Category: Uncategorized

CFG AFRICA MACROECONOMIC HIGHLIGHTS 02062025

FX pushed cost of imported raw materials to N6.64trn in 2024 – The cost of imported raw materials surged by 118 per cent to N6.64 trillion in 2024 alone due to the depreciation of the exchange rate, Manufacturers Association of Nigeria (MAN) has disclosed. The Director General of MAN, Segun Ajayi-Kadir, disclosed this while delivering a keynote address at the BusinessDay Manufacturing Conference in Lagos. Ajayi-Kadir highlighted how unstable exchange rate, inadequate power supply/ high cost of energy, high inflation, insecurity, multiplicity of regulatory agencies and high regulation costs, high interest rate, among others are constraining the manufacturing sector in Nigeria….(Read More) Equities gain N1.7 trillion as investors jostle for blue chips – Renewed investor confidence, supported by strong macroeconomic fundamentals, propelled the Nigerian equities market to new heights last week, adding a substantial N1.7 trillion to its market capitalization. The bullish momentum pushed several stocks to fresh 52-week highs and drove the all-share index (ASI) up by 2.49 per cent week-on-week, closing at 111,742.01 points. The rally reached a symbolic milestone midweek as the ASI broke through the psychological barrier of 112,000 points for the first time in history, peaking at 112,237.26 points before mild profit-taking moderated the gains. Market capitalization also rose by 2.49 per cent to an unprecedented N70.46 trillion…..(Read More) Nigeria risks losing N3.43tr to gas flaring – NEITI – The Nigeria Extractive Industries Transparency Initiative (NEITI) has expressed concern over the volume of gas flared in 2023, amounting to 183.408 billion standard cubic feet (SCF). The Executive Secretary of NEITI, Dr Orji Ogbonnaya Orji, stated this at a high-level policy dialogue in Abuja. He also said the lost gas had an estimated economic value of $458.52 million or N685.95 billion.. Orji emphasised that such losses, if sustained, could amount to over $2.29 billion or N3.43 trillion in five years, and were funds that could support education, health, infrastructure and climate resilience for host communities…….(Read More) Dangote Refinery Sustains US Crude Purchase With 5m Barrels– To sustain refining operations, the Dangote Refinery has placed import order of at least five million barrels of US West Texas Intermediate (WTI) crude oil in July, thus extending its buying spree after a potential record tally for June. The giant new 650,000 barrel per day capacity oil refinery is set to import around 161,000 bpd of WTI in July after awarding tenders in recent days, off the back of a record 300,000 bpd booked in its June tenders. Final totals for the month could change should the refinery make more purchases, according to Reuters….(Read More) Asia shares, dollar slip as tariff tensions darken mood –  Asian share markets and the dollar made a soft start on Monday as U.S.-China trade tensions continued to simmer, while investors turned defensive ahead of key U.S. jobs data and a widely expected cut in European interest rates. There was little obvious reaction to President Donald Trump’s threat late Friday to double tariffs on imported steel and aluminium to 50%, beginning on June 4, a sudden twist that drew the ire of European Union negotiators..…(Read More) Trump says China ‘totally violated’ tariff truce after US warns trade talks have ‘stalled’ – as it happened – Donald Trump has accused China of breaking the tariff truce the two nations agreed in Geneva just a few weeks ago. Both countries had agreed to temporarily pause their escalating tariffs, which at one point hit 145%. The president wrote on his social media platform Truth Social: “I made a FAST DEAL with China in order to save them from what I thought was going to be a very bad situation, and I didn’t want to see that happen. Because of this deal, everything quickly stabilized and China got back to business as usual. Everybody was happy! That is the good news!!! The bad news is that China, perhaps not surprisingly to some, HAS TOTALLY VIOLATED ITS AGREEMENT WITH US. So much for being Mr. NICE GUY!….(Read More)

