Sabinews daily update on the Nigerian Economy for July 10, 2014
BPE, NCP Ask Court Not to Stop Power Stations’ Privatisation
The Bureau for Public Enterprises (BPE) and the National Council on Privatisation (NCP) have asked a Federal High Court in Abuja to refuse an application by Ethiope Energy Limited for an order of interlocutory injunction to stop them from taking any steps to implement the bid exercise in respect of the privatisation of three National Integrated Power Plants (NIPPs) power stations.
The Niger Delta Power Holding Company (NDPHC) Limited which was also joined as a party, equally opposed Ethiope’s application to stop the bid process. (Thisday, pp 10)
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Stocks Close Higher as Bulls Consolidate Control
The Nigerian Stock Exchange (NSE) All-Share Index (ASI) appreciated by 0.41 per cent to hit a new high of 43,039.45 yesterday as the market rally entered the second day. Market capitalisation added N59 billion to close higher at N14.212 trillion.
The equities market had witnessed a rebound the previous day with a growth 0.24 per cent as investors continued to take position of the announcement of second quarter results. (Thisday, pp 46)
FG Boosts African Cooperation with $25 Million
As part of efforts to ensure that African nations cope with the emerging challenge of globalisation by coming together to facilitate real development of the continent, the Federal Government has injected $25 million into the African cooperation process.
Speaking at a forum jointly organised by the African University of Science and Technology and the Directorate of Technical Cooperation in Africa (DTCA) on the need for the continent to move forward, the Acting Director General of DTCA, Mr. Shuaib Suleiman, said the fund is for the running of Africa cooperation for 10 years. (Thisday, pp 36)
$65m World Bank Loan Facility for Bauchi Underway
The Bauchi State Government is to benefit from a World Bank loan facility to the tune of $65 million to upgrade the Bauchi Water Supply Scheme towards the provision of adequate potable drinking water for its growing population.
Under the arrangement, the government is to up-grade the equipment of Gubi dam especially the power generating plants, provision of 50 kilometres of pipeline to replace the old ones, as well as additional 100 kilometres of pipe to boost water reticulation within the metropolis. (Thisday, pp 24)
Lafarge shareholders approve N100b new capital
Shareholders of leading building materials’ producer, Lafarge Cement WAPCO on Wednesday, at its 55th annual general meeting, unanimously approved and authorize the board of the company to raise additional capital of N100 billion through a public offer of debt and or equity in the domestic and or international capital market.
They also approved among other things, the dividend of 330 kobo per share proposed by the board of the company for the 2013 financial. This represents an increase of 175 percent from the 120 kobo approved in the comparable period of 2012. (Thisday, pp 48; Daily Independent, pp 28)
Fraud cases in banks up by 80%
The number of reported cases of fraud and forgery in the banking industry has increased from 2,527 in 2011 to 4,527 cases in 2012 representing a rise of 79 per cent. The amount of money involved in the crime stood at N14.8 billion and US$1.6 million in 2012 compared to the sum of N29.5 billion recorded as at the end of the previous year.
However, the actual loss to banks fell by 26.1 per cent to N4.27 billion and US$0.4 million in 2012, from N5.78 billion at end of December 2011.
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CBN balance sheet crosses N13.2tr mark
The size of the Central Bank of Nigeria (CBN) balance sheet increased by 16.6 per cent to N13.2 trillion at end of December 2012, the bank’s audited financial statement for 2012 released yesterday has shown.
The apex bank said the development reflected the significant growth of its investments on Federal Government Bonds (44.5 per cent), Foreign Assets (28.9 per cent), loans and advances (24.9 per cent) and fixed assets (16.4 per cent).
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NSE’s market capitalisation sustains rising profile, up by N59b
EQUITY transactions on the Nigerian Stock Exchange, yesterday, sustained rising profile, following price gains recorded by major bluechip companies, resulting to a further increase in market capitalization by N59 billion.
Specifically, at the closed of transactions yesterday, the All Share Index (ASI) grew by 177.71 basis points or 0.41 per cent to 43039.42 points from 42861.78 points traded the previous day. Also market capitalisation of listed equities went up by N59 billion to N14.211 trillion from N14.152 trillion traded on Tuesday.
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