The World Bank committed a total of $215m to the execution of rural community development projects across the country under its Community and Social Development Programme. The National Coordinator, CSDP, Dr. Abdulkarim Obaje, disclosed this at the opening of a two-day retreat for supervising ministries and Board of Directors of the CSPD in Abuja on Thursday.
Acting President Yemi Osinbajo signed an Executive Order on the Voluntary Asset and Income Declaration Scheme, which was launched during the week. At the launch, Osinbajo stated that tax defaulters, who failed to pay up by March 31, 2018, would have their names published, adding that the VAIDS would be from July 1, 2017 to March 31, 2018 to give a window of opportunity to defaulters to regularise their tax affairs.
The Nigerian National Petroleum Corporation’s plan to grow the country’s crude oil reserves to 40 billion barrels by the year 2020 received a boost with the execution of a tripartite agreement between the NNPC/FIRST Exploration and Production Joint Venture and Schlumberger, which is meant for the development of the Anyalu and Madu fields in the Niger Delta under Oil Mining Licences 83 and 85, offshore Nigeria.
Equity market – Listed securities on NSE
The Nigerian equity market witnessed a bullish run in the first two trading sessions post-Eid-el-Fitr holidays even though the last trading day recorded a downward movement in the market indices. Despite this trend, the week still closed on a net positive trend.
Consequently, NSE ASI and market capitalisation appreciated significantly by 3.70 per cent (370 basis points) week-on-week to close at 33,117.48 points and N11.107tn, respectively. With this, the NSE ASI has now delivered a positive YTD year-to-date return of 23.23 per cent.
In the last trading, being the last day for the half-year, the market turnover closed on a negative note compared to the previous session by -21.26 as against the uptick of +13.72 the previous day.
The market breadth also closed negative as Eterna led 18 gainers as against 33 losers topped by Unilever at the end of the day’s session.
This week, we expect a mix of profit-taking and bargain hunting activities amidst improved investor confidence and preparations for the release of half-year results.
NASD unlisted securities
The northward trek previously recorded in the key performance indicators of the NASD OTC market reversed as the twin market indicators closed on a negative note. Consequently, the Unlisted Securities Index and market capitalisation depreciated significantly by 1.79 per cent to close the week at 631.52 points and N427.37bn, respectively.
The OBB and Overnight rates appreciated by 1.33 per cent and 1.17 per cent to close the week at 5.33 per cent and 5.75 per cent, respectively
The Nigeria interbank offer rates declined for the one month, two months and three months offer by -0.05 per cent, -0.02 per cent and -0.39 per cent to close at 19.37 per cent, 21.40 per cent and 23.31 per cent, respectively.
This week, rates may nosedive slightly as FAAC inflow of approximately N462.359bn is expected to hit the system. We also expect the Central Bank of Nigeria to mop excess liquidity by way of OMO auction.
Treasury bills market
The CBN sold N31.94bn ($104.76m) in Treasury bills on Friday, June 30, 2017 in a bid to tighten liquidity in the money market, while the overnight lending rate fell.
The bank also sold N31.52bn of the 349-day Treasury bill at 18.59 per cent and N440m of the 160-day Treasury bill at 17.98 per cent at an auction on the same day.
It was also reported that cash balance in commercial lenders’ accounts with the central bank stood at N320.35bn, boosted by the repayment of N287.39bn in matured Treasury bills on Thursday.
Rates are expected to remain flat in the current week unless the central bank decides to take advantage of the low rates to mop up excess liquidity from the banking system.
Source:© Copyright Punch Online