The Nation Newspaper

Category: Money

  • World Bank: new reforms advance women participation in 40 economies

    By Collins Nweze

     

    THE World Bank has said over 40 economies have enacted 62 reforms that will help women  realise their potential and contribute to  growth and development.

    In a report released yesterday, the bank said women in many countries have only a fraction of the legal rights of men, holding back their economic and social development.

    The study entiled: Women Business and the Law 2020, measures 190 economies, tracking how laws affect women in various stages in their working lives and focusing on those laws applicable in the main business city. It covers reforms in eight areas that are associated with women’s economic empowerment, conducted from June 2017 to September 2019.

    “Legal rights for women are both the right thing to do and good from an economic perspective. When women can move more freely, work outside the home and manage assets, they are more likely to join the workforce and help strengthen their country’s economies,” said World Bank Group President David Malpass.

    “We stand ready to help until every woman can move through her life without facing legal barriers to her success,” he added.

    The areas of workplace and marriage saw many reforms, especially in the enactment of laws that protect women from violence. In the last two years, eight economies enacted legislation on domestic violence for the first time. Seven economies now have new legal protections against sexual harassment in employment.

    Twelve economies improved their laws in the area of pay, removing restrictions on the industries, jobs and hours that women can work. Globally, the most frequent reforms were in areas related to Parenthood, with 16 economies enacting positive changes.

    Reforms included expansion of the amount of paid maternity leave available to mothers, introduction of paid paternity leave and prohibition of dismissal of pregnant employees.

    Achieving legal gender equality requires strong political will and a concerted effort by governments, civil society, and international organizations, among others. But legal and regulatory reforms can serve as an important catalyst to improve the lives of women as well as their families and communities.

    “This study helps us understand where laws facilitate or hinder women’s economic participation. It has incentivized countries to undertake reforms that can eliminate gender imbalances,” said World Bank Group Chief Economist Pinelopi Koujianou Goldberg. ”Achieving equality will take time, but it is encouraging that all regions have improved. We hope that this research will continue to serve as an important tool to inform policy making and level the playing field for women.”

    The WBL index measures only formal laws and the regulations which govern a woman’s ability to work or own businesses– a country’s actual norms and practices are not captured. The global average score was 75.2, which improved slightly from 73.9 two years ago. Clearly, much more work remains as women in many countries have only a fraction of the legal rights of men, holding them back from opportunities for employment and entrepreneurship.

    The eight areas covered by the index are structured around women’s interactions with the law through their careers: Mobility, Workplace, Pay, Marriage, Parenthood, Entrepreneurship, Assets, and Pension.

    Reforms are urgently needed in the area of Parenthood, which scored just 53.9 on average. In almost half of economies that provide any form of paid maternity leave, the burden falls on the employer, making it more costly to hire women. But paid maternity leave can help to retain female employees, reducing turnover cost and improving productivity.  These longer-term benefits often outweigh the short-term costs to employers, according to the study.

    Of the ten economies that improved the most, six are in the Middle East and North Africa, three are in Sub-Saharan Africa and one is in South Asia. While there was considerable progress, the Middle East and North Africa remains the region with the most room for improvement.  Eight countries now have a score of 100, with Canada joining Belgium, Denmark, France, Iceland, Latvia, Luxembourg and Sweden due to a recent reform in parental leave.

  • New winners emerge in Fidelity Bank promo

    By Collins Nweze

     

    Thirteen  customers of Fidelity Bank Plc have started the new year on a happy note having emerged millionaires in the third monthly draw of the Get Alert in Millions (GAIM) promo Season 4 held in Lagos.

    The bank also rewarded loyal customers with prizes worth N16 million in the categories of N2 million and N1 million.

    The e-raffle draw, which  held at the bank’s Broad Street Branch, Lagos Island, was witnessed by the relevant regulatory bodies, including the National Lottery Regulatory Commission (NLRC), Lagos State Lotteries Board (LSLB) and Consumer Protection Council (CPC). The lucky customers cut across all regions.