CFG AFRICA MACROECONOMIC HIGHLIGHTS 28052025

 Airtel, insurance stocks push market cap beyond N70tn – The Nigerian Exchange closed on a bullish note on Tuesday as the equities market capitalisation surged past the N70tn mark, following renewed investor interest in heavyweight stocks like Airtel Africa and key players in the insurance sector. At the close of trading, the All-Share Index rose by 1,721.29 points, representing a 1.57 per cent increase to settle at 111,606.22 basis points. This rally pushed the market capitalisation up by N1.09 tn to close at N70.38 tn, compared to N69.29 tn recorded in the previous session. The market performance was largely driven by buying interest in Airtel Africa….(Read More)  Fresh $24bn borrowing may balloon Nigeria’s debt to N183tn – Nigeria’s public debt is set for another significant jump as President Bola Tinubu has requested the National Assembly’s approval to secure fresh foreign loans amounting to about $24.14bn. At the prevailing official exchange rate of N1,583.74/$1, the proposed borrowing would add approximately N38.24tn to the existing debt stock, potentially pushing Nigeria’s total public debt from N144.67tn at the end of 2024 to over N182.91tn by 2026. The fresh borrowing is composed of $21.54bn, €2.19bn, and ¥15bn. Using the latest market exchange rates—€1 to $1.1381 and ¥1 to $0.0068—the euro component converts to approximately $2.5bn while the Japanese yen translates to $102m………(Read More) Sugar ‘crisis’: Analyst warns FG against punitive taxes – A Lagos-based public affairs analyst, Omonaye Okoro, has cautioned the federal government against what he called punitive taxes following the current debate on the call for increased taxation on Sugar-Sweetened Beverages (SSBs). Led by internationally funded advocates such as the Corporate Accountability and Public Participation Africa (CAPPA), some analysts have argued that taxing SSBs will reduce non-communicable diseases (NCDs) like obesity and diabetes. In his opinion piece titled “Nigeria’s Sugar “Crisis” Is a Myth – And Our Economy May Pay the Price for Believing It,” Okoro noted that the CAPPA’s recent report, “Junk on Our Plates,” attempted to portray the tax hike as a bold step toward public health reform……(Read More) Dangote targets N11.2bn daily revenue from fertiliser export – The President of Dangote Industries Limited (DIL), Alhaji Aliko Dangote, has disclosed that DIL will be generating $7 million, (N11bn) daily as revenue from the export of fertiliser from Dangote Industries Limited in the next two years. This is coming just as the Nigerian Ports Authority (NPA) is partnering Dangote Industries Limited to expand the nation’s export operations. Similarly, the NPA revealed that 57 vessels belonging to Dangote Refineries were treated monthly under the naira-for-crude initiative since October 2024 when the programme started. Speaking on Monday, during a courtesy call to the NPA headquarters in Lagos, President of DIL, Aliko Dangote explained that as the biggest customer to the NPA, it is important that the interaction between NPA and DIL is sustained….(Read More) Chinese trade truce lifts US consumer confidence –  Consumer confidence in the United States improved significantly in May following a truce in the ongoing trade war between Washington and Beijing. This marks a positive turn after five consecutive months of declining sentiment. According to Reuters, the Conference Board, a global economic research group, reported on Tuesday that its consumer confidence index rose by 12.3 points to reach 98.0 in May. This figure exceeded economists’ expectations, who had predicted a more modest increase to 87.0. Reuters added that about half of the survey responses were collected after May 12, when the White House announced a temporary deal to reduce tariffs on Chinese imports from 145 per cent to 30 per cent for 90 days.…(Read More) Britain is still hoping to slash Donald Trump’s 10% tariffs on UK goods, says Peter Mandelson – Britain is hoping to negotiate down Donald Trump’s 10 per cent ‘baseline’ tariffs on UK good sold to America, Lord Mandelson said today. The Labour peer, who is the UK’s ambassador to the US, outlined how work is ongoing to ‘address’ the ‘reciprocal’ tariffs the US President has imposed. Earlier this month, Prime Minister Sir Keir Starmer and Mr Trump announced an agreement to provide UK relief to American tariffs on cars and steel. But a 10 per cent baseline tariff on most UK goods, described by Mr Trump as a ‘reciprocal’ tariff, still remains in place despite the trade deal…….(Read More)

