The COVID-19 outbreak has led to the collapse of the tourism sector and amplified the need for significant financing to tackle the health and economic effects of the pandemic; The IMF approved US$567.25 million in emergency financial assistance under the Rapid Credit Facility and Rapid Financing Instrument to support the authorities’ efforts in responding to the pandemic by addressing the urgent health, humanitarian, and economic costs.
The resources are also expected to play a catalytic role in their efforts to mobilize additional support from development partners; The authorities also commit to strengthening governance and transparency to ensure that the financial resources are efficiently spent on addressing the crisis.
The Executive Board of the International Monetary Fund (IMF) today approved a disbursement of SDR132.6 million (US$189.08 million) under the Rapid Credit Facility (RCF) and a purchase equivalent to SDR265.2 million (US$378.17 million) under the Rapid Financing Instrument (RFI), a total of SDR397.8 million (US$567.25 million or 100 percent of quota). This emergency financing will help finance Tanzania’s urgent balance of payment needs stemming from the outbreak of the COVID-19 pandemic.
Tanzania’s economic outlook has deteriorated due to the impact of the COVID-19 pandemic. With the collapse in tourism in the wake of travel restrictions, the economy reportedly decelerated to 4.8 percent growth in 2020, and growth is expected to remain subdued in 2021.Tanzania faces an urgent balance of payment need of about 1.5 percent of GDP as the authorities implement a comprehensive plan to mitigate the effects of the pandemic and preserve macroeconomic stability in the face of a reported third wave of the virus.
The disbursement under the RCF and purchase under the RFI will help finance the interventions needed to mitigate the severe socio-economic impacts of the pandemic and help catalyze support from development partners. The authorities have indicated that they are committed to pursuing economic policies appropriate for addressing the impact of the pandemic and are committed to strengthening coordination and transparency to ensure that RCF and RFI resources are spent on fighting the pandemic. These measures include publishing reports of RCF and RFI resources spent and undertaking a post-crisis audit of all pandemic-related spending.
Following the Executive Board’s discussion, Mr. Bo Li, Deputy Managing Director and Chair, issued the following statement:
“The COVID-19 pandemic has negatively impacted Tanzania’s macroeconomic outlook, and the health and wellbeing of its population. Growth decelerated in 2020 and is expected to remain subdued in 2021, increasing poverty and negatively affecting employment. Tanzania’s risk of external and public debt distress increased to moderate, mainly due to the pandemic’s effect on tourism exports. Tanzania’s macroeconomic outlook hinges on satisfactorily addressing the pandemic, but significant downside risks remain due to uncertainties surrounding the course of the pandemic.
“The authorities are implementing a comprehensive pandemic response plan—Tanzania COVID-19 Socioeconomic Response Plan (TCRP) —to address the fallout of the COVID-19 shock. Tanzania requires urgent financial assistance to implement the plan and avert the severe health, social and economic consequences of a reported third wave of the virus. Emergency support under the Rapid Credit Facility and Rapid Financing Instrument will substantially contribute to filling immediate external financing needs and help catalyze donor support. Temporarily loosening macroeconomic and financial policies will mitigate the pandemic’s adverse impact, by deploying a vaccination campaign, increasing health and social spending, and supporting the private sector. Prioritizing the health response, strengthening coordination and transparency to ensure that funds received are spent on fighting the pandemic, and regularly and transparently reporting epidemiological data will be critical for the plan’s success.
“Maintaining fiscal and debt sustainability, and preserving financial stability, while supporting the economy, will also be important. Closely monitoring the banking system’s health in light of increased banking sector vulnerabilities will be key.
“Once the crisis abates, the authorities appropriately intend to resume implementing reforms to achieve sustainable and inclusive growth. Their broader policy and reform agenda includes fiscal reforms to avoid domestic arrears and pay tax refunds on time, increasing support for education and health spending, and improvements to the business climate.”
FMAN Elects New Excos as Coronation Asset M.D, Aig-Imoukhuede Emerges as President
FMAN has elected the Managing Director of Coronation Asset Management Limited, Mr. Aigbovbioise Aig-Imoukhuede as the new President-elect of the association.
The Fund Managers Association of Nigeria (FMAN) has elected the Managing Director of Coronation Asset Management Limited, Mr. Aigbovbioise Aig-Imoukhuede as the new President-elect of the association.
The decision was taken during the 10th Annual General Meeting (AGM) of the association held virtually on the 10th of August 2022 and anchored by the chairman, Mr. Dotun Sulaiman.
Similarly, the Managing Director/CEO of Emerging Africa Asset Management Limited, Adaku Ijara emerged as the Vice-president, while the Head of the Equities and Alternatives Solutions team at FBNQuest Asset Management Limited, Laura Fisayo-Kolawole emerged as the Executive Secretary of the association. The head of operations in ARM Investment Managers Limited, Toni Timi-Oyefolu emerged as the Treasurer of the association.