    They include: Dare Abiodun Emmanuel; Ugwu Philomena Nneka; Chinenye Catherine Olunna; Egberi Agbarha Kelvin; Ivang Stanley Oham; Chinelo Loveth Egbuchunem; Dare Abiodun Emmanuel; Itabiyi Gbolahan Olakunle Hassan & Adejoke Jokotade; Larei Chindo; Chigozie Darlington Emoka; Khadijah Umar; Muazzam Ad Maizare; Isabella Chekwube Uche; and Omolade Bamitale Olatawura.

    Others are Joseph James Abah; Oghenetega Emmanuel Erus; Blessing Chidinma Okafor; Loveline Uche Okonkwo; Nafisat Ali Lawal; Comfort Ita Asuquo; Mohammed Halima Sadiya, among others.

    The bank doled out 19 consolation prizes in form of fridges, television sets and power generating sets.

    Speaking during the event, Managing Director/CEO, Nnamdi Okonkwo, noted it is the bank’s ninth promo in 12 years.

    Okonkwo, represented the Executive Director, Shared Services and Products, Chijioke Ugochukwu, added that the draw would see a total of N50 million in cash and 54 consolation prizes to over 93 winners.

    “We would have given out a total of N50 million in cash and 54 consolation prizes to over 93 winners. We expect more winners to emerge at subsequent draws because the promo is still on and in addition to the N50 million that we will be giving out, we still have N70 million and several consolation prizes yet to be won,” he said.

    Shedding light on how customers could qualify for the draw, Head, Savings group, Fidelity Bank Plc, Janet Nnabuko, stated that existing and new customers could win by topping their account with N10,000 or opening a new account and building it up to N20,000.

    She further disclosed that to qualify for the star prize of N3 million, one should build his account to N50,000 while those aspiring for the grand prize of N10 million, should grow their accounts to N200,000.

    Fidelity Bank is a full-fledged commercial bank operating in Nigeria with over 5 million customers that are serviced across its 250 business offices and various digital banking channels. The bank focuses on select niche corporate banking sectors as well as Micro Small and Medium Enterprises (MSMEs) and its currently driving its retail banking businesses through its robust digital banking channels.

  • Lifting creative industry with funding, networking

    The entertainment industry in African countries like Nigeria is expected to expand by 2022 with a projected 21.5 per cent growth rate, with revenue reaching $9.9 billion. However, funding is a major factor needed to keep the creative industry thriving. The Born In Africa Festival (BAFEST) sponsored by Access Bank Plc was  aimed at boosting African creativity and presented an opportunity for key industry players and participants to discuss  funding, capacity building and other issues meant to move the creative industry forward, writes COLLINS NWEZE.

     

    After oil, entertainment has turned out to be Nigeria’s major export and source of foreign exchange earnings. Besides, it is one of the topmost sector creating jobs for millions of youths and building positive image for the nation.

    The Central Bank of Nigeria (CBN) has, through the Creative Industry Financing Initiative (CIFI) scheme, encouraged banks to play more prominent roles by ensuring that the sector not only gets funding, but also the right capacity that promotes creativity.

    The Born In Africa Festival (BAFEST) held in Lagos, which was sponsored by Access Bank Plc, was one of the key initiatives promoted by the commercial lender to boost the creative industry.

    The BAFEST is a brain child of Access Bank. Over the years, the bank  has supported African creativity, a reason the BAFEST initiative makes sense.

    The bank has been associated with the African creative sector; from its sponsorship of Art X Lagos, to its backing of AFFRIFF and other platforms aimed at promoting African creativity. The bank has positioned itself to be Africa’s gate way to the world, providing more than just banking.

    Over the past decade, African creativity, art and entertainment has witnessed significant growth.

    Speaking on the sponsorship of the programme and the priority given to the sector, Access Bank’s Group Head Corporate Communications, Amaechi Okobi, said the bank is moving a step further by providing legal, tax and business plan development support to entertainers willing to access the funds.

