A review of the capital importation report of the Nigeria Bureau of Statistics reveals that foreign investment inflow to the manufacturing sector increased by 67.69% in 2023. For the year 2023, FDI inflow to the manufacturing sector stood at $1.59 billion representing an increase of $642.05 million from the $948.43 million recorded in 2022. FDI by quarter When analysed on a quarter-on-quarter basis for 2023, capital importation to the manufacturing sector was highest in the second quarter at $605.04 million while it was lowest in the first three months of the year at $256.12 million. Capital importation for the third and…
Author: Temitope N.
The Nigerian subsidiary of Olam Agri has declared a temporary halt in the purchase of maize and sorghum due to escalating prices nationwide. In a statement, the company cited supply chain disruptions and soaring prices as factors impacting the availability of these essential grains across the country. Olam Agri emphasized its ongoing collaboration with industry peers and government bodies to alleviate the strain on the food supply for Nigerians. It stated, “As a major buyer and processor of food staples, we share the concerns about high prices and supply chain disruptions affecting the availability of essential grains” “In response to…
Arc. Musa Dangiwa, the Minister of Housing and Urban Development, has raised concerns about cement manufacturers using the fluctuating foreign exchange rates as a pretext to significantly increase cement prices, thereby adding to Nigeria’s economic challenges. This issue was brought to light during a meeting Dangiwa convened with key figures from the cement industry, including Dangote Industries Limited’s Group Chief Commercial Officer Rabiu Umar, Lafarge Cement PLC’s Commercial Director Gbenga Onimowo, and the Cement Manufacturers Association of Nigeria (CMAN)’s Secretary James Salako, along with other senior executives from the industry. The meeting took place at the Ministry’s headquarters in Abuja on Tuesday,…
The contribution of the manufacturing sector to Nigeria’s GDP in the fourth quarter of 2023 dropped from 8.40%, as recorded in the corresponding period of the previous year, to 8.23%, according to the GDP report for Q4 published by the NBS. On a quarter-on-quarter basis, the sector’s contribution to GDP dropped by 0.19%, from 8.42% to the current figure. The manufacturing sector’s Q4 2023 Real GDP growth stood at a 1.38% year-on-year increase, representing a slight decline from 2022 but an improvement from the previous quarter. Quarter-on-quarter growth stood at 9.54%. Nominal GDP The Manufacturing sector experienced a notable increase…
Global semiconductor industry; estimated to be worth USD700Billion with a compounded annual growth rate (CAGR) of 12.3% is commonly referred to as “the brainbox of all modern technology and innovation”. The sector produces micro-chips and hardware appliances that control computing devices, smart appliances, transportation and health care equipment, data centers, satellites, energy, and manufacturing equipment as well as military artillery and security systems. The semi-conductor industry creates technology that will drive the Fourth Industrial Revolution through technological breakthroughs in automation, cloud computing, big data, medicine, artificial intelligence, robotics, the Internet of Things (IoT), energy storage and biotechnology. Semiconductors are the essential…
The Manufacturers Association of Nigeria (MAN) has asked the Central Bank of Nigeria (CBN) to work towards reducing the number of Bureau De Change (BDC) operators and develop a sustainable framework to guide credit intervention to the manufacturing sector. The group made the call through its President, Otunba Francis Meshioye while delivering a speech at the MAN Reporter of the Year award ceremony. According to him, the need to reduce the number of BDCs is premised upon the reduction of their excesses and ensuring the proper structure of their operations. Also, he called on the CBN to prioritize FX allocation…
Shuaibu Audu, the Minister of Steel Development, has stated that Nigeria imports steel valued at $4 billion dollars every year. Audu announced this on Thursday while on a familiarisation tour of the National Metallurgical Development Centre (NMDC) in Jos. He mentioned that 70% of Nigeria’s steel is imported and added that President Bola Tinubu is committed to reversing this trend. ”Right now we import about four billion dollars worth of steel, which is over 70 per cent worth of steel in Nigeria. ”Mr President wants us to reverse this trend; he wants to ensure that most of the steel consumed…
The Manufacturing Association of Nigeria (MAN) has reported a concerning trend within the industry, revealing that about 767 manufacturing companies shut down operations while 335 experienced distress in 2023. This development is attributed to various economic difficulties, including exchange rate volatility, rising inflation, and a general worsening of the investment climate. These adversities have taken a toll on the manufacturing sector, significantly impacting its performance and sustainability. MAN’s revelations came alongside its criticism of the Federal Government’s newly introduced Expatriate Employment Levy (EEL), which the association argues contradicts the objectives laid out in President Bola Tinubu’s Renewed Hope Agenda and…
New mining licenses will be issued by the federal government solely to companies that propose a strategy for local mineral processing, as part of the new guidelines being established by the Ministry of Solid Minerals. Segun Tomori, the spokesperson for the Minister of Solid Minerals, Dele Alake, announced the move, indicating a departure from Nigeria’s long-standing practice of exporting raw materials, aligning with the trend among African nations to gain more value from their mineral resources. Tomori mentioned that the government aims to encourage investment by providing incentives such as tax breaks for importing mining machinery, facilitating the acquisition of…
The Federal Government has revoked 924 inactive mining licenses, alleging that miners have facilitated a black market for acquiring mining titles. The revoked licenses comprise 528 exploration licenses, 20 mining leases, 101 quarry licenses, and 273 small-scale mining licenses, according to a statement by Minister of Solid Mineral Development, Dele Alake, on Wednesday. Alake stated that the measure was implemented to stop “license racketeering,” a practice where companies or individuals acquire titles of mineral-rich areas and then sell them to the highest bidders. The Minister also announced that these licenses are now open for new investors to apply on a…
