My Blog

Category: Business

  • Telecom sector contributes N2.508trn to Nigeria’s GDP – NCC

    The telecommunications and Information Services sector in Nigeria has, in the first quarter 2023, delivered a handsome N2.508 trillion in terms of financial value contribution to the nation’s gross domestic product (GDP), representing 14.13 percent.

    Figures released by the National Bureau of Statistics (NBS) showed that the sector recorded a 4.3  percent   increase from its performance in the last quarter of 2022 when it recorded 13.55  percent.

    When compared on a year-on-year basis, the growth showed a positive progression from 12.94  per cent  in the first quarter of 2022 , to the 2023 figure of 14.13, which is an approximate growth of 9.19  per cent. 

    The percentage of telecom contribution to GDP was calculated from 46 distinct sectors of the economy, which constitute telecom and information services baskets.

    The Nigerian telecom industry has continued its show of positive outlook, which is credited to the innovative and predictable telecom regulatory environment promoted, and implemented by the Nigerian Communications Commission (NCC).

    One of the key highlights of the telecom industry performance within the period was the generation of $820.8 million for the federal government from 5G spectrum licences fees paid by three eventual winning operators, MTN, MAFAB and Airtel.

    Following the issuance of the licences in December 2021 to MTN and MAFAB, both companies have launched 5G services. Airtel, which received its licence in December 2022, is set to launch services this month, June 2023.

    Another major development in the sector was the launch of Starlinks broadband services, a satellite-based wireless broadband services with potential nationwide coverage. This followed the issuance of licence to Elon Musk-owned SpaceX by the Commission. The services are now available in different parts of the country.

    Meanwhile, the growth statistics of the telecom industry are showing an impressive record of contributions to the economy. The number of phone subscribers as at April 2023, stood at 223.6 million subscribers, scoring a teledensity of 117  per cent. Internet subscribers for the same period were 157 million while Broadband subscriptions stood at 92 Million, translating to 48  percent broadband penetration in the country.

  • FCCPC recommences registration of digital money lenders

    Federal Competition & Consumer Protection Commission (FCCPC), has said it is recommencing the registration of digital money lenders in Nigeria.

    A statement by Executive Vice Chairman/Chief Executive Officer of the Commission, Babatunde Irukera, Friday in Abuja, said the move became necessary as the Commission continues to receive requests for registration, approval or clearance by both then existing platforms that failed to timely comply with the mandatory deadlines.

    While stating that it is in pursuant to several sections of its Act, the Commission said it would resume the process of collecting both new and old applications which should be duly accompanied with a late processing fee.


    “On August 18, 2022, the Federal Competition & Consumer Protection Commission (FCCPC) as part of the Joint Regulatory and Enforcement Task Force (JRETF) introduced a Limited Interim Regulatory/Registration Framework and Guidelines for Digital Lending, 2022 (Guidelines 2022 or “Guidelines”), as well as an associated registration process/platform.


    “For already existing Digital Money Lenders (DMLS), the Guidelines mandated completion of the registration process by November 14, 2022 in order to remain in business and retain privileges of services by providers such as Google Playstore and payment systems or gateways. On December 6, 2022, the Commission extended that deadline to January 31, 2023; and subsequently to March 27, 2023.


    “Accordingly, while the JRETF continues the work of developing a more robust, comprehensive and enduring digital lending regulatory framework, the Commission will resume receiving and approving eligible DML applications (new and previously inexistent businesses) and requests (including those already received and pending) under, and in accordance with the Guidelines and existing process,” it said. 

    Accordingly, FCCPC directed those submitting late applications to include a letter stating reasons for failing to complete registration before the first deadline.  

    “In addition, these applications (whether already received and pending, or otherwise) shall be subject to a late processing fee. This fee should be paid through the Remita platform under the Approval Fee section.


    “Financial institutions that are licensees, and subject to the regulatory oversight of the Central Bank of Nigeria (CBN) are exempt, and may obtain the required approval by a written request seeking a waiver by demonstrating such exemption, including evidence of licensure by the CBN.


    “The Commission and JRETF continue to monitor the market and enforce the law with respect to digital lending. While violations still exist, the Commission notes substantial reduction in practices that violate consumer privacy, constitute harassment and unacceptable unconventional loan repayment/recovery strategies, as well as unexplained charges associated with loans,” the Commission further explained. 