CFG AFRICA MACROECONOMIC HIGHLIGHTS 23052025

Raising economic growth with MPC decisions – The Monetary Policy Committee’s decision to retain the benchmark interest rate at 27.5 per cent, as expected, has triggered various reactions, FELIX OLOYEDE reports The Monetary Policy Committee tightening measures have constituted significant levers pulling inflation down. By retaining the benchmark interest rate at 27.5 per cent, leaving other parameters unchanged and instituting tough liquidity control measures, the MPC says it has worked to curb demand and anchor inflation expectations. Domestic and global investors were all waiting for the Central Bank of Nigeria-led Monetary Policy Committee decisions at its 300th meeting concluded on Tuesday in Abuja…..(Read More) Dangote slashes petrol price again amid import glut – The Dangote Petroleum Refinery has announced a fresh reduction in the pump prices of Premium Motor Spirit (petrol) across the country, as the competition in the downstream oil sector heightens. The plant announced that the new rates now range from N875 to N905 per litre, depending on location. The new price regime, which marks a N15 reduction per litre across all regions and partner retail outlets, was posted on the official social media handle of Dangote refinery on Thursday. It applies to all major fuel marketers in partnership with the refinery, including MRS, Ardova, Heyden, Optima Energy, Techno Oil, and Hyde Energy…….(Read More) NCDMB Opens Africa Energy Bank To Fund Local Companies In Oil and Gas – The Nigerian Content Development and Monitoring Board (NCDMB) says it has partnered with other stakeholders in the sector to form Africa Energy Bank in order to create more funding availability for local companies in the energy sector. Executive Secretary of NCDMB, Engr Felix Omatsola Ogbe, who disclosed this during the ongoing Nigerian Oil and Gas Opportunity Fair (NOGOF) 2025 holding at the Nigerian Content Tower in Yenagoa, Bayelsa State capital, said the bank will be open for business at the end of the second quarter of 2025 with its headquarters in Abuja, explaining that it will help boost local companies’ participation….(Read More) FG to raise N300bn via bond auction – The Federal Government, through the Debt Management Office, has announced plans to raise N300bn from the bond market via auction on May 26. According to the offer circular released by the DMO on Thursday, the issuance comprises an N100bn reopening of the 19.30 per cent FGN April 2029 bond (five-year tenor) and an N200bn reopening of the 19.89 per cent FGN May 2033 bond (nine-year tenor). The bonds are offered in units of N1,000 each, subject to a minimum subscription of N50,001,000 and in multiples of N1,000 thereafter…(Read More) Nigeria gets first regional maritime bank – The Minister of Marine and Blue Economy, Adegboyega Oyetola, has announced that President Bola Ahmed Tinubu has given approval for Nigeria’s hosting of the long-awaited Regional Maritime Development Bank (RMDB) and appointed a Nigerian, Mr Adeniran Aderogba, as the bank’s first president and chief executive officer.  A statement by Dr Bolaji Akinola, Media and Communications Adviser to the Minister of Marine and Blue Economy, stated that the approval marks the historic takeoff of a project that has been in the works since 2009, when member states of the Maritime Organisation of West and Central Africa (MOWCA) first approved the establishment of the bank..…(Read More) US business activity improves in May; inflation poised to accelerate sharply – US business activity picked up in May amid a truce in the trade war between Washington and China, but President Donald Trump’s sweeping tariffs on imported goods raised prices for companies and consumers. The survey from S&P Global on Thursday (May 22) hinted at an acceleration in inflation in the coming months and a labour market slowdown, a reminder that stagflation remained a risk for the economy despite steps by the Trump administration to de-escalate trade tensions with Beijing……(Read More)