    He said Access Bank is an entertainment and SME-friendly bank, with several loan packages that can be easily accessed by youths in the creative sector.

    He said: “Following a successful maiden edition of the BAFEST in December 2018, the Access Bank- powered festival returned last December for a second edition. It was themed “More for the culture”, and  observations and the commentaries of most spectators showed that it was a success in terms of attendance and content.

    ‘’The BAFESTl is a dynamic fusion of African art, film, fashion and music. It was birthed from a need to tell the true African story in all its glory. It is a day when our finest creatives showcase their talents to the world.

    The Western media is quick to portray Africa as a hotbed of poverty, starvation and despotism. It’s time we killed the perception that Africans are corrupt, fraudulent and even lazy.

    “We know the true picture and we want the world to know that Africa is a land of beauty, where the people are talented, hardworking and entrepreneurial. Some of the greatest men and women to walk the earth and wow the world in music, arts, fashion even science and technology are Africans.

    Therefore, we decided to beam the spotlight on the positive things coming out of Africa and that is why we created BAFEST, to not only bring Africans together to be entertained by Africans, but to let the world know that there is so much more in Africa.

    We are amazing and it’s time for the world to take us seriously. Also, over the years, Access Bank, as an institution, has persistently shown passionate support for African creativity and the BAFEST initiative makes sense and comes naturally.

    The bank through the years has been strongly associated with the African creative sector; from its sponsorship of Art X Lagos, to its backing of AFFRIFF and other platforms promoting African creativity,” he added.

     

    BAFEST and African creativity

    BAFEST is a celebration of the unparalleled dynamism of the true African spirit and creativity. This highly entertaining fusion of music, art, film and fashion was designed to tell a positive African story globally and better connect the world to the continent.

    It was birthed from a need to tell the true African story in all its glory. The second edition of the festival held last December at Eko Atlantic City, Victoria Island, Lagos with over 35,000 attendees from across Nigeria and beyond.

    Africa has several festivals aimed at projecting the continent, festivals, such as Bushfire festival in Swaziland, Sauti Za Busara in Tanzania, Festival au Désert in Mali, Africa in Motion (AiM) Film Festival, among others.

    Until the introduction of BAFEST, there was not one festival that brings all the elements of art (Music, film, creative art and fashion) under one umbrella with the sole aim of projecting Africa in good light.

    BAFEST was a celebration and projection of Africa and African talents. This was evident in the calibre of music artists, fashion designers, creative art and films featured.

    The festival had the like of Burna Boy, a true depiction of Africa’s talent. He started from the grass roots in Nigeria, but is enjoying global fame and acceptance. Also present was Naira Marley, who is also enjoying music success and gaining massive following of young Africans.

    Other musicians were Niniola, Seyi Shey, Becca from Ghana, Patoranking, Teni, Joeboy, Flavour, 9ice and Mr. Real.

    Short films, feature-length films and Accelerate Filmmaker project films that depict the true African spirit and art of storytelling were featured. Films, such as ‘Black Monday’, written and directed by Adetola Films – the film is one of those by the Top 5 finalist of the 2019 filmmaker project initiative.

    It focuses on the effects of stigmatisation in the society as it tells a story of a young man who returns from prison to face stigmatisation from his community. ‘Blast’, a film by Miriam Dera’s, which is among the 2019 top five finalists of the filmmaker project initiative, was also on screen.

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    The short film, which stars Harriet Akinola and Tope Olowoniyan, tells a story of a reclusive young lady, tasked with making a pitch for a client at work, but must fight years of psychological torture and go ahead with the presentation or lose her job. Other films that featured at the festival include ‘Blast’ by Tosin Ibitoye, ‘Last’ by Olabisi Akinbinu.