    The Commission urged Nigerians to continue to report incidences of infringement for appropriate regulatory responses.

  • CBN partners UNIUYO on sensitisation of e-naira policy

    The Central Bank of Nigeria (CBN) has solicited a partnership with the University of Uyo for the sensitisation of the institution’s staff and students on the usage of e-naira policy in daily business transactions.

    The Controller of CBN, Uyo Branch, Mrs Mercy Ogbomonpaul, made the call while interacting with the Vice-Chancellor of the University of Uyo, Prof. Nyaudoh Ndaeyo, in Uyo on Thursday.

    Ogbomonpaul, who was represented by Assistant Director, CBN, Mr Isang Enya, said that the e-naira policy would aid monetary policy decision-making and urged Nigerians to embrace the policy.

    She said that the sensitisation program was to educate the University community on the system and encourage them to key into it.

    She said that the e-naira platform had been introduced into the country since 2021 for citizens to embrace for their daily businesses.

    Ogbomonpaul said Nigeria was the seventh nation to introduce e-naira, adding that other countries had gone beyond the physical cash payment and were now using the e-payment system.

    “We are here to partner with you on the e-naira; globally, the economy is now going e-payment and not cash payment as it is known in our environment.

    “The Central Bank in its wisdom, in line with best practices, adopted the e-naira platform.

    “The e-naira is expected to help us to be in par with what other countries are doing; the unfolding trend now is that we use e-payment rather than the physical cash.

    According to her,  e-naira is an initiative of the Central Bank that will work at par with the physical cash.

    Ogbomonpaul said the e-naira could be used in transaction rather than physical cash, adding that the e-naira would help in handling the deficiencies noticed and experienced in the use of cash.

    She said the e-naira would also help in policy-making in terms of monetary policy decisions as decisions are made based on available information.

    “If we are all on the e-naira platform, the Central bank would be able to ascertain how much has been transacted in the e-naira platform;

    “And make policy decisions for our monetary policy in the country,” she said.

    The branch controller added that the e-naira would make our payment system more viable and bring more people into the system.

    She said, “It is simple, it is easy, and will allow the government to get its revenues in terms of payment very easily.”

    Responding, Ndaeyo said the institution was happy to be a part of the initiative and would partner with CBN on the e-naira policy.

    Ndaeyo said that the university was also willing to partner with the CBN in the area of agriculture.

    He urged the apex bank to go beyond the shores of the university, into the communities to sensitise people on the e-Naira.

    The vice-chancellor, however, commended the Central Bank for the introduction of e-naira into the payment system in the country, urging everyone to embrace the system. 

    The Central Bank of Nigeria (CBN) has solicited a partnership with the University of Uyo for the sensitisation of the institution’s staff and students on the usage of e-naira policy in daily business transactions.

    The Controller of CBN, Uyo Branch, Mrs Mercy Ogbomonpaul, made the call while interacting with the Vice-Chancellor of the University of Uyo, Prof. Nyaudoh Ndaeyo, in Uyo on Thursday.

    Ogbomonpaul, who was represented by Assistant Director, CBN, Mr Isang Enya, said that the e-naira policy would aid monetary policy decision-making and urged Nigerians to embrace the policy.

    She said that the sensitisation program was to educate the University community on the system and encourage them to key into it.

    She said that the e-naira platform had been introduced into the country since 2021 for citizens to embrace for their daily businesses.

    Ogbomonpaul said Nigeria was the seventh nation to introduce e-naira, adding that other countries had gone beyond the physical cash payment and were now using the e-payment system.

    “We are here to partner with you on the e-naira; globally, the economy is now going e-payment and not cash payment as it is known in our environment.

    “The Central Bank in its wisdom, in line with best practices, adopted the e-naira platform.

    “The e-naira is expected to help us to be in par with what other countries are doing; the unfolding trend now is that we use e-payment rather than the physical cash.

    According to her,  e-naira is an initiative of the Central Bank that will work at par with the physical cash.

    Ogbomonpaul said the e-naira could be used in transaction rather than physical cash, adding that the e-naira would help in handling the deficiencies noticed and experienced in the use of cash.

