Connect with us

Investment

FG Woos Investors at LSE, Unveils Afrinvest Banking Report

Published

on

Afrinvestor
  • FG Woos Investors at LSE, Unveils Afrinvest Banking Report

The Nigerian Stock Exchange in collaboration with Afrinvest has launched the 2017 edition of the annual Banking Sector Report at the London Stock Exchange, with a call that Nigeria has reopened for business.

The launch of the report was the anchor event of the 4th Nigeria Capital Markets and Banking Forum hosted by the LSE in collaboration with the NSE in partnership with Afrinvest.

According to the Group Managing Director, Afrinvest, Ike Chioke, this is the right time for foreign investors to re-engage with the Nigerian economy.

In a statement on Sunday, Chioke was quoted as elucidating the stable macroeconomic environment currently existing in Nigeria, and the extensive reforms in diverse industries that had continued to create a favourable environment for long-term investments.

He said, “We stand on the side of optimism that the glass is half full. With a population of 180 million people growing at 2.8 per cent and indicators that show positive Gross Domestic Product growth, certainly, the Nigerian economy is one to watch.

“This forum, therefore, comes at a topical moment, and we are proud to lend our voice to the international community that Nigeria is open for business. This is the time to come back.”

He added, “We have already seen strong reforms in the agriculture, power and oil and gas sectors. In addition, there have been commendable efforts to improve the ease of doing business in Nigeria, including the introduction of visa on arrival.

“We are, therefore, looking forward to building on the foundation of the stable macroeconomic environment and these reforms to develop the hard infrastructure that will culminate in extensive industrialisation.”

The Governor, Central Bank of Nigeria, Mr. Godwin Emefiele, who was the special guest of honour, expressed his delight over the Afrinvest flagship report saying, “I would like to thank the board and management of Afrinvest for this incisive report that so clearly analyses Nigeria’s position, and does an excellent job of presenting Nigeria in its best light.”

The statement quoted him as highlighting the importance of the title of the report, ‘’Nigeria reopens for business’’, painting a picture of the country’s journey to date.

Emefiele said, “We recently found ourselves in a very difficult position with the sudden crash in crude oil prices, and there was a serious haemorrhage of foreign exchange reserves.

“Faced with the reality that we had to survive and under the leadership of the President, we were reminded that Nigeria once fed itself and thrived with revenues from agriculture. Since then, we have aggressively pursued diversification, and as we continue to look inwards, we are confident that we will increase the wealth of Nigeria. Nigeria has indeed reopened for business.”

Other dignitaries at the event were Governor Godwin Obaseki of Edo State; Minister of Mines and Steel Development, Dr. Kayode Fayemi; the United Kingdom Secretary of State, International Development, Priti Patel; the Chief Executive Officer, NSE, Oscar Onyema; Director-General, Debt Management Office, Patience Oniha; and Executive Director, Capital Markets, NSE, Haruna Jalo-Waziri, among others.

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

Lagos State Government Set to Demolish $200 Million Landmark Beach Resort

Published

on

Landmark Beach

The Lagos State Government has issued a demolition warning to the proprietor of the $200 million Landmark Beach Resort, a renowned tourist destination in the region.

The resort nestled along the picturesque coastline faces imminent destruction to make way for the construction of a 700-kilometer coastal road linking Lagos with Calabar.

Paul Onwuanibe, the 58-year-old owner of the Landmark Beach Resort, revealed that he received a notice in late March instructing him to vacate the premises within seven days to facilitate the impending demolition.

The resort, which spans a vast expanse of land and hosts over 80 businesses, is a hub of economic activity, sustaining over 4,000 jobs directly. Also, it contributes more than N2 billion in taxes annually.

The news of the resort’s potential demolition has sparked concerns among investors and stakeholders in the tourism sector. Onwuanibe expressed dismay at the government’s decision, highlighting the substantial investments made in developing the resort’s infrastructure.

He explained that the planned demolition would not only lead to significant financial losses but also jeopardize the livelihoods of thousands of employees and businesses associated with the resort.

The Landmark Beach Resort is a popular tourist destination, attracting approximately one million visitors annually, both local and international. Its unique amenities, including a mini-golf course, beach soccer field, and volleyball and basketball courts, make it a favorite among tourists seeking leisure and recreation.

The prospect of the resort’s demolition has triggered widespread panic among international and domestic investors associated with the Landmark Group. Many are now considering withdrawing their investments, citing concerns about the viability of the business without its flagship beach resort.

The Lagos State Government’s decision to proceed with the demolition is part of its broader plan to construct the Lagos-Calabar coastal highway, a 700-kilometer roadway connecting Lagos to Calabar.