    Prolific fashion designers, such as Tokyo James, Emmy Kasbit, and David Tlale, had their work displayed and worn by top models, such as Ojy Okpe, and Millen Magese. There were also eye-catching and fascinating artworks on display as creative artists were on ground to engage guests.

    A notable highlight of the festival was the electrifying opening dance performance coupled with a daring aerodynamic performance by the Drumstatic band, who were all suspended in the air. The ambience at the BAFEST was lively.

    Guests who took the time to attend and immerse themselves in the festival were truly entertained, and did not hesitate to share their feelings, experiences and highlights of the event.

    One of the participants, Samiat Rasheed, explained that the second edition was her first BAFEST’s experience and she was captivated by the artworks and fashion wears on display.

    According to her, “This is the first time I will be  at the BAFEST and I am having fun. So far, I have enjoyed the movies, the fashion and models. The artworks are really beautiful. I love all the African culture that is being projected here.”

    Another guest, who is an art and film enthusiast, Damola Oseni, described her experience at the festival as amazing.

    Damola said: “My experience has been very amazing. This place is very lively and interesting.”

    Also, Ife Okon, an art lover explained that the artworks he has seen on display in the art section of the BAFEST were breath taking and should be seen by all.

    According to Ife “I like what I have seen so far, particularly in the art section, the works there are great, and more people need to see them. I like the calibre of musicians also present at this festival, and as you can see, I am having a good time.”

     

    BAFEST’s Assessment

    According to Okobi, the impact of BAFEST has been great. In the first edition, it recorded over 14,000 attendees, but in the last edition, it had over 35,000 attendees.

    The quality of artists, film makers, designers and models we have showcased in the two editions are topnotch and the best in their industries. Asides the number of participants, music, fashion, film and all, BAFEST is now an event people look forward to each year, and we are gradually getting global attention, which is what we want, he said.

    “Our goal is to attract the attention of the world by projecting our rich African culture and creativity, and I can confidently say that we are well on our way to achieving it.”

    He explained that entertainment is a platform that brings people together, irrespective of ethnicity, religion, political affiliations and race. “We all know entertainment is a big thing in Africa and even globally.

    African creatives by themselves with little support have transformed the entertainment sector into a goldmine and we believe that BAFEST will be another platform to help multiply the efforts of African creatives,” he added.

     

  • Luxury brands need to understand consumers, says Obayuwana

    Our Reporter

    The luxury market is unique due to the consumption behaviour of Nigerians, an expert Jennifer Obayuwana has said.

    Speaking at the Financial Times Luxury Conference in London, Obayuwana, who is the Executive Director, Polo Limited, said there was need for luxury brands to understand consumers and remain at the top of their game in ensuring that they satisfy the  needs of the market.

    She expressed gratitude to the organisers of the conference, for providing a platform for luxury custodians to share insights and give a balanced perspective of their unique markets, especially those within the African luxury market space.

    According to her, the success story of Polo Group, Nigeria’s foremost luxury company, which began the journey three decades ago into the luxury space is one that has experienced its fair share of hiccups since inception.

    Read Also: ‘NCC to protect consumers’ rights’

    However, despite the organisational and external challenges which had threatened to disrupt the business growth of the Polo brand within the growing Nigerian luxury market, the innate resilience and commitment by the business drivers in fulfilling the vision of enriching lives and adding beauty to the way of life of Nigerians through premium pieces that defines their persona changed the game within the Nigerian Luxury Market.

    She added: “What has given Polo an edge within the Nigerian Luxury space since the 1980s, lies in the confidence and trust by high-end Swiss watch making brands such as Rolex, Cartier, Piaget, Chopard and Omega who understood the fragmented competitive environment of traders and brokers in the Luxury space. They identified with the common goal and interest shared with the Polo Brand in forging strategic partnerships and focused at making Luxury a way of Life for Nigerians.”

