters in Accra.
Ghana was for years one of Africa's fastest-growing economies, but growth slumped in 2014 as global commodities prices fell and inflation, the budget deficit and public debt all rose.
© Reuters News

Nigeria cancels first cabinet meeting after Buhari's return

The first meeting of Nigeria's cabinet since the return of President Muhammadu Buhari from three months of medical leave in Britain has been canceled, his spokesman said on Wednesday without explaining why.Image result for President Buhari
Buhari returned to Nigeria on Saturday after traveling to Britain on May 7 for an unspecified illness and had written lawmakers on Monday to confirm he had returned and was resuming his duties.
"The meeting of the Federal Executive Council (FEC) will not be held today," the president's spokesman, Femi Adesina, said in an emailed statement.
The refusal by officials to disclose details of his illness has caused widespread speculation about the ailment and whether the 74-year-old is well enough to run Africa's most populous country and biggest economy.
In a televised address on Monday, Buhari looking thin but sounded stronger than his last broadcast in June. He walked unaided off his plane when he arrived on Saturday, though at a slow pace, holding rails on either side of him.
Buhari handed over power to his deputy Yemi Osinbajo in his absence. He informed legislators on Monday he was resuming his duties. The next day Adesina said the president would work from home due to renovations to be carried out at his office.
The medical leave was Buhari's second in Britain this year after one that began in January and lasted nearly two months.
He reduced his working day to a few hours after returning to Nigeria from his first stint of medical leave on March 10, diplomats and government sources said. 
Despite the cancellation of the cabinet session, Adesina Buhari would on Wednesday receive a report on an investigation into corruption allegations leveled against two senior government officials. The inquiry, launched in April, was headed by Osinbajo.
© Reuters News

The future of foreign portfolio investment and FX in Nigeria -United Capital

Foreigners were the net sellers of Nigerian stocks for most of 2014, 2015 and the beginning of 2016. Nevertheless, the pace of outflows started to reverse in June 2016, following the official devaluation of the naira. Image result for dollars
Foreigners are now plying back into the market at record levels, with the most recent buying wave spurred by the introduction of the market friendly investors and Exporters FX window (I & E window). So what's our take on future foreign portfolio investments?
If history is any indication of future performance, then we can say that the outlook of foreign portfolio investments would be tied to Nigeria's economic health and more importantly, the foreign exchange. According to Bloomberg, 
"Nigeria's foreign-exchange market remains more opaque than those in other African countries". Foreign investors, despite being more at ease since the introduction of the I & E window, would continue to root for a unified exchange-rate system that is predominantly driven by market forces, In other words, a complete floating of the naira! 
However, for Nigerian monetary authorities looking to consolidate on some of the recent gains, this may be a premature action.

In economic crisis, Angola votes for first new leader in 38 years

Angolans headed to the polls on Wednesday in a parliamentary election expected to usher in the ruling party's defence minister as the first new leader of Africa's second-biggest oil producer for 38 years.
Joao Lourenco, who has pledged to boost growth and fight corruption, would inherit an economy mired in recession as gaping inequality, soaring inflation, and high unemployment squeeze poor Angolans who have benefited little from a decades-long oil boom. Image result for Angola
The People's Movement for the Liberation of Angola (MPLA) is expected to remain in power but with a reduced majority. Its support has waned due to widespread political cronyism, though many Angolans remain loyal to the party that emerged victorious from 27 years of civil war in 2002.
"I've been following the party (MPLA) all my life. I grew up with it," 33-year-old bakery owner Telma Francisco told Reuters outside a polling station in the capital.
"The other parties don't have the capacity to govern."
Voters like Francisco waited in orderly queues on a cloudy morning in the capital Luanda when polling stations opened at 7 a.m. (0600 GMT) as police and military manned street corners.
Questions have been raised as to how much power Lourenco will have if he wins, given veteran leader Jose Eduardo dos Santos, 74, will continue as head of the MPLA and have potentially a sweeping say over decision-making.
His daughter, Isabel, heads national oil producer Sonangol and his son José Filomeno is in charge of the state investment fund.
"ECONOMIC MIRACLE"
Lourenco on Tuesday dismissed suggestions he would be a puppet president, saying he would focus on leading an "economic miracle", possibly with the help of the International Monetary Fund and World Bank, and prosecute corrupt politicians.
Dos Santos, Africa's longest-ruling president behind Equatorial Guinea's Teodoro Obiang Nguema, will step down after guiding the OPEC-member from Marxism to capitalism while embracing Chinese oil-for-infrastructure investment.
The MPLA's main opponent will be its former civil war foe, the National Union for the Total Independence of Angola (UNITA), while young voters have been lured by CASA-CE, which was formed in 2012 on a promise to disrupt 50 years of two-party politics.
More than two-thirds of Angolans are below 25 so many people will be voting for the first time.
"We're voting for change," said 19-year old Joao Costa, who like most people who oppose the authoritative MPLA declined to say who he voted for.
Others were sticking by the ruling party.
"The opposition is a joke," said out-of-work decorator Francisco, 32, declining to give his surname. "The MPLA is the only party that can change things and with a new candidate for president I think he can do a better job"
An unofficial result is expected by Friday. But there may be no formal announcement for two weeks as ballot boxes wend their way along pot-holed roads and dirt tracks in a country of 28 million spread across an area twice the size of France.
There are concerns about how fair the vote will be after the government cracked down on recently planned public demonstrations. UNITA has said it will lead protests if it believes the MPLA has manipulated results.
The former Portuguese colony has been largely peaceful since the end of a Cold War-era conflict between the MPLA, backed by the Soviet Union, and UNITA, supported by the United States and South Africa.
© Reuters News