A new report released by Standard Chartered has cast a hopeful light on the future of Africa’s trade landscape, with projections that Africa’s total export could potentially reach a significant milestone of $1 trillion. This report, titled “Future of Trade: Africa Report,” delves into the prospects for trade within the African continent and provides insights into the role of the African Continental Free Trade Area (AfCFTA) as a pivotal driver for bolstering intra-African trade. The report outlines that Africa’s overall exports are poised to ascend to $952 billion by 2035. The full enactment of the AfCFTA presents a promising opportunity…
Author: Temitope Nlewemchi
Between September 30 and October 6, a disturbing total of 128 crude oil theft incidents sent shockwaves throughout the oil-producing regions of the Niger Delta, painting a grim picture of ongoing illicit activities that threaten both the environment and the economy. This revelation stems from a comprehensive report featured in the weekly “Energy and You” series, a production by the Nigerian National Petroleum Company Limited (NNPCL) , and broadcast on the NTA News Network. In the span of just one week, the specific time frame in question, a plethora of illicit activities tarnished the oil sector’s integrity. The tally included…
The International Finance Corporation (IFC) and Morocco’s OCP have finalized an agreement securing a $106 million loan for the development of two solar plants in Morocco, further advancing OCP’s efforts to boost the production of low-carbon fertilizers in the country. On October 10, the Office Chérifien des Phosphates (OCP), a Moroccan state-owned enterprise specializing in phosphates and fertilizers, announced a significant partnership with the International Finance Corporation (IFC), marking a significant milestone in their ongoing efforts to support sustainable energy projects in Morocco. This financial injection aligns with OCP’s overarching mission to increase the production of low-carbon fertilizers in the…
Despite the assurance of a price reduction, the cost of BUA Cement has not seen a significant change and continues to retail at the old price range of between N5,300 and N5,500 in Lagos, as per findings by Infostride News. The announcement of the price reduction was made by Abdul Samad Rabiu, the Group Chairman of BUA Cement Plc. This announcement came following a meeting with President Bola Tinubu at the State House, Abuja, on September 15, 2023. Despite the expected implementation date being one week ago, the revised price has yet to be realized, with various cement retailers and…
The Manufacturers Association of Nigeria (MAN) has issued a compelling call to the government, urging the swift development of comprehensive policies to rectify persistent hindrances that are hampering local production in the country. This appeal was made by Otunba Francis Meshioye, the President of MAN, during the association’s 51st Annual General Meeting (AGM) news conference held in Lagos. The upcoming AGM, scheduled for October 17 to October 19, 2023, is themed “Setting the Agenda for Competitive Manufacturing Under the AFCFTA: What Nigeria Needs to Do.” According to Meshioye, this theme was carefully selected, taking into account the growth trajectory of…
The Imo State Government has embarked on a mission to enhance the aviation infrastructure at the Sam Mbakwe International Cargo Airport, Owerri. A deadline has been set, and the government is committed to completing the installation of Airfield Lighting (AFL) by the end of October 2023. This development was disclosed by Mrs. Rejoice Ndudinachi, the Owerri Airport Manager, during a fact-finding mission carried out by the Avia-cargo Roadmap Committee, established by the Federal Airports Authority of Nigeria (FAAN). The committee’s primary objective is to examine the challenges associated with cargo export in Nigeria and offer recommendations to bolster the country’s…
The Minister of Solid Minerals Development, Mr. Dele Alake, has made a resolute commitment to actively harness the untapped potential within Nigeria’s solid minerals sector as a strategic driver of the nation’s economic growth. This determination was expressed during a recent meeting with a delegation from the Miners Association of Nigeria, led by its National President, Mr. Dele Ayanleke. The Ministry of Solid Minerals Development officially disclosed this information in a statement issued by Alaba Balogun, the Head of Press and Public Relations at the ministry. Dr. Alake underscored the immense importance of the Federal Government’s strategic shift in focus…
Nigeria’s Minister of Finance and Coordinating Minister for the Economy, Mr. Wale Edun, recently made a significant announcement regarding the country’s position as a highly sought-after investment destination. According to his statement delivered during an interview with journalists in Marrakech, Morocco, as part of the ongoing 2023 World Bank/International Fund (IMF) Annual Meetings, Nigeria has firmly established itself as the third-largest economy that investors are actively pursuing, following in the footsteps of economic powerhouses China and India. Edun’s remarks underlined the critical importance of proactive measures to harness this growing interest and translate it into tangible investments, particularly in key…
During a press briefing in preparation for the Nigeria Economic Summit scheduled for October 23 to 24, 2023, the Minister of Budget and Economic Planning, Sen. Atiku Bagudu, unveiled the federal government’s ambitious goals for the nation’s economic growth. First and foremost, the government aims to elevate Nigeria’s GDP per capita to $6,000 by 2030, nearly tripling the current figure of $2,184. Additionally, the plan is to reduce the unemployment rate to a mere 6%, down from the latest reported rate of 4.1%. To add to this, there are further aspirations to significantly decrease the poverty rate to an astonishingly…
Over the past four years, foreign investment inflow from South Africa into Nigeria has experienced a significant decline, plummeting by more than 80%. In the years following the return to democracy, South Africa, Africa’s most advanced economy, has considered Nigeria, Africa’s largest economy, as a strategic investment destination. Nigeria’s status as the continent’s largest market in terms of population and age had made it an attractive destination for South African businesses seeking growth opportunities beyond their borders. Nonetheless, the recent departure of some major South African enterprises from Nigeria suggests a slowdown in the capital outflow into Nigeria. An examination…
