Manufacturers’ embrace needs support

Nigeria hopes that its ambitious Economic Recovery and Growth Plan (ERGP), will help it achieve its economic diversification agenda. It wants to see manufacturers source their raw materials locally, which it sees as a panacea to myriads of issues faced by manufacturers. Manufacturers are being asked to, therefore, embrace backward integration, with hopes that this would […]

The burden of insurance stocks

The insurance sub-sector of the Nigerian financial services industry is overwhelmed by many challenges, including narrow product development, a dearth of innovation and a pervading weak corporate governance structure, which have led to low insurance uptake at one percent and poor returns. The above have affected investors’ sentiments about the industry, which has affected value […]

Bonds as instruments to deepen the Nigerian capital market

A nation’s capital market is a crucial aspect of its economy. The reason is not farfetched since the capital market provides a mechanism or an avenue for raising long-term capital for development by both governments and corporate institutions. The common security in this regard is bond. Bonds are debt securities that are issued by companies […]

The brewery industry cash cows at war

Ade Olawale, a consultant, and businessman is a loyal customer of the Nigerian Breweries premium brand, Heineken, which has been his companion since his days in the University, almost 15 years ago. He refused to change his brand as Heineken, aside from being a social class drink due to its higher price when compared to […]

The CBN policy on dividend payout by banks: Power to shareholders?

Godwin Emefiele, Governor, CBN

Recently, the Central Bank of Nigeria published a circular, which introduced measures that serve both as a prerequisite and also dictates how residue owners of both deposit money banks and discount houses should be rewarded. KAYODE OGUNWALE looks at the implications for the banks and their shareholders. Prior to the 2008 recession, many banks were […]

MTN’s $500m IPO, finally something for everyone

There are many institutional and individual investors out there who have always looked forward to this day. Since South African MTN came to Nigeria in 2001 and began to make a lot of money, they had looked forward to a time when they could have a chance to partake of the fortune of the company […]

Reasons global markets are in ‘free fall’

European stock markets reeling from an overnight sell-off in the US and Asia were heading for the worst drop since the Brexit referendum this morning, jolted by investor fears about interest rates and government bond yields. As the Dow Jones gloom spread, the Stoxx Europe 600 index fell 3% in early trading in London, with […]

Manufacturing under siege from all sides as epileptic power, poor infrastructure, high inflation, make positive PMI mere statistics

With the Manufacturing Purchasing Managers’ Index at 59.3 index points in December, 2017, which indicated an expansion in the manufacturing sector for the ninth consecutive months, according to the Purchasing Managers’ Index (PMI) survey report by the statistics department of the Central Bank of Nigeria (CBN), Nigeria’s government’s assertion that business is booming seems justified. […]

Is FSS 2020 a missed target?

Godwin Emefiele, Governor, CBN

With about three years to the Financial System Strategy 2020 set by the Central Bank of Nigeria, Donatus Eleko wonders if the target can be met? The Financial System Strategy 2020 (FSS 2020) was conceptualised in 2006 by the Central Bank of Nigeria (CBN), in collaboration with other key financial sector regulators to fast track […]