(Bloomberg) Nigerian Central Bank Governor Lamido Sanusi said monetary tightening alone won’t address accelerating inflation in the West African nation. The rising cost of imported food and unsubsidized fuel products indicate the risks to inflation are still on the upside, Sanusi said by phone yesterday from the capital, Abuja.
(Bloomberg) Nigeria halted the sale of Nigerian Telecommunications Ltd. after the second-highest bidder for the state-owned company failed to meet a payment deadline, the country’s privatization agency said. Omen International Ltd. didn’t pay a $105 million bid security to show it is still interested in Nitel, as the company is known, “in spite of a grace period granted” to the end of today, Chukwuma Nwokoh, spokesman for the Bureau of Public
(Bloomberg) Nigeria will offer 70 billion naira ($448 million) of bonds at a monthly debt auction tomorrow, after the central bank raised its benchmark interest rate for the third time this year in May to curb inflation. The West African country will sell 35 billion naira each of debt due in 2014 and 2015, the Abuja-based Debt Management Office said in a statement published on its website. Demand for the notes due 2015 exceeded supply by the most
JSE-listed technology services company Blue Label Telecoms has decided to terminate its business activities in Nigeria and look to redeploy its resources to other international businesses, particularly its growing Indian and Mexican markets, Blue Label Telecoms joint CEO Mark Levy said on Monday. The company, which has a 36.72% stake in Africa Prepaid Services Nigeria through its 72% shareholding in Africa Prepaid Services, cited the cancellation of
(Bloomberg) -- Telkom South Africa Ltd., Africa’s largest fixed-line telephone operator, predicted declining voice revenue and said it’s stopping funding for Nigerian division Multi-Links Telecommunications Ltd. after a deal to sell the unit’s CDMA wireless business failed. The board is ending all funding to Multi-Links, Telkom said in a filing today. Telkom had agreed to sell the unit’s CDMA business to Visafone Communications Ltd. for $52 million. “Certain
(Reuters) - Nigerian interbank rates climbed to an average of 12.50 percent this week from 10.58 percent last week after a new rise in lenders' cash reserve requirement came into effect, traders said on Friday. The secured Open Buy Back (OBB) closed flat at 10 percent, 200 basis points above the benchmark rate and 4.0 percentage points over the Standing Deposit Facility (SDF) rate.
(Reuters) In a deeply divided OPEC, Nigeria was the only party willing to side with either camp, the head of its OPEC delegation told Reuters on Wednesday. OPEC talks collapsed after a Saudi-led move to raise production for the first time in four years was met with strong opposition focussed on Iran and Venezuela. "Some wished for an increase and others felt there was a need to discuss further and watch the market for a couple of months," said Nigeria's delegation head Goni Musa.
(csmonitor.com) More than 200 companies – including India's Tata Group, New Jersey's Honeywell Energy, and Nigerian conglomerate Dangote Group – have signed up to own a rusty piece of Nigeria's grid. Nearly 1,000 bids have been placed by companies – some large, some small – looking to buy up one of the wonders of the modern world: Nigeria's electric grid.