    She said the e-naira would also help in policy-making in terms of monetary policy decisions as decisions are made based on available information.

    “If we are all on the e-naira platform, the Central bank would be able to ascertain how much has been transacted in the e-naira platform;

    “And make policy decisions for our monetary policy in the country,” she said.

    The branch controller added that the e-naira would make our payment system more viable and bring more people into the system.

    She said, “It is simple, it is easy, and will allow the government to get its revenues in terms of payment very easily.”

    Responding, Ndaeyo said the institution was happy to be a part of the initiative and would partner with CBN on the e-naira policy.

    Ndaeyo said that the university was also willing to partner with the CBN in the area of agriculture.

    He urged the apex bank to go beyond the shores of the university, into the communities to sensitise people on the e-Naira.

    The vice-chancellor, however, commended the Central Bank for the introduction of e-naira into the payment system in the country, urging everyone to embrace the system. 

  • ExxonMobil pledges to sustain oil, gas production

    ExxonMobil Corporation Chief Executive Officer, Darren Woods has said the company is investing in new technology to reduce carbon emissions.

    Woods, however, said the company would continue to produce oil and gas to meet market demand.

    European leaders looking to tackle climate change should look to U.S. policy and “let the market work” to avoid driving companies away with prescriptive regulations.

    “I think it’s a huge mistake to be picking winners and losers and focusing on specific technologies,” Woods told the CEO of Norway’s Wealth Fund, Nicolai Tangen, on his podcast. “Instead, we should be looking more broadly at letting the markets figure out which solutions provide the most emissions reductions for the lowest cost.”

    Europe has been working with a greater sense of urgency since the Biden administration last year passed its Inflation Reduction Act, with $370 billion in tax subsidies to cut carbon emissions.

    The package is turbo-charging interest in carbon capture and storage technologies, which for years have been considered too expensive and prone to failure. Exxon, which has pledged to spend $17 billion through 2027 on low-carbon initiatives, is among the companies ramping up plans to capture emissions.

    “Carbon capture is going to play a really important role. It is a technology that exists today. It’s one that we have a lot of experience in.

    “Think carbon capture and storage, think hydrogen, think biofuels, all of those recognized by credible third parties are going to be needed as part of the solution.

    While other oil majors are looking to develop wind farms and solar parks, Exxon is focused on technologies that dovetail with the company’s strengths, Woods said. “At the end of the day, we’re a molecule company, not an electron company.


    “Even as it pursues carbon capture and storage technology, Exxon will keep pumping oil and gas, Woods said.


    “If we stop producing diesel and gasoline, the world demand doesn’t change. Somebody else will see that.

    “I stop growing liquefied natural gas and the world burns more coal,” he said.

    Norway’s wealth fund will require the companies it invests in to reach net zero emissions by 2050 at the latest. It recently voted in favor of a proposal calling for Exxon to adopt a medium-term target to reduce its customers’ emissions known as Scope 3 but the demand was rejected by a majority of shareholders.

  • FIRS, LIRS sign pact for joint audit, investigations

    The Federal Inland Revenue Service (FIRS) and the Lagos Internal Revenue Service (LIRS) have signed a Memorandum of Understanding (MoU) to establish a joint audit and investigation team (JAIT).

    Speaking on the agreement, Executive Chairman of FIRS Muhammad Nami, said the collaboration will foster information sharing that would assist both parties in their tax administration and enforcement roles.

    This, he said, would also provide capacity building between both tax authorities.

    “We will carry out a joint audit and investigation as a team; we will also conduct an automatic exchange of information for gathering data for the purpose of tax administration. With that information, we would be able to carry out tax administration seamlessly,” Nami said.
    Executive Chairman of LIRS, Ayodele Subair, said the partnership aims to encourage the exchange of information between both agencies.

    Subair said the collaboration would improve tax administration by reducing compliance costs, thereby enabling ease of doing business in the country.

    He also said the objective of the agreement is to ensure efficiency, accurate assessments, and increased revenue for funding government expenditures.

    According to Subair, while the agencies carry out their respective mandates, JAIT would “help the administration enhance tax revenue generation, create a robust database and improve the country’s tax-to-gross domestic product (GDP) ratio”.

