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Unity Bank PLC Q4 2023 Forecast Analysis



Unity bank - Investors King

Unity Bank PLC has released its Q4 2023 Forecast, and Investors King is here to break down the numbers, offering you a unique analysis of what the future holds for this financial institution.

Profit & Loss Statement: A Mixed Bag of Results

Unity Bank’s Gross Earnings for Q4 2023 are projected to stand at an impressive ₦20,672,299,504 as the financial institution’s ability to navigate a tough business environment while simultaneously increasing earnings continues to improve.

A significant chunk of this revenue, ₦18,222,498,163 to be precise, is attributed to Interest Income, underlining Unity Bank’s strength in managing its lending and investment portfolios.

However, like any financial institution, Unity Bank faces its fair share of challenges. Interest Expenses weigh in at ₦12,209,528,870, which is an expected outcome when dealing with a large customer base and fluctuating interest rates.

Net Revenue From Funds, however, stands at a commendable ₦6,012,969,293, reflecting Unity Bank’s ability to navigate the intricacies of fund management effectively.

Unity Bank doesn’t solely rely on traditional banking activities, as evidenced by its Other Income of ₦2,449,801,341. This diversified income stream is a strategic move to mitigate risks and explore new revenue avenues.

Nevertheless, the Impairment for Credit Loss at ₦917,441,953 serves as a reminder that the banking industry is not without its credit-related challenges.

The bank’s Net Operating Income is an encouraging ₦7,545,328,681, which indicates effective cost management. Operating Expenses at ₦7,397,416,639 showcase Unity Bank’s commitment to maintaining operational efficiency.

Unity Bank ends the quarter with a Pre-Tax Profit of ₦147,912,042. While this figure may appear modest in the grand scheme of the banking sector, it signifies a positive trend for the bank, considering the challenges faced.

After accounting for taxation, Unity Bank’s Profit After Tax comes in at ₦135,339,519. While not a record-breaking figure, it demonstrates resilience and an ability to navigate a complex financial landscape.

Statement of Cash Flows: Balancing Act

Unity Bank’s Statement of Cash Flows paints a picture of financial prudence and strategic planning.

Net cash provided by operating activities is ₦1,475,339,519, suggesting that Unity Bank’s core operations are generating positive cash flow.

However, the bank’s investing activities show a significant outflow of cash at ₦260,034,996,531. This is not necessarily a cause for concern, as it may indicate investments in long-term assets or expansion plans.

When we combine operating and investing activities, Unity Bank records a net outflow of ₦258,559,657,012. This underscores the importance of analyzing the broader financial picture beyond just profitability.

Financing activities reveal a net cash inflow of ₦258,694,996,531. This substantial inflow suggests that Unity Bank is managing its financing activities effectively, possibly attracting investments or securing favorable lending terms.

Unity Bank ends the period with a Net Increase in Cash and Cash Equivalents of ₦135,339,519. This growth in liquidity is a positive sign, especially in a competitive banking sector.

Cash and cash equivalents, both at the beginning and end of the period, remain substantial at ₦90,816,206,262 and ₦90,951,545,781, respectively, indicating financial stability.


Unity Bank PLC’s Q4 2023 Forecast presents a mixed bag of results, reflecting the intricate nature of the banking industry. While challenges persist, the bank demonstrates resilience, efficient cost management, and strategic diversification of income sources.

Investors should consider Unity Bank’s ability to navigate the evolving financial landscape and its potential for growth when making investment decisions. As always, a comprehensive analysis of a company’s financial health and long-term prospects is essential.

Stay tuned to Investors King for more in-depth analyses of financial forecasts and market insights to help you make informed investment choices.


Nigeria’s Tax Revolution: Shifting Burden to the Wealthy and Streamlining the System



Value added tax - Investors King

President Bola Tinubu’s administration is set to revolutionize the nation’s tax system.

The ambitious plan seeks to redistribute the tax burden, making the wealthy pay their fair share while stimulating business growth through corporate tax cuts.

The cornerstone of this tax reform initiative is a push to increase Nigeria’s tax revenue from 11% to 18% of Gross Domestic Product (GDP) within three years.

Spearheading this transformation is Taiwo Oyedele, who leads a panel appointed by President Tinubu.

Oyedele articulated the primary objectives of the reform, saying “We aim to make the rich pay what is fair and protect those in poverty.”

This move is crucial in a country where extreme wealth disparities persist, with only a small fraction of the population enjoying immense riches.