    She added: “In over 34 years of operation, Innovation has led the foray of the business’s strategic direction which has been aimed at adapting to the ever changing economic landscape, increasing the market penetration drive and diversifying the unique offerings of the group in servicing the growing fashion market with the subsidiary called Polo Avenue, which attracted the partnership with international brands such as Gucci, Bottega Venetta, Valentino, Jimmy Choo, Alexander McQueen, Billionaire among others.

    Another historic move by Polo Group, was to satisfy the growing demand for affordable jewelry in Nigeria by partnering with the global brand Swarovski.

    This led to the introduction of the first Swarovski Jewelry store in Nigeria at the Ikeja City Mall.

    “We discovered that global brands such as Rolex, Cartier, Piaget, Omega, Bovet and Montblanc, among other renowned watch brands.”

    partnered with the Polo Luxury Group as their official agent in Nigeria, not just because of our heritage, history and insight of the luxury market space, but because we share the same core values, philosophies and passion to bringing happiness to the world and the pursuit of excellence in achieving consumers delight.”

  • AfDB signs five-year pact on international standards

    By Daniel Essiet

    The  African Development Bank (AfDB) has signed a major agreement with the International Federation of Consulting Engineers (FIDIC) that will see it use seven FIDIC standard contracts for the next five years.

    Under the terms of the deal, a statement said  FIDIC has granted the bank a non-exclusive licence to refer to the seven major FIDIC contracts for projects they finance and the documents may be used as part of the bank’s standard bidding documents.

    The contracts include the latest 2017 Second Edition FIDIC contracts and 1999 editions, which cover a wide range of international construction and infrastructure work.

    Read Also: AfDB has $20bn investments’ portfolio in ECOWAS region — Adesina

    The move by the AfDB is another significant endorsement for FIDIC contracts from a multilateral development bank, following similar agreements signed with the World Bank, Inter-American Development Bank, Caribbean Development Bank, the European Bank for Reconstruction and Development and the Asian Infrastructure Investment Bank in recent months.

    FIDIC Chief Executive  Nelson Ogunshakin said: “We are delighted to have signed this agreement with the African Development Bank, an organisation doing fantastic work fighting poverty and improving living conditions for people in Africa. The signing of this agreement means that FIDIC has now entered into similar licencing agreements with almost all of the major global funding organisations. By adopting the FIDIC contracts on major projects, the AfDB is demonstrating that they endorse the fair and balanced approach that these documents offer to parties on major construction contracts and we believe that this will create more certainty in the market as banks, lenders, investors and clients adopt them.

    “The bank’s endorsement should also provide additional comfort to the financial, institutional and private equity investors operating in the global market to adopt the use of FIDIC standard procurement contracts as an effective tool to mitigate the risks associated with investable infrastructure asset class.”

  • UK, Africa explore trade opportunities

    By Collins Nweze

    The United Kingdom Government and African countries will be working to improve trade volumes in the African continent.

    To achieve this feat, the UK Government will be hosting the inaugural UK-Africa Investment Summit in London. This event will bring together British and African businesses to harness the huge potential of the continent when it comes to trade – including through infrastructure, agriculture, enterprise and technology.

    It will create new lasting partnerships to deliver more investment, jobs and growth to benefit people and businesses across Africa and the UK.

    Hosted by UK Prime Minister Boris Johnson, the summit is a great opportunity to highlight and discuss trade and investment relations for both the UK and Nigeria.  Other African countries will also be looking to promote their investment offers.

    Nigeria will play a critical role in the success of the summit. President Muhammadu Buhari is set to head the Nigerian delegation and will receive special treatment, befitting his status as President of Africa’s most populous country and biggest economy.

    Read Also: Buhari pledges more commitment to West Africa’s stability

    At the summit, the Nigerian delegation will have the chance to engage investors on business environment issues and to emphasise Nigeria’s commitment to continuing to improve conditions for doing business, as recognised in its steady climb up the World Bank’s Doing Business index from 146th to 131st in last October’s report.

    The British Prime Minister will meet with President Buhari, who will also attend a reception hosted by Their Royal Highnesses The Duke and Duchess of Cambridge.