    “There is no reason to debate the above as it has been established that tax compliance and good governance are expected to co-exist as the undividable social contract that binds citizens and governments anywhere in the world,” the LIRS taxman said.

    “Therefore, citizens and governments are expected to fulfill their end of the bargain in achieving a balance.”

  • Nigeria’s quity market sheds N37bn

    Nigeria’s quity market sheds N37bn

    Nigeria’s equity market declined on Thursday, dropping by N37 billion amid investors’ profit taking in some small and medium stocks.

    The decline was largely due to negative sentiment.

    Market capitalisation of listed equities declined by 0.12 per cent to N30.468 trillion from N30.505 trillion reported the previous day.

    Also, the NGX All Share Index depreciated by 67.93 basis points to close at 55956.59 points from 56024.52 points reported on Wednesday.

    The NGX trading result showed that   five top gainers during the day appreciated by 10 per cent as ETranzact and NSL Tech gained 10 per cent each to close at N4.84 and N0.33 per share, respectively.

    Unity Bank Plc, Japaul and Sovereign Trust Insurance added 10 per cent each, closing at N0.66 per cent, N0.44 and N0.44 per share respectively.

    On the contrary JohnHolt recorded the highest loss during the day, declining by 9.68 per cent to N1.40 per share, Caverton trailed with a loss of 7.14 percent to close at N1.30 per share, Wapic Insurance dipped by 6.52 per cent to close at N0.43 per unit, Gloxosmith Kline down by 5.30 per cent to close at N7.15 per share, Stanbic IBTC sheds 3.02 per cent to close at N45.00.

    Volume of trades during the day increased by 134.160 million, representing an increase of 33.74 per cent as Investors traded 521.784 million shares valued at N7.682 billion in 6061 deals against 397.624 million shares worth N6.537 billion in 5613 deals.

    Transactions in the shares of United Bank for Africa led activity chart during the day, exchanging 177.475 million shares valued at N1.724 billion , NPF Microfinance Bank followed with account of 51.802 million shares valued at N93.274 billion, AccessCorp traded 32.102 million shares valued at N412.986 million, Zenith Bank Plc sold a total of 30.823 million shares at the cost of N863.314 million, while Dangote Sugar traded 19.302 million shares valued at N407.969 million

  • Port Harcourt DisCo’s monthly revenue hits N6.3bn

    The Port Harcourt Electricity Distribution Company (PHED) said on Thursday that it generated N6.3 billion in revenue in May as against N4.6 billion in the preceding months.

    The Head of Corporate Communication, Olubukola Ilevbare who disclosed in a statement in Port Harcourt, said that the company’s revenue grew by 71 percent.

    He said the month’s revenue was the highest collected by the company since it began operation in 2012.

    “The new milestone in PHED’s performance culminated in the highest revenue collection ever in the company’s history.

    “The latest milestone in performance was recorded in the month of May 2023 with corresponding revenue of N6.3 billion denotes a 71 percent increase in collection efficiency.

    “This new revenue collection grew from the 66 percent collection efficiency of the previous month of April 2023,” he said.

    Ilevbare attributed the growth to the dynamic and focused leadership of PHED’s Managing Director, Dr. Benson Uwheru.

    “The company’s collection stood at N4.6 billion when the managing director took over the reins of affairs in July 2022.

    “Other performance variables like revenue per unit, recorded a steep move to N36.29 from N33.76, representing an increase of 2.53 percent.

    “The Aggregate Technical, Commercial, and Collection (ATC & C) losses pegged at 41 percent had a marginal variance of three percent from the set target of 38 percent for 2023,” he added.

    He said that PHED’s managing director, upon assumption of office, vowed to improve the company’s revenue, reduce ATC & C losses, strengthen corporate governance, reward outstanding performance, and ensure other customer-oriented initiatives.

    Ilevbare gave the assurance that the company would continue to raise the bar in service delivery by investing huge funds in infrastructural development and other service-related operations.

    “The company will not relax on her achievements because success is not only measured by revenue but by other indices.

    “So, while commending our workforce for their creativity, innovation, and willingness to go the extra mile, I urge them to work hard to sustain and surpass the new milestone,” he said. 