CFG AFRICA MACROECONOMIC HIGHLIGHTS 19052025

 FG grants China approval to establish electric vehicle factories – The Chinese Ambassador to Nigeria, Yu Dunhai, has harped on the imperative of enhanced collaboration between China and Nigeria in unlocking the potential of Nigeria’s Solid Minerals sector through the establishment of electric vehicle factories in Nigeria. Dunhai disclosed this while paying a courtesy visit to the Minister of Solid Minerals Development, Dr Dele Alake, in his office, where he emphasised the importance of closer ties between both nations in advancing Nigeria’s industrial growth. A statement by the minister’s Special Assistant on Media, Segun Tomori, on Sunday, disclosed plans by China to establish electric vehicle factories in Nigeria….(Read More) CBN slashes FG loans by over N4tn – The Central Bank of Nigeria recorded a significant decline of N4.145tn in net loans and receivables in 2024, driven primarily by a reduction in its overdraft exposure to the Federal Government and changes across other loan categories. According to the apex bank’s audited financial statements, net loans and receivables at the bank level dropped from N16.122tn in 2023 to N11.977tn in 2024. At the group level, the figure declined from N15.091tn to N10.959tn, reflecting a N4.132tn drop. The most substantial adjustment came from the overdraft extended to the Federal Government under the Ways and Means provision. The Ways and Means provision in Nigeria refer to the….(Read More) Nigeria now member of European reconstruction, development bank – Nigeria has been formally admitted as a member of the European Bank for Reconstruction and Development (EBRD), marking a step towards boosting private sector access to international capital and supporting the country’s long-term economic transformation. The Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, led a high-level delegation to the EBRD 2025 Annual Meetings in London, where its admission was formalised, a statement by Mohammed Manga, Director of Press at the finance ministry, has said). Speaking at the Board of Governors’ Plenary Session, Edun described Nigeria’s membership as a strategic milestone which aligns with President Bola Ahmed Tinubu’s Renewed Hope Agenda…..(Read More) Tantalizers acquire Grand Media entertainment firm – Tantalizers Plc has announced its acquisition of Grand Media Projects Limited, a media and entertainment company co-founded by veteran filmmaker Tade Ogidan and actor Richard Mofe-Damijo, marking a shift by the food services firm into Nigeria’s entertainment and creative industry. The move was disclosed in a corporate notice filed with the Nigerian Exchange Limited and signed by the Company Secretary, Olamide Babawale-Mo, recently. The development signals Tantalizers’ efforts to diversify its business portfolio beyond the food sector and tap into the growing influence and economic potential of the Nigerian creative economy…..(Read More) NNPCL refineries not producing enough petrol – DAPPMAN –  The Depot and Petroleum Products Marketers Association of Nigeria has said that its members can only buy Premium Motor Spirit (petrol) from the Dangote Petroleum Refinery, as the refineries owned by the Nigerian National Petroleum Company Limited cannot optimally produce premium motor spirit but naphtha. DAPPMAN’s Executive Secretary, Olufemi Adewole, confirmed this in a chat with our correspondent on Sunday. According to him, DAPPMAN members are ready to lift petroleum products from the Dangote refinery as the only viable petrol-producing facility in the country. Consequently, he stressed that the marketers will only resort to importation if they cannot get the product locally. He highlighted that the Dangote refinery was not ready to sell premium motor spirit ….…(Read More) Moody’s downgrades US credit rating, citing rising debt – Moody’s Ratings has downgraded the nation’s credit rating one notch from Aaa to Aa1, leaving the U.S. government without a top grade among any of the major rating agencies. Moody’s cited rising debt and interest payment ratios that are “significantly higher than similarly rated sovereigns.” “Successive U.S. administrations and Congress have failed to agree on measures to reverse the trend of large annual fiscal deficits and growing interest costs,” Moody’s said in a Friday news release. “The U.S.’s fiscal performance is likely to deteriorate relative to its own past and compared to other highly-rated sovereigns.”For U.S. consumers, lower ratings……(Read More)