In March 2024, the average fare for Okada transportation per drop in Nigeria saw a modest year-on-year increase of 2.15%, reaching N472.16, up from N462.21 recorded in March 2023. However, the fares in Lagos, Ondo, and Taraba states were significantly higher than the national average during the same month. Lagos led with N850 per journey, followed by Ondo at N725, and Taraba at N670, highlighting regional disparities in transportation costs. These are according to the latest National Bureau of Statistics (NBS) Transport Fare Watch report for March 2024, as published on the website of the data agency. Imo and Yobe…
The Acting Executive Vice Chairman of the Federal Competition and Consumer Protection Commission (FCCPC), Dr. Adamu Abdullahi, has confirmed that the troubled Abuja Chinese supermarket, sealed for discriminating against Nigerians, had all its products priced in Chinese yuan instead of naira. Abdullahi made this disclosure in a recent interview with Channels TV in Abuja published on the agency’s YouTube channel on Sunday. Recall that the commission had sealed the Abuja-based Chinese supermarket located within the China General Chamber of Commerce following accusations of discriminatory practices against Nigerians. Reacting to the development, the CEO of FCCPC said one of the discoveries…
Dr. Adamu Abdullahi, Acting Executive Vice Chairman of the Federal Competition and Consumer Protection Commission (FCCPC), has disclosed that Multichoice submitted a four-page letter detailing the reasons for the price hikes in their cable services, GOtv and DStv. In a recent interview with Channels TV uploaded on Sunday, Abdullahi stated that the company cited the cost of electricity, generator operations and poor access to dollars as some of the reasons for the price increase. He said the commission will review the reasons identified by Multichoice, noting that the agency will involve regulatory bodies such as the National Broadcasting Commission (NBC) and…
The Minister of Industry, Trade and Investment, Doris Uzoka-Anite, has confirmed that about 150,000 individuals received the sum of N50,000 this week from the Conditional Grant Scheme initiated by the Federal Government. The Minister made this disclosure in a statement on her X (formerly Twitter) account on Thursday. Uzoka-Anite also urged the public to be cautious of fraudulent and unscrupulous individuals demanding payments for processing the grant, emphasizing that the scheme is entirely free and does not require any fees. She reiterated that the grant scheme is targeted at 1 million people in total, adding that a list of all…
Inflation in key African countries is expected to slow down into next year but remain high in Nigeria due to acute flooding and a difficult terrain for the Naira currency, a Reuters poll indicated. According to Reuters, the Acute shortage of Dollars in much of the continent including Angola, Nigeria, and Zambia has often boosted home inflation due to a reliance on single commodity currency inflows such as crude oil and copper. The polls conducted by 15 analysts in the past week showed that inflation would be less in countries with better diversified means of dollar revenue such as Kenya. Inflation…
A Swiss multinational, Glencore Plc has indicated interest in investing in Nigeria’s solid mineral sector with a specific focus on nickel, cobalt and zinc. This was made known following a meeting of the company’s representatives led by its Chief Executive Officer (CEO), Mr Gary Nagle with the Minister of Solid Minerals Development, Dele Alake The CEO of the company expressed satisfaction with the efforts of the current administration especially in moving the economy away from oil and gas into solid minerals. He stated, “We are ready to invest provided the government ensures stability in the business climate and creates an enabling…
The Acting Director, of the Banking Supervision Department of the Central Bank of Nigeria (CBN), Dr Adetona Adedeji, has affirmed the bank’s decision to prioritize combating inflation over tackling rising unemployment rates. He said this on the second episode of the CBN Talk podcast, which was uploaded to the bank’s YouTube page on Friday. During his talk, Adedeji emphasized that the central bank’s primary goal is to curb inflation, acknowledging the potential for impacts in other areas. He said: “The ultimate objective is for us to combat inflation. That is exactly what the central bank is doing today. Whatever it…
Multichoice Nigeria, a prominent Pay-TV operator, has once again announced a price increase for its DStv and GOtv packages, this time by at least 25%. This marks the third increment since last year, following the initial adjustment implemented on May 1, 2023. Multichoice stated that the latest increase will take effect from Wednesday, May 1, 2024. While last year’s increment ranged between 19% to 20% depending on the bouquet, the company is now announcing a 25% to 26% increase across its packages. The new subscription fees were communicated to customers via an email titled “Price Adjustment on DStv and GOtv Packages” on…
Uganda’s Ministry of Finance recently disclosed that gold trade in Uganda is back at the top becoming Uganda’s major export. This declaration was based on data compiled from the last 12 months leading up to February when gold trade accounted for 37% of all export revenues. According to Business Insider, Gold was a big deal in Uganda before accounting for over 44% of Uganda’s export income but tax issues hampered the trade and watered down its effect on the Ugandan economy. This interruption of the gold trade by tax issues lasted for over a year. Back in May 2023, the Ugandan…
The Lagos State Government, on Thursday, closed Oniru Market in Eti Osa due to violations of environmental regulations. Tokunbo Wahab, the Commissioner of Environment and Water Resources for Lagos State, announced the closure on his official X (formerly Twitter) account. He shared a video of the market being sealed by officials of the Lagos State Environmental Sanitation Corps and posted a brief note stating the market was sealed over environmental infractions.. “Lagos State government sealed Oniru Market over environmental infraction,” Wahab post read. Over recent months, the Lagos State Government has actively closed several markets across the state, enforcing its…