  • Chinese Yuan weakens to 7.1280 against dollar

    The central parity rate of the Chinese currency renminbi, or the yuan, weakened 84 pips to 7.1280 against the dollar on Thursday, according to the China Foreign Exchange Trade System.

    In China’s spot foreign exchange market, the yuan is allowed to rise or fall by two percent from the central parity rate each trading day.

    The central parity rate of the yuan against the dollar is based on a weighted average of prices offered by market makers before the opening of the interbank market each business day. 

  • BUA Cement secures IFC’s $500m facilities

    In a bid to boost production and expand its operations, BUA Cement PLC has secured $500 million in financing from the International Finance Corporation (IFC).

    In a joint statement, IFC and BUA said the funding would enable the company to part-finance and develop two new, energy-efficient cement production lines at its plant in Sokoto State, in northwest Nigeria.

    The funding includes $160.5 million from the IFC, $245 million in syndicated loans from the African Development Bank (AfDB), the Africa Finance Corporation (AFC), and the German Investment Corporation, as well as $94.5 million from institutional investors.

    “The plants will run partly on alternative fuels derived from waste and solar power. Each will produce about three million tons of cement annually when complete, serving markets in Nigeria, Niger, and Burkina Faso,” IFC and BUA said.

    In a regulatory filing with the Nigerian Exchange Limited (NGX), BUA stated that it intends to utilize this facility to finance the ongoing expansion of its integrated cement plants in Kalambaina, Sokoto.

    “We are pleased to inform the NGX, our esteemed shareholders and the investing public, in line with our disclosure obligations pursuant to Chapter 17 of the Rulebook, that BUA Cement has achieved financial close in connection with the Financing to be provided by a syndicate of lending development finance institutions, led by International Finance Corporation (IFC), with participation from African Development Bank (AfDB), Africa Finance Corporation (AFC), and Deutsche Investitions – undEntwicklungsgesellschaft (DEG).

    “BUA Cement intends to utilize this facility to finance the ongoing expansion of its integrated cement plants in Kalambaina, Sokoto State, Nigeria.

    “The expansion will increase the plant’s capacity to 8.0 MTPA and as well as facilitate the development of other ancillary utilities.

    BUA has a production capacity of 11 million metric tons, and the new investment will add another 6 million metric tons.

    The new financing package will also allow BUA to replace some of its diesel trucks with vehicles that run partly on natural gas in a push to cut emissions, the statement said.

  • Nigeria’s equity market gains N126bn

    Trading activities on the floor of the Nigerian Exchange (NGX) on Tuesday returned to a positive trend appreciating by N126 billion.

    Market capitalization of listed equities increased by 0.41 percent to N30.513 trillion from N30.387 trillion reported the previous day.

    The NGX All Share Index also appreciated by 230.14 basis points to 56036.85 points from 55806.71 points traded on Monday.

    Investors traded 322.494 million shares worth N5.824 billion in 6165 deals against 369.77 million shares valued at N19.841 million in 7221 deals.

    A review of the investment during the day showed that ETranzact led gainers table in percentage terms, gaining 10 percent to close at N4.40 per share, Eterna Plc followed with a gain of 9.85 percent to close at N11.15 per share, Pharm Deko gained 9.52 percent to close at N2.07 per unit. Cornerstone Insurance added 9.52 percent to close at N0.92 per share, FTNCocoa increased by 9.23 percent to close at N0.71 per share.

    On the contrary, JohnHolt recorded the highest loss during the day with a drop of 9.88 percent to close at N1.55 per unit, Multiverse trailed with a loss of 9.54 percent to close at N3.70 per unit, Chellaram down by 9.52 percent to close at N1.33 per share, Omatex dipped by 9.09 percent to close at N0.20 per unit, SUNU Assurance declined by 8.33 percent to close at N0.40 per unit.

    Transactions in the shares of United Bank for Africa (UBA) led activity during the day with 47.126 million shares valued at N442.314 million, AccessCorp followed with an account of 39.910 million shares cost N501.775 million, GTCO Plc traded 30.224 million shares cost N846.874 million, Fidelity Bank exchanged 23.775 million shares cost N137.274 million, Japaul Gold exchanged 16.841 million shares valued at N6.732 million.