CFG AFRICA MACROECONOMIC HIGHLIGHTS 16052025

Economic strain: Inflation surges above 30% in Abuja, 10 states – The National Bureau of Statistics released its Consumer Price Index report for April 2025, revealing a slight easing in Nigeria’s inflation rate compared to previous months and the same period last year. The headline inflation rate moderated to 23.71 per cent year-on-year, marking a decline from 24.23 per cent recorded in March 2025 and a sharp reduction from 33.69 per cent in April 2024. On a month-on-month basis, the inflation rate dropped sharply to 1.86 per cent in April 2025, down from 3.90 per cent in March. This indicates a slower rate of price increases across consumer goods and services during the month……(Read More) Nestle, Honeywell lift equity market to N257bn gain – The Nigerian Exchange gained N257bn in market capitalisation on Thursday, as investors showed renewed interest in consumer goods and industrial stocks, led by Nestle Nigeria, Honeywell Flour Mill, and Beta Glass. At the close of trading, the market capitalisation rose to N68.8tn, up from N68.54tn recorded at the previous session. Similarly, the All-Share Index appreciated by 408.31 points, representing a 0.37 per cent increase to close at 109,467.64 basis points. The day’s performance was driven by gains in blue-chip stocks….(Read More) $200m investments signed at 12th Africa CEO forum – Investors at the 12th Africa CEO Forum have signed agreements to invest $200m in various sectors in the continent. The Forum, which held in Abidjan, Côte d’Ivoire, saw the presence of more than 2,800 business leaders, investors, and public decision-makers from 90 countries under the theme: “Can a New Public-Private Deal Reshape the Continent’s Future?” A statement stated that participants explored ways to strengthen collaboration between the public and private sectors to boost Africa’s economic growth. “Discussions centred on three key pillars: Improving economic governance, optimising public policy and accelerating the implementation of the African Continental Free Trade Area (AfCFTA)…….(Read More) Nigeria Positions To Tap $600bn Annual Upstream Investment In Africa’s Oil Sector – NUPRC – Nigeria has repositioned to tap into the projected $600 billion annual upstream investment required to grow Africa’s oil sector, estimated to hit about $3 trillion by 2030. The Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Gbenga Komolafe, who made this known, also disclosed plans to raise the active oil rigs in Nigeria’s petroleum sector from the current 36 to 50 by the end of 2025. Speaking at the ongoing 2025 Africa Energies Summit (AES) in London, United Kingdom, Komolafe noted that from eight oil rigs in 2021, President Bola Tinubu’s recent reforms have significantly removed the bottlenecks and enhanced investment in the country’s oil sector……….(Read More) Inflation Rate Eases To 23.71% In April On Food Price Decline – NBS –  Nigeria’s headline inflation rate eased for the first time in months, dropping to 23.71 per cent in April 2025 from 24.23 per cent recorded in March 2025, according to the latest report released by the National Bureau of Statistics (NBS). The 0.52 percentage point decline marks a modest relief in the country’s ongoing battle with inflation and is the first major indicator released under the recently rebased CPI, which now uses 2024 as the new base year, with 2023 as the reference period for expenditure weights. On a month-on-month basis, headline inflation slowed significantly to 1.86 per cent in April from 3.90 per cent in March — a 2.04 percentage point drop that suggests a deceleration in the pace of price increases, especially in key sectors……(Read More) JPMorgan Chase CEO Jamie Dimon says recession is still on the table for U.S. – Wall Street titan Jamie Dimon said Thursday that a recession is still a serious possibility for the United States, even after the recent rollback of tariffs on China. “If there’s a recession, I don’t know how big it will be or how long it will last. Hopefully we’ll avoid it, but I wouldn’t take it off the table at this point,” the JPMorgan Chase CEO said in an interview with Bloomberg Television. Specifically, Dimon said he would defer to his bank’s economists, who put recession odds at close to a toss-up. Michael Feroli, the firm’s chief U.S. economist, said in a note to clients on Tuesday that the recession outlook is “still elevated, but now below 50%.”…….(Read More)

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