In the news: .1b forex deals attract investors
The Nigerian National Petroleum Corporation on Sunday announced that about 98 per cent of all documents involved in the sale of crude oil were fake.
The international airfares from Lagos to various destinations across the globe have recorded a further increase following the announcement of a new dollar exchange rate for the sale of air tickets.
Operators in the insurance industry and the Nigerian Stock Exchange are strategizing on how to improve the value of insurance stocks and attract investors to the industry.
The naira closed at 370 to the United States dollar on Friday, as dollar supply from the Central Bank of Nigeria continued to wane.
Shell and Chevron, which are major shareholders in the Chevron-run West African Gas Pipeline Company Limited (WAGPCo), owners of the $1 billion West African Gas Pipeline, are not yet aware of the plan by the Nigerian National Petroleum Corporation (NNPC) to extend the 678-kilometre pipeline to Cote D’Ivoire.
Currently worth around $13billion (about N4.01trillion), experts in the Nigerian financial service sector have estimated that Nigeria’s e-commerce market value could rise to $50billion (N15.45trillion) over the next decade.
After five weeks of positive performance, the market had the previous week, the market succumbed to the pressure of profit taking, leading to the Nigerian Stock Exchange (NSE) All-Share Index to close 3.35 per cent lower, despite the release of improved results for the half year results by Access Bank Plc, United Bank for Africa Plc and Ecobank Transnational Incorporated, profit taking continued last week.
This has helped to ease pressure on Nigeria’s forex market, which prior to the action by the regulator had been pummeled by speculators.
Investors last week renewed demand for the shares of Caverton Offshore Support Group Plc (COSG), following the news of award of a contract to it by Chevron Nigeria Limited (CNL).
Foreign investors’ confidence in the economy has been on a rise as a result of the $14.1 billion combined foreign exchange (forex) deals from the Investors’ & Exporters’ FX Window – I&E FX Window- and the Central Bank of Nigeria’s (CBN’s) weekly dollar interventions.
The Lagos Chamber of Commerce and Industry (LCCI) has identified inappropriate and unimplemented policies, as well as unfriendly business environment, as part of the reasons the refineries and other sectors of the economy have failed to attract the required investments.
Despite recent profit takings in the equities investors in the Rights Issue of Unilever Nigeria Plc are still on massive discount of over 27 per cent following the price surge in the equity shortly after the offer opened last month.
The interbank money market will, this week, receive liquidity boost of N193 billion from maturing treasury bills prompting further decline in cost of funds.
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.