Other accomplished professionals elected into the executive arm of the association are; The Head of investment management, Stanbic IBTC Asset Management Limited, Fadekemi Obasanya who emerged as the Head of the Technical and Enlightenment Committee of the association, and the Head of risk management and compliance at Investment One Financial Services Group, Augustine Aghenta who emerged as the Head of Ethics, Rules, and Regulations Committee.
Subject to regulatory approvals from the Securities and Exchange Commission (SEC), the new excos are expected to pilot the affairs of the association in the next two years and are eligible to seek re-election for another term in line with the constitution of the association.
Brief profiles of the new appointees:
Mr. Aig-Imoukhuede has over 22 years of experience as a diversified financial professional with expertise in wealth management, corporate banking, treasury, and capital market transactions. He began his career at Fidelity Bank in 1997 and worked in various capacities before joining MBC International Bank, where he rose to become Head of the Construction/Real Estate and Investment Banking Unit. Afterward, he joined the Corporate Banking Directorate of First Bank of Nigeria Plc. He moved to Marina Securities Limited as Director of Wealth Management and Business Development; and later joined Coronation Merchant Bank as the Head of Coronation Capital Markets Division.
Following the divestment of Coronation Merchant Bank from the Asset Management subsidiary in June 2019, Mr. Aig-Imoukhuede was appointed as the Managing Director of Coronation Asset Management Limited.
He holds a bachelor’s degree in Business Studies from the University of Buckingham and is an Associate Member of the Institute of Directors, Nigeria, and the UK.
Adaku Ijara is MD/CEO of Emerging Africa Asset Management Limited, the Asset management subsidiary of the Emerging Africa Group. She is an investment professional and astute corporate lawyer with 17+ years of experience spanning roles in Treasury Marketing, Consumer Banking, Private Banking, Business Development, Legal, Compliance, Private Trust as well as wealth management in institutions such as Citizens International Bank, Fidelity Bank PLC, and Standard Chartered Bank among others.
Before her roles at the Emerging Africa Group, she served as Head of Private Trust at United Capital Trustees — a member of the United Capital Group, focused on trust administration and investment management services.
She is a Chartered Wealth Manager and a fellow of the Global Academy of Finance & Management (GAFM). She obtained an LL.M in Corporate Governance from the University of Manchester, United Kingdom, an LL. B from the University of Nigeria, Nsukka and was called to the Nigerian Bar in 2003. She is also a member of the Association of Investment Advisers & Portfolio Managers and Women in Finance NG.
Laura Fisayo-Kolawole is the Head of the Equities and Alternatives Solutions team at FBNQuest Asset Management. She is an investment professional with a proven track record. She started her career at Barclays Wealth and Investment Management in the UK, as a portfolio manager focused on UK assets, managing c. £1.5bn in multi-asset portfolios. She moved to Nigeria and FBNQuest Asset Management in 2013, ultimately running a team of buy-side research analysts, portfolio managers, and performance analysts.
Before her recent appointment, she was a member of the Technical and Enlightenment Committee of FMAN, where she participates in organizing training initiatives to add value to member firms as well as students and young professionals.
Toni Timi-Oyefolu is currently the Group Head, Operations in ARM Investment Managers Ltd. She has over 22 years of experience, 16 of which is in operations and general back-office administration in ARM Pensions. Before this, she worked at United Bank for Africa (UBA), Gateway Bank, and Regent Bank in client servicing and back-office (Foreign and Domestic Operations) roles.
She is a graduate of accounting from the University of Ilorin, Kwara State, and holds an MBA. She is a certified member of the Nigerian Institute of Management. She has taken several courses in leadership from top institutions like the University of Michigan, and the University of California, among others.
Fadekemi Obasanya is the Head of investment management at Stanbic IBTC Asset Management. She has about 15 years of experience in fund and portfolio management. Before her present role, she was the Head of Fixed income (a sub-unit under Investment Management). Her current role entails overseeing the Fixed Income, Equities & Real Estate units of the department.
Fadekemi holds a B.Sc degree in Economics from the University of Lagos and a Master of Science Degree in Finance from the University of Leicester, United Kingdom (UK). She is an associate member of the Institute of Chartered Accountants of Nigeria (ACA) and the Chartered Institute of Stockbrokers (CIS). She is also an authorized dealing clerk of the Nigerian Exchange Group.
Augustine Aghenta is the Head of Risk Management and Compliance at Investment One Financial Services Group (IOFS) and has about fifteen years of banking and consulting experience in the financial services industry. He holds a bachelor’s degree in Geology from the University of Benin.
FMAN is an independent, non-governmental, non-political, and non-profit making established in August 2009 to promote the operations of fund managers registered with the Securities and Exchange Commission in Nigeria (SEC), provide for self-regulation and supervision of SEC-registered fund managers, and ensure the observance of global best practices relating to the operations of such fund managers.
The Association aims to address all the issues affecting the industry’s development and represent its members at national and international levels in an ongoing discussion about the future regulatory framework for the industry. The association’s focus is on education, regulation, policy development, and international best practices for the benefit of its members, institutional investors, Policymakers, and other stakeholders.
