Payment Shocks: IMF Proposes $50bn Trust Fund For Nigeria, Other Vulnerable Middle-income Countries Don't Miss economy Economy & Business Featured Highlighted Lifestyle News news January 21, 20220 In an effort to build resilience to balance of payments shocks, The International Monetary Fund (IMF) has proposed a $50bn trust fund for Nigeria and other low-income and vulnerable middle-income countries. This was disclosed by the IMF in a blog post titled, ‘A New Trust to Help Countries Build Resilience and Sustainability.’ The IMF stated that amid the covid-19 pandemic it is crucial not to overlook the long-term challenge of transforming economies to become more resilient to shocks and achieve sustainable and inclusive growth The report said, “A proposed $50bn trust fund could help low-income and vulnerable middle-income countries build resilience to balance of payments shocks and ensure a sustainable recovery. The IMF explained that the shock of the pandemic shows the importance of
Tension Mounts As CBN Monetary Policy Committee Members Worry Over Nigeria’s Economic Recovery Don't Miss economy Economy & Business Featured Highlighted Lifestyle news January 20, 20220 Members of the Central Bank of Nigeria’s Monetary Policy Committee, MPC, have expressed worry over the fragility of the country’s economic recovery. The country’s economy slipped into recession in the third quarter of 2020 and exited in the following quarter. According to the National Bureau of Statistics, the country’s real GDP grew 4.03 percent (year on year) in the third quarter of 2021, showing sustained positive growth over the last four quarters since the recession witnessed in 2020. Despite the growth, the committee members have expressed worries and recommended measures be taken to boost the growth. The officials expressed their concerns in their personal statements contained in the communique of the last CBN MPC meeting of 2021. According to the CBN governor, Godwin Emefiele, while the economy
Scaring: Naira Takes Another Wicked Tumble, Falls To N581/$1 At peer-to-peer Parallel Market economy Economy & Business Featured Highlighted Lifestyle news January 19, 20220 Naira has fallen to a record low at the peer-to-peer (P2P) parallel market to trade for as high as N581.1 to a dollar. This is according to observations by Nairametrics analysts on P2P exchange applications. At N581.4/$1 it represents a 0.8% decline compared to N576.6/$1 recorded as of the end of the previous week, hitting a record low. Meanwhile, exchange rate at the black market currently trades flat at $571/$ same as recorded in the previous trading session. On the other hand, a look at the official Investors and Exporters window shows that naira closed at N416.33/$1 on Monday, 17th January 2022, representing a marginal appreciation compared to N416.5/$1 recorded on Friday, last week. In a previous week, a sum of $631.89 million
Services And Agricultural Sectors Surged Amid Industrial Sector Dip In Q3 2021 – CBN Don't Miss economy Economy & Business Featured Highlighted Lifestyle news January 19, 2022January 19, 20220 Central Bank of Nigeria (CBN) stated that the Services and Agriculture sectors grew, in real terms, in the third quarter of 2021, while the Industrial sector dipped, owing to the contraction of some of its activity sectors. This was disclosed by CBN, in its 2021 third-quarter economic report. Although the Industrial sector declined, the performance of the Industry sector improved in the third quarter of 2021, recording a lower contraction of 1.63 %, compared to 6.12% in the corresponding quarter of 2020. According to the CBN, the industrial sector’s improvement was due largely to the performance of the Manufacturing and Mining & Quarrying sub-sector. The CBN said, “The services and agriculture sectors grew, in real terms, in the third quarter of 2021, while the industry
Accept And Recommend PAPSS To Businesses In Nigeria – CBN Urges Financial Institutions economy Featured Highlighted Lifestyle news January 14, 20220 The Governor of the Central Bank of Nigeria (CBN), has said that the financial institutions under its jurisdiction will accept the Pan-African Payment and Settlement System (PAPSS) and recommend it to businesses across Nigeria. Mr Godwin Emefiele said this yesterday in Accra, Ghana, during the launch of PAPSS. The CBN governor described PAPSS as a breakthrough achievement for the continent, saying it would help facilitate trade and enhance payment gateways across West Africa. Speaking at the event, Emefiele said, “CBN will ensure the financial institutions under its jurisdiction accept PAPSS and recommend it to businesses across Nigeria. According to Emefiele, the new payment method will aid in the formalization of trade on the continent, as well as benefit households, businesses, and financial institutions. With the