The government had earlier announced its intention to remove all “illegal” constructions along the planned route of the highway, including the Landmark Beach Resort.

Continue Reading

Investment

Investors Petition EFCC as Over N3 Billion Trapped in Agrorite Investment Scheme

Published

on

Agriculture - Investors King

Investors in one of Nigeria’s agritech crowdfunding platforms, Agrorite, have lodged a petition with the Economic and Financial Crimes Commission (EFCC) to recover more than N3 billion trapped in the company’s investment scheme.

Agrorite, which touted itself as a premier digital agricultural platform connecting smallholder farmers with finance and markets, is now at the center of a financial debacle.

The investment scheme operated by Agrorite attracted funding from eager investors who were promised returns on investments within a fixed timeframe.

However, the situation took a turn for the worse late last year when investors found themselves unable to access their funds as promised.

Despite repeated assurances from Agrorite’s founder and CEO, Toyosi Ayodele, the repayment deadlines were continually postponed until it became evident that the company had no intention of honoring its commitments.

The magnitude of the crisis became apparent as copies of the petition submitted to the EFCC revealed that investments totaling over N3 billion were trapped in Agrorite’s schemes.

Investors, including one individual who had invested N482 million in a Naira-denominated project and $100,000 in a dollar project, are now pinning their hopes on the EFCC to facilitate the recovery of their funds.

The dire consequences of the situation were tragically highlighted by the case of an elderly woman who had invested her entire pension benefit of N40 million in Agrorite.

Upon realizing that her savings might never be recovered, she collapsed and was rushed to the hospital, underscoring the devastating impact on individual investors’ lives.

Efforts to reach Agrorite’s CEO for comments proved futile, with reports indicating that he had been arrested by the EFCC in connection with the investment debacle.

While some staff members confirmed the CEO’s arrest, they claimed ignorance regarding the reasons behind the company’s inability to fulfill its financial obligations to investors.

According to them, the EFCC’s investigation revealed a severe lack of funds in Agrorite’s accounts, leading to the arrest of key management personnel.

As the EFCC intensifies its efforts to recover investors’ funds, Agrorite’s website, agrorite.com, has mysteriously disappeared from the web, further fueling suspicions of financial mismanagement within the company.

Continue Reading

Treasury Bills

Treasury Bills Yields Reach 17.67% Amidst Central Bank’s Tightening Policy

Published

on

FG Borrows

The Treasury Bills yields rose to 17.67% amidst the Central Bank’s rigorous tightening of monetary policy.

This sharp surge in yields reflects the profound impact of the Central Bank’s efforts to rein in inflation and stabilize the foreign exchange market, though at the expense of investors and borrowers alike.

The surge in Treasury Bills yields from a modest 6.29% at the beginning of the year to 17.67% as of March 26, 2024 underscores the magnitude of the Central Bank’s tightening measures.

This unprecedented rise comes in tandem with a series of aggressive interest rate hikes with the monetary policy rate soaring by 600 basis points to 24.75% since the start of the year. Such a drastic increase in borrowing costs has sent shockwaves through the financial sector and prompted investors to reassess their portfolios and risk appetite.

Analysts attribute this surge in Treasury Bills yields to the Central Bank’s unwavering commitment to curbing inflation and stabilizing the foreign exchange market.

By raising interest rates and tightening monetary policy, the Central Bank aims to stem the tide of rising prices and restore confidence in the Nigerian economy.

However, these measures come with significant repercussions for investors and businesses, as borrowing costs escalate and investment returns diminish.

The Central Bank’s decision to issue a total of N1.64 trillion in Treasury Bills in the second quarter of 2024 further underscores its commitment to tightening liquidity and reducing inflationary pressures.

This substantial issuance of Treasury Bills is expected to absorb excess liquidity from the financial system, thereby exerting downward pressure on inflation and supporting the stability of the Nigerian currency.

While the Central Bank’s tightening policy may yield benefits in terms of price stability and exchange rate management, it poses challenges for investors and borrowers alike.

High borrowing costs and elevated Treasury Bills yields have the potential to dampen investment activity and constrain economic growth, particularly in sectors reliant on credit and financing.

As the Treasury Bills market grapples with soaring yields and heightened volatility, investors are advised to exercise caution and adopt a prudent approach to risk management.

In an environment characterized by uncertainty and policy tightening, navigating the financial markets requires a keen understanding of macroeconomic dynamics and a proactive strategy to mitigate potential risks.

Continue Reading
Advertisement




Advertisement
Advertisement
Advertisement

Trending