Bank stocks post N461bn loss in Q3

  Investors in banks quoted on the main board and premium board of the Nigerian Stock Exchange (NSE) reported a cumulative loss of about N461 billion in the third quarter ended September (July-September) 2018 following sustained sell offs, despite fair earnings results, relative improvement in economy and gradual stability being recorded in the foreign exchange market.   Checks by New Telegraph revealed that the stocks recorded a loss of N461 billion or 13.6 per cent to close at N2.928 trillion in market capitalisation on the last trading day (September 28),…

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Some Nigerian banks almost collapsing — Magu

Ibrahim Magu, the acting chairman of the Economic and Financial Crimes Commission, EFCC, has said some Nigerian banks were already on the verge of collapse due to the activities of unscrupulous individuals. Mr Magu also asked banks to provide a list of unscrupulous customers ahead of the 2019 general elections. A statement by the EFCC Spokesperson, Wilson Uwujaren, quoted Mr Magu as saying that the move would help curb the level of corruption in the country. According to the statement, Mr Magu said this in Lagos on Tuesday during a…

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CBN raises banks’ forex limits to resolve breaches

Central Bank of Nigeria

The Central Bank of Nigeria (CBN) has increased the limit on banks’ foreign currency borrowings to 125 per cent of shareholders’ fund after some lenders breached its regulatory limit due to the recent fall in the naira, Reuters reported yesterday. The new regulation replaces a 2014 rule capping foreign borrowings, including Eurobonds, at 75 per cent of shareholders’ funds as the country tries to manage widespread capital shortfalls at lenders due to a currency crisis and bad loans. According to the news agency the apex bank said in a circular:…

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May date for oil blocs’ allocation in jeopardy

Prospective bidders scramble for foreign lenders   The May date picked by the Federal Government for oil blocs’ allocation in Nigeria is being put in difficulty following the $130 million ploughed into the previous bid round by Nigerian banks, New Telegraph has learnt. It was learnt that lenders have issued caveat emptor on financing of forthcoming oil block bid round slated for May following apprehension that the over $130 million loans ploughed into the marginal field operations between 2007 and 2011 might go bad. A source at one of the…

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Analysts predict $4.2bn drop in remittances from UK-based Nigerians

cbn, Central Bank of Nigeria

Expectations in some quarters that the Central Bank of Nigeria (CBN) will be able to sustain its current defense of the naira with increased forex inflows may not be realised as analysts at Financial Derivatives Company Limited (FDC) are predicting a $4.2 billion drop in Nigerian Diaspora remittances from the United Kingdom. The analysts made the forecast in the firm’s April presentation at the Lagos Business School (LBS) obtained by New Telegraph.Specifically, the experts said: “The British Pound lost 14 per cent of its value since Brexit… The UK is…

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