Phony defence of the Naira and the folly of a nation
Nigerians generally believe that large foreign reserves are useful for defending the exchange rate of the naira. However, our total foreign reserves actually comprise of two primary income streams; the first is the Excess Crude Account (ECA), which consists of all crude oil revenue in excess of budget estimates
Stock market capitalisation records 26.6% growth, hits N11.533trn
•Say it will affect market performance in 2nd half…
The positive sentiment at the Nigerian stock market at the beginning of the year has continued to impact on performance of the market which has recorded a 26 per cent growth in the last eight months. The market indicators, which are the barometer of the health of the financial market, as at the end of third quarter of 2013 showed that share prices of most of the companies listed in the exchange have risen by 26.6 per cent.
CBN’s management of surplus cash as economic sabotage
It is bad enough to ever be in a position where one borrows one’s money back, but for our Central Bank to have done so for so many years at rates of between 13 and 14 per cent, as admitted recently by Governor Lamido Sanusi, can at best be described as an unfortunate moral hazard, which may border on economic sabotage.
Public sector deposit: CBN exempts AMCON, BoI, others
The Central Bank of Nigeria, CBN, said that deposits from some government institutions are excluded from the reporting of public sector deposits in line with its circular to banks operating in the country.
FCMB explains new CBN policies, bank’s products and services
In its support for the cashless initiative introduced by the Central Bank of Nigeria (CBN, First City Monument Bank (FCMB) Limited has commenced a nationwide customer forum to intimate them on the benefit of the scheme.
For how long will CBN continue to defend the naira?
Nigerians’ penchant for foreign goods has continued to put pressure on the nation’s external reserves and the exchange rate. In the last four months – April to August- a total of $14.95 billion left the shores of Nigeria as payments made by Central Bank of Nigeria on behalf of the public. Of this amount, cash sales to Bureaux de Change, where those who purchase foreign exchange in small quantity buy from, amounted to $2.2 billion while letters of credit for direct importation amounted to $157.5 million.