Notably, the plan also includes a reduction in the corporate income tax rate, which currently stands at an effective rate of over 40%.

The aim is to benchmark this rate against Nigeria’s international peers, fostering a more business-friendly environment.

Nigeria’s tax system has long been plagued by complexity, with nearly 70 different taxes and overlapping jurisdictions.

The reform initiative seeks to simplify this by streamlining tax structures and drastically reducing the number of taxes to single digits.

Also, a tax amnesty is under consideration, aimed at encouraging tax compliance and offering relief for past debts. The hope is that by fostering transparency and accountability, more Nigerians will willingly contribute to the country’s fiscal health.

In a nation where government debt has surged dramatically in recent years, this tax revolution is seen as a pivotal step towards reducing the deficit and ensuring sustainable economic growth.

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Federal Government’s $3 Billion Rescue Plan to Bolster Naira Stability



Bola Tinubu

The National Economic Council (NEC) has confirmed the deployment of the $3 billion emergency loan-for-crude oil, secured by the Federal Government in August, for the stabilization of the national currency.

The naira’s value has been under siege, with fluctuations in the Investors & Exporters’ window and a parallel market rate that briefly hit N1000/$ this month.

Addressing reporters following the 136th NEC meeting at the Aso Rock Presidential Villa, Nasarawa State Governor Abdullahi Sule expressed confidence in the plan.

He stated, “With the plan that will come out and with all these items that have been listed on the improvement of revenue, the $3 billion shall be useful to us down the line.”

The emergency loan, secured from Afrexim Bank, was initially intended to relieve pressure on the naira, facilitate the settlement of taxes and royalties in advance, and provide the Federal Government with vital dollar liquidity for naira stabilization.

The recent nomination of Olayemi Cardoso as the new Central Bank of Nigeria (CBN) governor by President Bola Tinubu has already shown promise.

The naira experienced a boost in the black market, strengthening by N10 against the dollar, closing at N990/$1.

Governor Sule indicated that the implementation of the intervention would require careful planning and time.

He emphasized the need for the new CBN team to devise effective strategies. In response to inquiries about a supplementary budget, Sule stated that there is no immediate need for one, as the situation does not warrant it.

As Nigeria’s economic landscape faces evolving challenges, the NEC’s decision to harness the $3 billion loan offers a glimmer of hope for a more stable naira in the near future.

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Former FIRS Chairman Muhammad Nami Accused of Controversial N6 Billion Payments After Sudden Exit

Documents reveal questionable approvals and alleged backdating, raising concerns over financial misconduct



Muhammad Nami

Muhammad Nami, the former chairman of the Federal Inland Revenue Service (FIRS), is under scrutiny for approving payments totaling N6 billion to contractors and consultants just days after his abrupt removal from office.

Documents obtained by TheCable shed light on these controversial transactions.

Nami, who was succeeded by Zacchaeus Adedeji, greenlit the payments on September 16, two days after his removal on September 14.

Sources privy to the situation, although not authorized to speak publicly, claim that Nami directed staff to work over the weekend to finalize these transactions.

Additionally, files were allegedly moved from the FIRS headquarters to his residence, where they were purportedly “backdated and signed.”

Perhaps the most eyebrow-raising revelation is that Nami transferred approximately N5 billion from the FIRS account to the Joint Tax Board (JTB) without apparent justification.

It is reported that the FIRS director of finance and accounts reluctantly approved these payments after warning Nami about potential repercussions.

Nami allegedly reassured his subordinates that the incoming FIRS chairman would remain oblivious to these approvals.

Also, documents indicate that Nami approved significant payments, including N1.4 billion for a ‘Business Case for Strategic Leadership’ retreat, N250 million for FIRS Data Mining Management and Analytics in Taxation Course, and N221 million for a ‘Skill Development and Management Improvement Workshop Training.’

Curiously, Nami also appropriated over N81 million for a study visit to the Inland Revenue of Malaysia.

The FIRS, when contacted for comment, remained tight-lipped about the situation. Spokesperson Abdullahi Ismaila stated that he had no knowledge of the payments, while Tobi Johannes, Nami’s former media aide, distanced himself from the matter, emphasizing that his role ceased when Nami’s tenure ended.

These revelations have ignited concerns about financial misconduct within the FIRS and have raised questions about the oversight and accountability of government agencies. The full extent of these allegations is yet to be determined as investigations into the payments and their legitimacy continue.

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