Nigeria’s Inflation declines by 0.52 % in March

The National Bureau of Statistics (NBS) on Thursday stated that the inflation rate dropped by 0.52 percent in March to close at 17.26 percent, the second decline recorded in two months.

The first decline was recorded in February when inflation dropped by 0.94 per cent to close at 17.78 per cent.

“This is the second consecutive month of a decline in the headline CPI on a year-on-year basis. It represents the effects of stabilizing prices in already high food and non-food prices as well as favorable base effects over 2016 prices.

“It is also indicative of early effects of a strengthened Naira in the foreign exchange market.’’

According to the report, price increases have been recorded in all Classification of Individual Consumption by Purpose (COICOP) divisions that yield the Headline Index.

It, however, stated that the major divisions responsible for accelerating the pace of the increase in the headline index were housing, water, electricity and gas. Others it said were education, food and alcoholic beverages, clothing and footwear and transportation services.

On a month-on-month basis, the report stated that the Headline index increased by 1.72 percent in March, 0.23 percent points higher from the rate recorded in February.

The Food Index increased by 18.44 percent (year-on-year) in March, slightly down 0.09 percent points from the rate recorded in February, which was 18.53 percent.

It stated that the index was driven by increases in the prices of bread, cereals, meat, fish, potatoes, yams and other tubers and wine. It also stated that the slowest increase in food prices year-on-year was recorded by Soft Drinks, Fruits, Coffee, Tea and Cocoa.

In addition, the report stated price movements recorded by All Items less farm produce or Core sub-index rose by 15.40 per cent (year-on-year) in March. It stated that it was down by 0.60 percent points from the rate recorded in February (16.00) per cent.

“During the month, the highest increases were seen in miscellaneous services relating to dwelling, electricity, solid fuels, clothing materials.

“Increases were also seen in other articles of clothing, Liquid fuel, Spirits as well as Fuels and lubricants for personal transport equipment.

“The Urban index rose by 18.27 percent (year-on-year) in March from 18.57 percent recorded in February, and the Rural index increased by 16.47 percent in March from 16.98 percent in February.’’

On a month-on-month basis, the report stated the urban index rose by 1.76 percent in March from 1.52 percent recorded in February.

It further stated that the rural index rose by 1.69 percent in March from 1.47 percent in February.

The News Agency of Nigeria (NAN) reports that CPI measures the average change over time in prices of goods and services consumed by people for day-to-day living.

The construction of the CPI combines economic theory, sampling and other statistical techniques using data from other surveys to produce a weighted measure of average price changes in the Nigerian economy.

FirstBank provides secure money transfer services to customers

As the most valuable banking brand in Nigeria, First Bank of Nigeria Limited has been on a journey of strength and dynamism committed to providing the best financial solutions to promote convenience and support the lifestyles of its customers.

The Bank through the years has demonstrated an understanding of its customers’ modern lives, wants, and needs as part of its drive to become the trusted partner providing bespoke and accessible banking offerings to its teeming customers.

One of many of such banking offerings by FirstBank is the money transfer services available nationwide, which provide for customers an alternative transaction channel that is safe, convenient and a flexible means of funds transfer all year round. These services are also available at weekends as well as on public holidays at some dedicated branches.

                

With Western Union, customers can conveniently receive money from abroad and send money from Nigeria to over 200 countries and territories Worldwide and recipients can receive funds straight to their accounts. With the outbound Western Union Service, Customers can now send funds directly to bank accounts outside Nigeria with the new Account Payment Network (APN) recently added to the Western Union Service.

Another money transfer service provided by FirstBank for its customers is MoneyGram. With this service, users can now receive money from loved ones abroad or send to them from Nigeria.

FirstBank is the leading agent bank for MoneyGram in Nigeria and has been recognised for its increased transaction volume among other agent locations.

The Bank also offers the RIA money transfer service with which customers can receive money from loved ones abroad directly into their accounts in Naira. RIA money transfer service also offers the option of cash pick up at over 750 FirstBank branches nationwide.

Nigeria seeks $3bn from World Bank, AfDB, others

The Federal Government is talking to the World Bank and African Development Bank for $3bn loans before it determines how much it will raise from Euro-bonds to help fund this year’s budget.

“From the World Bank, we are hoping to get $2bn,” the Minister of State for Budget and National Planning, Zainab Ahmed, said in an interview on Tuesday in Abuja, Bloomberg reported on Wednesday.

While the African Development Bank in November disbursed $600m of a $1bn loan, the Federal Government wants the Abidjan-based lender to top up the remaining $400m.

“We are talking to see whether they can up it to $1bn,” she said.

Lawmakers are debating the 2017 budget of a record N7.3tn that the Budget ministry said would help to boost an economy that shrunk by 1.5 per cent last year, the first contraction since 1991.

The government raised $1bn of Eurobonds in February and a further $500m last month to finance projects approved in the 2016 budget.

Ahmed said the government would return to the market for a new fundraising round for this year’s spending plans.

“We should be able to do higher than what we borrowed in 2016,” she said.

SOURCE: http://punchng.com/nigeria-seeks-3bn-from-world-bank-afdb-others/

India loses spot as Nigeria’s biggest oil buyer

For the first time in at least two years, India’s monthly import of Nigerian crude oil has fallen below six million barrels, the latest monthly report from the Nigerian National Petroleum Corporation has shown.