Benjamin Kalu, the Deputy Speaker of the House of Representatives, has expressed his apprehension regarding Nigeria’s continued dependence on debt for its budget allocations and economic development. At a stakeholders’ dialogue held in Lagos on Saturday to discuss the implementation of Section 45 of the Fiscal Responsibility Act, Kalu emphasized the necessity for Nigeria to achieve self-sufficiency and independence rather than relying on loans. Kalu, represented by Mr. Nalaraba Abubakar, Chairman of the House Committee on Loans and Debt Management, pointed out that previous administrations resorted to loans to fund their budgets, a practice he deemed unsustainable. “We encourage states…
Oxfam International has issued a report indicating that emerging economies, including some of the world’s most impoverished nations, are on the verge of facing budget cuts exceeding $220 billion over the next five years due to an impending debt crisis that has pushed many countries to the brink of default. This information comes from a recent Oxfam report released coincidentally with the commencement of the IMF-World Bank meetings in Marrakech. The report, drawing upon IMF projections, also reveals that low- and lower-middle-income nations are expected to grapple with daily interest and debt payments totaling nearly half a billion dollars until…
The United Kingdom (UK), the United States of America (USA), the Republic of South Africa (RSA), Singapore, and the United Arab Emirates (UAE) collectively accounted for a significant 79% of Nigeria’s capital imports between 2019 and the first half of 2023. However, these major contributors have experienced substantial reductions in their investment volumes. The UK saw the most significant decline, plummeting by a staggering 85.49% from $11 billion in 2019 to an estimated annualized value of $1.61 billion in 2023. Similarly, the USA followed suit with an 84.4% drop, going from $4.69 billion to an expected annualized figure of $734.6…
In an editorial, the Financial Times publication based in London has observed that President Tinubu’s economic reforms appear to be encountering challenges, suggesting that despite his initial bold steps, which included the removal of fuel subsidies and a shift toward a market-driven exchange rate, events in the past four months indicate that further efforts are needed. The publication stated: “While President Tinubu has made progress by eliminating a costly fuel subsidy and transitioning to a market-driven exchange rate, which has significantly devalued the previously overvalued currency, his reform agenda seems to be encountering obstacles four months into his presidency.” Regarding…
In its latest World Economic Outlook report, the International Monetary Fund (IMF) has reduced its economic growth projections for Sub-Saharan Africa. According to the report, the region’s economic growth is expected to slow for the second consecutive year in 2023 before rebounding in 2024. The IMF’s World Economic Outlook report indicates that the growth in the region is projected to decline to 3.3% this year, down from the 4% growth observed in the previous year, with a subsequent recovery to 4% in 2024. This projection is slightly lower than the IMF’s July forecast, which had anticipated growth of 3.5% in…
In September, Egypt experienced an unprecedented surge in inflation, reaching a historic high of 38%, a figure that exceeded expectations, according to Reuters reports. Data from the statistics agency CAPMAS revealed that the annual urban consumer price inflation, which was 37.4% in August, witnessed a significant increase. This surge in inflation represents the fourth consecutive month of reaching record highs, as reported on the central bank’s website, which has maintained data records dating back to 2000. The main factors contributing to this inflationary trend were the rising prices of food and beverages. A poll of 18 analysts had predicted a…
The Lagos State Government is embarking on a cutting-edge Geographic Information System (GIS) project to revolutionize property mapping and identification processes. This initiative is set to significantly streamline the Land Use Charge (LUC) billing and payment procedures within the state. Mr. Abayomi Oluyomi, the Commissioner of Finance, unveiled this forward-looking system during a Land Use Charge Matters event in Lagos. He emphasized that this innovative system will effectively eliminate the possibility of property owners evading their Land Use Charges. He stated, “Commencing from December 2023, the State Government will be embracing the Geographic Information System to facilitate the prompt collection…
Dave Umahi, the Minister of Works, has issued a stern warning, stating his intention to refer ministry officials who have colluded with contractors to obstruct the government’s initiatives to the Independent Corrupt Practices and Other Related Offences Commission (ICPC) for potential prosecution. This development comes nearly two weeks after an altercation between Umahi and ministry staff when he locked them out of their offices. Umahi disclosed this during an interview with State House correspondents at the State House in Abuja, following a meeting with President Bola Tinubu. He emphasized his determination to eliminate these individuals from the ministry, accusing them…
MTN Nigeria Plc recorded a loss of N143 billion in market value at the end of Tuesday’s trading session on the Nigerian Exchange to rank among the losers of the day. MTN Nigeria’s share price depreciated by 3.26% to close at N208.00 per share, taking the market capitalization to N4.233 trillion from the N4.376 trillion it closed the previous day. Low sentiment: The decline in share prices can be attributed to investors’ low sentiment informed by the 2023 general elections approaches, even as speculators continue to move their funds to money market instruments for higher yield following the interest rate hike.…
Nigeria’s exchange rate crisis had crashed foreign investor participation in the stock market to just 16.8% when compared to their domestic counterparts. This is largely due to capital controls put in place by the central bank limiting currency repatriation as well as the disparity between the official and parallel market rates. On Tuesday, the exchange rate between the naira and the dollar fluctuated between N444 and N446 to the dollar at the official market. However, the rate on the parallel market was N745 to the dollar. The parallel market, where the dollar is freely exchanged but at a premium of 80% to…