    In advance of the Summit, the UK Government through the Department for International Development worked with the Nigeria Investment Promotion Commission (NIPC) to develop a new Nigeria Investment Guide, which will be launched at the Summit.  The guide, trailed today, will help investors understand the opportunities and find out about the organisations, processes and services in place to help make the most of them.

    British Deputy High Commissioner in Lagos, Harriet Thompson, said: “The UK-Africa Investment Summit is a major opportunity to support growth, development and job creation in Nigeria, including President Buhari’s commitment to expanding agriculture and manufacturing.”

    “Nigeria will be highly visible: the only country to participate in every AIS event, and Nigeria’s companies will be out in force: one in seven of the African companies attending will be Nigerian. Every session of the summit will feature Nigerian participants.  We want them to come back with new partnerships that will boost investment and create jobs and sustainable economic growth in Nigeria

    “This is a prime opportunity for Nigeria to make its pitch to quality British companies and investors, demonstrating not only the scale and breadth of commercial opportunities here in Nigeria, but also Government’s commitment to improving the business environment.  Global competition for investment is fierce.  Nigeria will need to compete for its share, addressing those areas that businesses still find a challenge, such as customs and tax procedures.’’

    “The UK Government stands ready to assist, and to bring our companies here to be part of the growth story we want to see. That’s ultimately the goal of the Summit: to attract investors for the mutual benefit of Nigeria and the UK.”

    Head of Department for International Development in Nigeria, Chris Pycroft, said: “This is the time for Nigeria – All eyes are on the Summit. Bringing together British and African businesses, governments, entrepreneurs and innovators is a massive step in unlocking Africa’s potential. We can create new lasting partnerships that will deliver more investment, more jobs and more growth – that’s good for people and businesses – and good for Nigeria”

    Executive Secretary/CEO Nigeria Investment Promotion Commission, Yewande Sadiku, said:  “The UK is a country of strategic investments and we consider the relationship of utmost importance, and our delegation to the UK-Africa Investment Summit reflects that much. The summit will be an opportunity for UK businesses to get a sense of the opportunities in the Nigerian market.

    The Nigerian Investment Guide will give investors the feel of what matters in setting up a business in Nigeria.  We hope this will encourage even more British businesses to invest here – creating jobs for Nigerians and supporting both our economies”.

  • Hollandia Yoghurt announces partnership with Yemi Alade

    By Collins Nweze

     

    Hollandia Yoghurt has announced a partnership agreement with Yemi Alade who is a multiple award-winning artiste of international repute. The partnership is part of a new campaign to celebrate the brand’s 15 years of nourishing Nigerians and reinforcing its market leadership.

    The partnership aims to celebrate the values of consistency, hard work and talent which the brand and the artiste have in common. Hollandia Yoghurt is the leader of the yoghurt category, a position it attained through innovation and continuous passion for excellence.

    Similarly, Miss Alade has continuously innovated herself and has risen to the top of her music career with various award winning hits.

    Since it was introduced into the Nigerian market over 15 years ago, Hollandia Yoghurt has transformed the Yoghurt market landscape with its high quality products, packed under very hygienic conditions. To address varying consumer needs Hollandia Yoghurt has remained consistent in providing healthy, tasty, and nourishing yoghurt drink that contain proteins, minerals and vitamins that unlocks the energy in its consumers.

    Every day, Nigerians enjoy Hollandia Yoghurt because its nourishing goodness give them energy, serve as meal-replacement and keep them positively recharged to be at their best. Whether onthe-go, at work, in school or at play, Nigerians trust the brand to nourish their body and keep them active. Therefore, it is no wonder that the brand has achieved the feat of becoming the most preferred and generic name for drinking yoghurt amongst consumers.

    Speaking on the partnership, Alade said: “I am really excited about this partnership with Hollandia Yoghurt because the brand stands out differently from all other drinking yoghurt products. Like me, Hollandia Yoghurt displays an insatiable quest for increased creativity and innovation. I love the delicious taste and revitalizing energy of Hollandia Yoghurt.”

