Connect with us

Investment

Nigerian Sovereign Investment Authority Posts N111bn Profit

Published

on

Malaysian Ringgits And Stock Boards Inside RHB Investment Bank
  • Nigerian Sovereign Investment Authority Posts N111bn Profit

The Nigerian Sovereign Investment Authority, which is the agency managing the Sovereign Wealth Fund of the Federal Government, has recorded an increase of N101.29bn in profit after tax in the first half of 2016.

The agency, in its interim financial statement for the first six months of 2016, stated that profit after tax rose from the N9.84bn made as of June 2015 to N111.13bn at the end of June 2016.

The 2016 half-year report was signed by the Managing Director, NSIA, Mr. Uche Orji; Executive Director, Mrs. Stella Ojekwe-Onyejeli; and the Financial Controller, Mrs. Olubisi Makoju.

The financial report, obtained by our correspondent on Friday, stated that during the period, the agency recorded an increase of N100.64bn in gross income from N11.66bn to N112.3bn.

A breakdown of the N112.3bn gross income showed that N46.99bn was generated from interest and other income, while the balance of N65.3bn came in through net foreign exchange gains.

As of the end of June 2015, interest and other income was N3.02bn, while foreign exchange gains were N8.63bn.

Further analysis of the financial report showed that the sum of N266m was spent on management fees as of the end of June 2016 as against N218m spent in the same period of 2015.

Local custodian fee was N11.76m as against N6.9m the previous year, while foreign custodian fee was put at N22m as against N50.44m previously.

In terms of total assets, the report stated that this grew from N213.67bn to N380.3bn within the same period.

Orji explained that despite all economic challenges, the SWF would continue to show resilience owing to the fact that the management team had taken steps to invest in various private equity investment funds.

He added that if the fund continued to make profit as it had done in the last three years, the shareholders, which are the federal and state governments, will get their first dividend by 2018.

The NSIA boss said, “The law setting up the NSIA stipulates that if we make returns consistently for five years after commencing operations, then we will have to pay dividend.

“So going by this, if we continue along this line of profitability, then by 2018, we will be paying our first dividend to our shareholders.”

The fund, which was set up in 2013 with about $1.55bn, has three pots from which investments can be anchored.

The pots are the Future Generation Fund, Infrastructure Fund and Fiscal Stabilisation Fund.

The NSIA had allocated 20 per cent of the SWF to the Stabilisation Fund; 40 per cent to the Future Generation Fund; and another 40 per cent to the Infrastructure Fund.

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

Continue Reading
Comments

Investment

Saudi Arabia Aims for $80 Billion Tourism Investment to Fuel Vision 2030 Goals

Published

on

tourism

Saudi Arabia is embarking on a bold venture to attract up to $80 billion in private investment into its burgeoning tourism industry, a move pivotal to realizing its ambitious Vision 2030 objectives.

Tourism Minister Ahmed Al Khateeb unveiled the kingdom’s aspiration during an interview in Riyadh, emphasizing the imperative role of the private sector in spearheading investment endeavors.

With plans to disburse approximately $800 billion on tourism over the next decade, Saudi Arabia is steadfast in its pursuit to diversify its economy and reduce dependency on oil revenues.

Vision 2030 outlines a trajectory for the kingdom to metamorphose into one of the world’s premier tourist destinations, targeting 150 million annual visitors by 2030, a significant portion originating from overseas.

While the government and sovereign wealth fund have historically fueled tourism development, securing substantial foreign direct investment, particularly from the private sector, emerges as paramount in expediting Vision 2030 initiatives.

The kingdom’s fiscal projections, forecasting deficits until 2026, underscore the urgency of engaging private investors to actualize the ambitious tourism blueprint.

Saudi Arabia, having welcomed 100 million tourists in 2023, predominantly domestic travelers, eyes international markets such as India, China, the UK, France, and Germany for tourist influx.

A new program launched by the Ministry of Tourism aims to streamline investment processes, potentially unlocking $11 billion in private investment, bolstering Saudi Arabia’s tourism trajectory and reshaping its economic landscape.

Continue Reading

Treasury Bills

CBN Unveils Plan to Settle N1.64 Trillion Treasury Bills in Q2 2024

Published

on

FG Borrows

The Central Bank of Nigeria (CBN) has announced its strategic approach to managing liquidity and meeting financial obligations by unveiling a comprehensive plan to settle Treasury Bills (TBs) worth N1.64 trillion during the second quarter of 2024.

This initiative, part of the CBN’s Nigeria Treasury Bills Issue programme, aims to regulate the money supply within the economy while effectively managing liquidity dynamics.

According to documents obtained by Investors King, the TBs settlement program is slated to commence on March 7th and conclude on May 23rd, 2024.

The CBN will focus on settling TBs with varying tenors, including N414.29 billion on 91 days, N43.74 billion on 182 days, and a substantial N1.18 trillion on 364 days.

The breakdown of the settlement plan reveals monthly settlements to address maturing TBs. In March, the CBN plans to settle N660.62 billion worth of TBs, followed by N292.17 billion in April and N688.3 billion in May.

Market analysts interpret this move as a testament to the CBN’s commitment to managing financial obligations and maintaining economic stability.

It provides investors with opportunities to engage in short-term financial instruments while contributing to overall liquidity dynamics.

The strategic settlement plan reflects the CBN’s proactive stance in navigating economic challenges and ensuring stability within the financial landscape.

As the apex bank implements these measures, stakeholders will closely monitor their impact on market dynamics and economic indicators, anticipating implications for investment decisions and monetary policy outlooks.

Continue Reading

Investment

China’s State-Owned Lenders Allocate $8 Billion to Revitalize Property Market

Published

on

General Images Of Residential Property

China’s state-owned lenders have committed a substantial $8 billion in loans to rejuvenate the country’s beleaguered property market, aligning with Beijing’s directives to bolster the sector.

Agricultural Bank of China Ltd. disclosed approving over 40 billion yuan of loans for real estate projects on predefined white lists, signaling a proactive approach towards supporting the housing market’s recovery.

China Construction Bank Corp. also joined the effort, extending 3 billion yuan to five property projects, with plans to greenlight over 20 billion yuan in loans soon.

Industrial & Commercial Bank of China Ltd. and Bank of China Ltd. are among the institutions offering financing assistance, although the exact loan amounts remain undisclosed.

This initiative follows Beijing’s recent call for local authorities to enhance financing support for developers and curate lists of eligible projects.

In response, the big four state lenders pledged to meet reasonable financing demands from developers and projects identified under the coordination mechanism.

However, China’s property market faces challenges despite these measures. New home sales plummeted 34.2% year-on-year, underscoring the ongoing slowdown.

While existing home transactions surged during the Spring Festival holiday, new home sales remained subdued, prompting a cautious outlook among buyers.

The infusion of $8 billion aims to instill confidence and stimulate activity in the property sector, potentially heralding a gradual recovery amid persisting market uncertainties.

Continue Reading
Advertisement




Advertisement
Advertisement
Advertisement

Trending