Nigeria Plunge Into More Economic Hardship As FG Overshoots Bebt Servicing By N1.15tn In 11 Months Due To Excessive Borrowings – Document Reveals economy Economy & Business Featured Highlighted Lifestyle news January 12, 20220 The Federal Government exceeded its debt service allocation by N1.15tn for the period between January and November 2021, documents have shown. A copy of the public presentation of the 2022 approved budget by the Minister of Finance, Budget and National Planning, Mrs Zainab Ahmed, showed that the Federal Government allocated N3.32tn for debt servicing in 2021. Further breakdown showed that from the total of N3.33tn, domestic debt was expected to gulp 2.18tn, foreign debt N940.98bn, and sinking fund N200bn. Based on the allocation, the document further showed that the Federal Government hoped to have spent a total of N3.05tn on debt servicing from January to November 2021. Further breakdown showed that it hoped to have spent about N2tn on domestic debt servicing, N862.48bn
Nigerian Economy Hits A New Low As Federal Government Loses N1.474tn To 222 Crude Oil Terminal Shutdowns In 10 Months Don't Miss economy Economy & Business Featured Highlighted Lifestyle News news January 10, 20220 The production of 50.788 million barrels of crude oil valued at N1.474tn was stalled between January and October last year due to community interferences and other challenges forcing oil terminals to shut down production 222 times within the period, OKECHUKWU NNODIM reports Nigeria’s crude oil earnings were depleted by about N1.474tn between January and October 2021 due to various concerns at terminals that prevented the production of 50.788 million barrels of oil during the 10-month period. It was gathered that community interferences, industrial actions by oil workers, COVID-19 outbreak at some terminals, pipeline vandalism, among others, curtailed oil production in various terminals, leading to huge financial losses for Nigeria. This came as stakeholders urged the Federal Government to push for the deployment of latest technologies
Cryptocurrency Industry Saw A Whopping $25.1 Billion In Investments From Venture Funding Don't Miss economy Economy & Business Featured Highlighted Lifestyle news January 10, 20220 The cryptocurrency space saw a lot of interest from asset managers and venture capital organizations in 2021, which translated to a significant amount of investment made in the space during the year 2021. Data from The Block reveals that a total of $25.1 billion in venture funding was allocated across 1,703 cryptocurrency/blockchain deals in 2021. The most dominant deals in 2021 included those made in Decentralized Finance (DeFi), Non-Fungible Tokens (NFTs) or gaming and Web3. When compared to 2020, which saw venture funding of approximately $3.1 billion, this is up over 709.68% when compared to the figure of 2021. 2021 was a power year because looking at the last six years to 2020, investment from venture funds have an aggregated total
Sucker Punch: CBN Makes A Scary Revelation, Says ‘Heavy Debt Servicing Is Taking A Toll On Fiscal Resources Don't Miss economy Economy & Business Featured Highlighted Lifestyle News news January 5, 20220 The Central Bank of Nigeria (CBN) has stated that heavy debt servicing is taking a toll on lean fiscal resources. This was disclosed by a member of the CBN board, Prof. Mike Idiahi Obadan in his personal statement at the last MPC meeting. The debt serving position for Nigeria could hinder the availability of funds to finance critical government programmes and projects. Obadan noted that the Nigerian economy has been vulnerable to economic shocks without a fiscal buffer, which has led to a borrowing spree. “The Federal Government has struggled against the tide of two debilitating recessions in five years, occasioned largely by externally-induced shocks including the coronavirus-induced health and economic shocks. With little or no fiscal buffers, it has had to borrow heavily, domestically and
CBN Pledges To Increase Access To Finance And Credit For Households, Businesses In 2022 economy Economy & Business Featured Highlighted Lifestyle news January 4, 20220 The Central Bank of Nigeria has said that the banking sector will increase access to loans for Nigerian households and businesses in 2022. This was disclosed by Governor of the Central Bank of Nigeria, Godwin Emefiele, in a statement. He stressed the need for all stakeholders to work to build a more resilient economy that would be better able to contain external shocks while supporting growth and wealth creation in key sectors of the economy. Godwin Emefiele stated that the objective of the central bank in 2022 would be to increase access to loans for households. He said, “The policy focus of the bank for 2022 is with a pledge to sustain improved access to finance and credit for households and businesses, mobilise investment