Fintech CEO: Rate Hikes & Inflation Spell Different Reality than Stock Market
Since its low in June, the S&P has seen a bump of 18%, while the NASDAQ has risen roughly 20%
Since its low in June, the S&P has seen a bump of 18%, while the NASDAQ has risen roughly 20%. This week, both Morgan Stanley and BlackRock analysts have noted that the recent bounce likely won’t continue. One Fintech exec, who has been sounding the warning bells on the economy for the better part of the past year, speaks on the current state of affairs.
“As soon as we saw the trajectory of the pandemic-related spending bills, anybody with basic economic knowledge knew that inflation was going to be a concern. What most didn’t anticipate was the land war in Eastern Europe that only exacerbated energy costs and supply chain issues,” said Richard Gardner, CEO of Modulus, a US-based developer of ultra-high-performance trading and surveillance technology that powers global equities, derivatives, and digital asset exchanges.
“As inflation, which was nudged higher by pandemic-related supply chain shortages which still haven’t fully abated, began to affect household budgets, it was clear that rate hikes were coming. The 75 basis point hikes were historic, but all indicators show that additional increases will be necessary. The increases are only starting to ripple across the economy,” said Gardner.
“There was some excitement over July’s CPI, but the reality is that this economy isn’t back on track. The excitement and celebration is a bit too soon, and I think the fundamentals still show that. Given the market’s recent boon, I think you’re starting to see an influx of FOMO, and that’s not painting the full picture,” said Gardner.
Modulus is known throughout the financial technology segment as a leader in the development of ultra-high frequency trading systems and blockchain technologies. Modulus has provided its exchange solution to some of the industry’s most profitable digital asset exchanges, including a well-known multi-billion-dollar cryptocurrency exchange. Over the past twenty years, the company has built technology for the world’s most notable institutions, with a client list which includes NASA, NASDAQ, Goldman Sachs, Merrill Lynch, JP Morgan Chase, Bank of America, Barclays, Siemens, Shell, Yahoo!, Microsoft, Cornell University, and the University of Chicago.
“Right now could be a great time for companies to work on new projects and get them ready to bring to market. It is a great time for R&D, and, for the companies that planned for this economic upheaval, it is a time to poach top talent that find themselves laid-off. In particular, it is a great time for startups that just completed a major funding round. They’ll have the financial resources to weather the storm while competitors may begin to struggle with liquidity,” said Gardner.
FirstBank Commemorates 2022 International Youth Day, Dedicating the Week to Celebrating the Youth
First Bank of Nigeria Limited has announced its commemoration of the 2022 International Youth Day, globally celebrated today, 12 August 2022.
First Bank of Nigeria Limited has announced its commemoration of the 2022 International Youth Day, globally celebrated today, 12 August 2022 and themed “Intergenerational solidarity: Creating a World for All Ages.”
The International Youth Day is commemorated every year on 12 August, bringing youth issues to the attention of the international community and celebrating the potential of youth as partners in today’s global society. The Day also amplifies the message that action is needed across all generations to achieve the United Nations Sustainable Development Goals (SDGs) and leave no one behind.
Leading up to the day, the Bank dedicated the week of 8 – 12 August with a lineup of activities to reiterate its commitment to Youth Empowerment.
As a Bank renowned for its role in developing the economy through sustainable employment and entrepreneurship endeavours, the 2022 edition of the Youth Week will promote economic empowerment and employment, digital technology, and education as its focus during the celebration.
The Youth Week comprises various activities, including a Fashion illustration workshop, Design skill training, Gen Z/Millennial Webinar and many more exciting activities. These activities would give participants opportunities to win various exciting gift items.
Under the First@arts program, the Bank will empower the youths through Artistry Workshop Sessions & Arts Classes. Interested in the art of fashion design and illustrations, visit the Bank’s social media handles – Instagram: @firstbanknigeria, Facebook: First Bank of Nigeria Limited, Twitter: @FirstBankngr – for information on how you can be among 10 lucky winners to have the opportunity to learn the business of fashion at Claire Idera fashion studio.
Likewise, the Creative design workshop will enable youths design skill training; design thinking principles and their application in the context of layout, typefaces and colour. Interested youths can also participate on the FirstBank social media handles, where 25 lucky winners will be selected to learn the Art of Design at Geneza School of Designs.
Commemorating the Youth Week, Dr Adesola Adeduntan, Chief Executive Officer of FirstBank said: ‘’We remain committed to celebrating the younger demography whose voices, actions, vigour, and tireless participation in the political, economic, and social activities have continued to birth major contributions towards the sustainable development of Africa and the world at large. The planned activities will promote better collaboration and solidarity across generations to foster successful and equitable relationships, and partnerships thereby ensuring “no one is left behind” and empowering everyone to leverage their full potential toward achieving the much-desired Sustainable Development Goals (SDGs).
This Youth demography has a striking significance for us at FirstBank with the Millennials and Gen Zs constituting almost 60% of our workforce. This shows that youths are an integral part of our organisation and every country where we operate”, he concluded.
For more information and participation in the Youth Week, kindly visit the bank’s verified social media platforms; Instagram: @firstbanknigeria, Facebook: First Bank of Nigeria Limited, Twitter: @FirstBankngr
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