    Speaking on this new partnership, Marketing Director of CHI Ltd, Mrs. Toyin Nnodi, says, “In our quest to find a brand ambassador for the Hollandia Yoghurt brand, we have taken a strategic decision to appoint Miss Yemi Alade as our brand partner. We are happy and excited about this new relationship and we are confident that this will be a mutually beneficial relationship for both parties.”

    Managing Director of CHI Limited, Deepanjan Roy, said “Hollandia Yoghurt has provided satisfying nourishment for Nigerians for the last 15 years and would continue to demonstrate leadership in the drinking yoghurt category in the years ahead. We have set the pace for the drinking yoghurt category through the years, and through this partnership we look forward to working with Yemi Alade on a number of different projects to bring the beloved brand even closer to Nigerians”.

    Hollandia Yoghurt is made from high quality ingredients. It is available in two variants of Plain Sweetened and Strawberry, and comes in 1Litre, 500ml, 315ml, 180ml and 100ml pack sizes.

  • NBS capital importation report ranks Ecobank, StanChart high

    Collins Nweze

     

    NATIONAL Bureau of Statistics (NBS) says Ecobank Nigeria and the local unit of Standard Chartered Bank have joined Stanbic IBTC Bank to become foreign investors’ favourites for investment deals.

    Details of the Bureau report showed that out of 26 banks foreign investors used to deploy foreign capital into the country, the most investment came through Stanbic IBTC Bank. The bank attracted $1.63 billion worth of investment in the third quarter of this year, lower than $1.76 billion it had in the previous quarter.

    Ecobank followed with $754.38 million worth of foreign investment, while Standard Chartered Bank, a wholly-owned subsidiary of UK-based Standard Chartered Bank occupied the third position by attracting $502.47 million inflows. Access Bank got $477.55 million; Rand Merchant Bank, $430.15 million; Citibank Nigeria Limited; $350.95 million; while First Bank of Nigeria had $307.94 million.

    According to NBS, while the total value of capital importation into the Nigerian economy fell by 7.78 percent to $5.36 billion in the third quarter of 2019 from the previous quarter, Ecobank Nigeria attracted $754.38 million worth of foreign investment, representing 55.41 percent more capital thus making the bank foreign investors’ favourites for investment deals.

    Commenting, Adetokunbo Uko, Country Treasurer, Ecobank Nigeria, said the Bank was leveraging on its pan-African strategy to attract capital to the nation’s economy, stressing that the Bank remains committed to increasing capital flows to Nigerian financial market.

    According to her, “As a gateway to the African market for foreign direct and portfolio investments, Ecobank Nigeria is  leveraging on its Pan-African platform, people and products to contribute to the financial and economic development of Nigeria through provisions of foreign exchange solutions and fixed income products to local and foreign customers.” “We remain committed to our African strategy, to increase capital flows to Nigerian financial market through enhanced product offerings, good customer experience and transparency in all transactions”

    She restated the Bank’s commitment  to redouble its efforts on all fronts to remain foreign investors’ favourite for investment deals and also claim its rightful position in the industry.

  • Analysts predict rise in inflation rate

    Collins Nweze

     

    THE Financial Derivatives Company Limited has predicted a jump in headline inflation by 0.25 per cent to 12.10 per cent for December.

    In a report released at the weekend, the investment and research firm said if the prediction becomes accurate, it will be the fourth consecutive month that headline inflation has increased.

    The last time this happened was in 2016 when the economy suffered from a severe growth contraction leading to a recession. In recent times, the spike in the year-on-year headline inflation is largely due to money supply saturation, lower interest rates, increased seasonal demand and base year effects of the border closure.

    Also, the month-on-month inflation is likely to decline to 0.97 per cent (12.25 per cent annualised). This means that Nigerians are probably bypassing the border closure. But more disturbing is the fact that core inflation (inflation less seasonalities) is expected to increase again to 9.2 per cent.