The Asian country lost its spot as Nigeria’s top oil buyer in December, as its import tumbled to a record low of 5.82 million barrels from 14.42 million barrels in November. It bought 17.2 million barrels in January 2016.

India, which in 2013 replaced the United States as Nigeria’s biggest market, saw its import of Nigerian crude rise to a peak of 20.37 million barrels in April 2015.

Netherlands emerged the biggest importer of Nigerian crude in December 2016 as it bought 10.11 million barrels, up from 4.77 million barrels the previous month.

The United States was the third-largest buyer of Nigerian crude as its import fell to 5.63 million barrels from 11.22 million barrels in November.

India’s oil import from Iran has risen sharply in recent months after Western sanctions on the latter were lifted a year ago.

Reuters reported last week that India’s Iran oil import jumped to a record high in 2016/17, topping half-a-million barrels per day as refiners boosted purchases after lifting of some Western sanctions imposed on Tehran last year.

Indian refiners shipped in about 541,000 bpd of Iranian oil in the fiscal year to March, a growth of about 115 per cent over the previous year, ship tracking data obtained from sources and data compiled by Thomson Reuters Oil Research & Forecasts showed.

Iran was India’s second biggest oil supplier – a position now belonging to Iraq – before economic sanctions aimed at Iran’s nuclear programme hampered its trade relations, forcing the South Asian nation to tap alternative suppliers.

In the first quarter of this year, India’s oil import from Iran surged by about 92 per cent to 573,400 bpd as some members of the Organisation of Petroleum Exporting Countries had cut supplies, the data showed.

The NNPC said crude oil production in the country in December slowed down to 1.58mbpd, representing 18.23 per cent drop relative to November 2016 production and lagged behind December, 2015’s performance by 24.04 per cent.

It said the Federal Government’s engagement with the Niger Delta militants had continued to enhance production.

The corporation said, “Issues that overshadowed production during the period include shutdown of Trans Niger Pipeline and Nembe Creek Trunk Line due to pipeline leakages; shut down of Agbami Terminal for mini turnaround maintenance and the subsisting force majeure at Forcados and Brass Terminals.

“Areas much affected by the militant activities are the onshore and shallow water assets, where government’s share is high. Hence, sustained security of onshore and shallow water locations remains a priority to restore production to peak levels.”

SOURCES: http://punchng.com/india-loses-spot-as-nigerias-biggest-oil-buyer/

CBN releases $250m for oil marketers, airlines, others

The Central Bank of Nigeria on Wednesday released additional $250m on seven to 30-day forwards for agriculture, airlines, petroleum products and raw materials.

The apex bank also called for bids for wholesale spot for $100m for Basic/Personal Travel Allowances, medicals and tuition fees.

Confirming this in Abuja, the Acting Director, Corporate Communications Department, CBN, Mr. Isaac Okorafor, said in a statement that the apex bank had also commenced heavy injection of Forex into the spot market.

This, he added, was in addition to the settlement of requests for wholesale spot bids for invisible like school fees, medicals and personal travel allowance.

The CBN had earlier this week disbursed $20,000 each to the Bureau DE Change operators in two tranches of $10,000 each.

This, according to Okorafor, underscores the commitment of the CBN to ensure liquidity in the foreign exchange market.

SOURCE: http://punchng.com/cbn-releases-250m-for-oil-marketers-airlines-others/

FG to recapitalise agric bank with N3tn

The Federal Government will recapitalize the Bank of Agriculture to the tune of N3tn in order to enable farmers in the country to have access to funds at affordable interest rates.

The Minister of State for Agriculture, Senator Heineken Lokpobiri, said this on Monday at the inaugural harvest of a Tilapia from a fish farm belonging to Premium Aquaculture Limited, Oyan Dam in Abeokuta.

He noted that access to funding remained one of the biggest challenges being faced by farmers in the country.

Lokpobiri lamented that commercial banks were not ready to fund agriculture, hence the decision by the Federal Government to recapitalize the bank in order to boost the agricultural sector.

The minister said the nation’s fish demand stood at 3.1 metric tonnes per annum, but the current production was around 1.1 metric tonnes per annum, leaving a deficit of 2.1 metric tonnes.

He said the government resorted to backward integration by encouraging local fish farmers to bridge the gap between demand and supply.

Lokpobiri stated, “When this administration came on board, the supply was around 800,000 metric tonnes per annum, but due to government policy on fishery by the Ministry of Agriculture, the country is now doing 1.1 metric tonnes per annum.

“Fish is the cheapest source of protein for Nigerians; the challenge is not only meeting Nigerians’ demand, but also that of West Africa. People even come from North Africa to buy fish and grains in Nigeria.”

He, however, commended the company and other firms that had contributed immensely to local fish production, urging Nigerians to embrace agriculture, particularly fish farming, “as both the rich and the poor need food to survive.”

In his remarks, a former President, Chief Olusegun Obasanjo, who was a guest at the event, said the government should create an enabling environment for investors in agriculture to thrive in the country.

Obasanjo called on the company to encourage out growers to ease the transfer of technology and create employment opportunities for the youth.

He said, “Your work will be much more appreciated if you can make what I call out growers’ employment generation and wealth creation for our youth, not only in Ogun State but throughout the country.”

…to settle N231bn export grant debt