As Nigeria looks to boost growth in the wake of the Covid-19 pandemic, securing illiquid assets to inject more liquidity into markets offers a ready-to-use solution to unlock the cash to drive domestic investment and new growth. Loan securitization in the country could also release sufficient liquidity to conclusively deal with the financing requirements of …

Overcoming regulatory challenges to leverage blockchain for global trade Global competitiveness demands a coherent blockchain strategy. Nigerian financial institutions hold the expertise to develop a progressive blockchain response Blockchain is the future of trade. In many ways, it’s too good to be true, yet it is. Mankind has finally developed a virtual – and permanently …

Credit and technology to transform farming sector  With Nigeria’s population set to reach 400 million by 2050, unlocking credit for the country’s small holder farmers currently contributing almost 30% of Nigeria’s GDP is the game-changer set to ensure Nigeria’s future food security. More credit to the agricultural sector will also expand employment and broaden economic …

Summary Opening market liquidity was reported at NGN312.8bn on Friday (17 Sep ‘21). Overnight and repo rates closed within a range of 16.5-20.0%. The secondary market for NTBs was largely bearish due to the increased supply of NTBs and OMO bills from the auctions in the past As a result, the average NTB yield rose …

Today we highlight one of the sessions, ‘Economic Recovery’, at the recently concluded CIBN Banking and Finance conference. This was a hybrid event in Abuja, Lagos and partially virtual last week. The Covid-19 disruptions have created demand and supply shocks in the global system while unlocking new opportunities for growth. Given the pre-existing financing challenges …

The national accounts for Q2 2021 by the NBS show that GDP grew by 5.0% y/y compared with 0.5% recorded in Q1 2021. This is in line with our expectation. Given the output figure registered in the corresponding period of 2020, positive base effect contributed largely to this relatively healthy growth figure. However, we note …

Decision (unanimous)Retain MPR at 11.50% Retain the asymmetric corridor of the MPR at +100 / -700 basis point. Retain CRR at 27.5%. Retain liquidity ratio at 30%. The MPC noted the recovery in output growth in Q2 ’21 as well as improving headline PMI readings in the months within Q2 ‘21. It noted the moderate …

Summary Opening market liquidity was reported at NGN68.1bn on Friday (10 Sep ‘21). Overnight and repo rates closed within a range of 14.5-16.0%. The secondary market for NTBs was largely bearish due to the increased supply of NTBs and OMO bills from the auctions in the past weeks. As a result, the average NTB yield …

Digital technologies can promote growth in an economy partly due to their capacity to reduce costs and improve the quality of delivery. However, to achieve this, high-speed and reliable internet and broadband are required. The latest data released by the Nigerian Communications Commission (NCC), the industry regulator, show that internet subscriptions stood at 139.4 million …

Today we turn our attention to the recently released national accounts for Q2 2021 from the National Bureau of Statistics. The data show that GDP grew by 5.0% y/y in Q2. Although the oil economy contracted by -12.7% y/y, the non-oil economy grew by 6.7% y/y. For the latter, this is an improvement from the …