    Nigeria’s inflation rate jumped to 11.85 per cent (year-on-year) in November 2019, representing 0.24 per cent points higher than the rate recorded in October 2019.

    According to the NBS report, “increases were recorded in all Classification of Individual Consumption According to Purpose (COICOP) divisions that yielded the headline index.

    “On a month-on-month basis, the headline index increased by 1.02 per cent in November 2019, this is 0.05 per cent rate lower than the rate recorded in October 2019 at 1.07 per cent.

    “The percentage change in the average composite CPI for the 12 months period ending November 2019 over the average of the CPI for the previous 12 months period was 11.35%, representing a 0.05 per cent point from 11.30 per cent recorded in October 2019.”

     

  • CBN report shows improvement in consumer confidence

    Collins Nweze

     

    THE consumers’ overall confidence outlook rose in the fourth quarter of 2019, as consumers were optimistic in their outlook, the Central Bank of Nigeria (CBN) Consumer Expectation Survey released at the weekend has shown.

    The index at 3.3 points was 6.4 points lower than the index in the corresponding period of 2018.

    Respondents attributed this favourable outlook to improved family income and family financial situation. Also, the consumer outlook for the next quarter and next 12 months were positive at 19.7 and 30.2 points, respectively.

    According to the report, the outlook could be attributed to the expected increase in net household income, expectations to save a bit and/or have plenty over savings and an anticipated improvement in Nigeria’s economic conditions in the next 12 months.

    Most respondents expect prices of goods and services to rise in the next 12 months, with an index of 17.0 points. The major drivers are food & other household needs, savings, purchase of appliances/consumer durables, education, purchase of houses, and purchase of car/motor vehicle (Fig. 2).

    Read Also: CBN retains LDR at 65 per cent

    The overall buying conditions index for big-ticket items in the current quarter stood at 29.7 points. This indicates that majority of consumers believed that the current quarter was not the ideal time to purchase big-ticket items like consumer durables, motor vehicles and house.

    Also, overall buying intention index in the next 12 months stood at 36.5 index points, indicating that most consumers do not intend to buy big- ticket items in the next 12 months.

    The buying intention indices for consumer durables, motor vehicles and house & lot were below 50 points, indicating that respondents have no plans to make these purchases in the next 12 months.

    Also, with indices of -6.3 and 16.5 points, respectively, consumers expect the borrowing rate to fall, but expect the naira to appreciate in the next 12 months.

    The unemployment index for the next 12 months remained positive at 21.0 points in Q4 2019, indicating that consumers generally expect the unemployment rate to rise in the next one year.

    The overall consumer confidence index is computed as the average of the three indices, namely: Economic Condition, Family Financial Situation and Family Income.

    The report said consumers’ overall outlook was positive in the current quarter, as consumers were optimistic in their outlook. Consumers also had a positive outlook for the next quarter and the next 12 months. Majority of consumers believe that the next 12 months would not be an ideal time to purchase big-ticket items like motor vehicles and house.

    Most respondents expected the naira to remain unchanged, inflation rate to rise, and borrowing rate to fall in the next 12 months. The major drivers of the expected upward movement in prices are food & other household needs, savings, purchase of appliances/consumer durables, education and purchase of houses, and purchase of car/motor vehicle.

    The fourth quarter 2019 Consumer Expectations Survey (CES) was conducted during the period November 18 to 27, 2019, covering a sample size of 2,070 households drawn from 207 Enumeration Areas (EAs) across the country, with a response rate of 99.9 per cent.

    Respondents’ distribution by educational attainment showed that 8.6 per cent had university education, 10.7 per cent had higher non-university education, while 26.9 per cent had senior secondary school education. Respondents with junior secondary and primary school education accounted for 4.9 and 19.7 per cent, respectively, while those with no formal education accounted for the balance of 29.3 per cent.