(Reuters) - Disgruntled shareholders in Nigeria's rescued lenders face a showdown with the central bank after it set a September deadline for recapitalisation deals they have gone to court to try to prevent. The central bank said last week the banks had until the end of September to reach recapitalisation deals with new investors or face liquidation if they refuse to accept funds from a state "bad bank", which would effectively mean
(economictimes) Indian company Essar African Holdings will finance a 600-MW power plant in Cross River State in the West African nation of Nigeria, company officials say. The power plant will come up in state capital Calabar. Nigeria, with a population of more than 140 million, is said to be one of the fastest growing economies in the world. Nigeria is the biggest economy in sub-Saharan Africa and poised to become the biggest in Africa and one of the
(Bloomberg) Togo, Nigeria and Ghana have the biggest rates of deforestation out of 65 nations, according to a study described by its authors as the most comprehensive analysis of tropical forests. Togo lost an average of 5.75 percent of its forests a year from 2005 through 2010, according to the study, published today by the wood products trade group, the International Tropical Timber Organization in Yokohama, Japan. Nigeria posted a 4
(economictimes) Indian conglomerates Essar and the Tatas are among the entities shortlisted by the Nigerian authorities for privatisation of firms created out of Power Holding Company of Nigeria, says a media report. Nigerian daily 'THISDAY' has reported that Dangote Industries, Oando Gas and Power, Honeywell Energy Resources International, Actis Infrastructure, an Essar consortium and Tata Group are prominent among the 207 companies
(businessdayonline.com) The threat by the Central Bank of Nigeria (CBN) to liquidate rescued banks that fail to recapitalise by September ending has hit hard on investor confidence in the banks. Despite an appreciable rise in the stock market index in the last three months, the share prices of most of the rescued banks fell as investors dumped the shares of the banks.
(Reuters) - Nigeria's central bank has given rescued lenders four months to reach recapitalisation deals with new investors or face possible liquidation, a local newspaper quoted governor Lamido Sanusi as saying on Tuesday. Nigeria's central bank in 2009 injected $4 billion into nine lenders deemed by auditors to have become so weakly capitalised that they posed a risk to the entire banking system in sub-Saharan Africa's second-biggest economy.
Nigerian life insurance company Capital Express Assurance has bought majority shareholding in Capex Life Assurance, formerly known as Trinity Life Assurance, in a deal that opens the local industry to competition from the highly capitalised Nigeria insurers. Capex Life was owned by the family of the former Nairobi Provincial Commissioner Fred Waiganjo until the latest acquisition- which is seen as a move to comply with new regulations
Taxpayers of Nigeria will be exposed to toxic debts of the past rescued banks and the Nigeria’s Asset Management Corporation (AMCON) is expected to buy $14.6 billion of bad debt to recapitalize the rescued banks. The Asset Management Corporation is a state-owned entity that was set up to handle and accomplish the transaction. The burden on the backs of the Nigerian taxpayers can be backbreaking, the resources that
The Anglo-Dutch oil giant Shell said Friday that theft, sabotage and operational reasons caused 27,580 barrels of oil to spill from its facilities in Nigeria last year, even as NNPC, Nigeria’s state-owned energy company signed agreements today with local units of Royal Dutch Shell Plc (RDSA) and Chevron Corp. (CVX) for the supply of natural gas to the country’s power stations.
(globalatlanta.com) After the April elections in Nigeria, a renewed confidence in the country's political stability could help the country attract more foreign investment. In the past, rigged elections have marred the country's international image, scaring away investors, Attahiru Jega, chairman of the Independent National Electoral Commission, told GlobalAtlanta. Mr. Jega was the keynote speaker at a May 13 symposium at Kennesaw State
Nigerian President Goodluck Jonathan says he is taking charge of the country's economic planning. Nigerian President Goodluck Jonathan says he will lead Nigeria's economic team in his new Cabinet, replacing the finance minister as the country's chief financial planner. Jonathan says he will push to raise import tariffs on rice and sugar to better protect domestic producers, with the goal of ending all rice imports within four years. The president says Nigeria will never be a leading economy if it continues to import basic commodities such as oil and food, and does not increasing the local value added to agriculture, solid minerals, and oil and gas.
Analysts in Nigeria are optimistic that Internet Service Providers (ISPs) can avoid the pitfalls that has left much of the sector struggling in terms of service and connectivity in recent months. According to a report published by BusinessDay Online, four providers including Globacom, Mobitel, Swift Networks and Direct-on-PC (DOPC) have all launched 4G-LTE networks in the country. This report states that the "innovative wireless platform...
Adcock Ingram, South Africa's second-biggest pharmaceuticals company, would consider an acquisition in Nigeria as part of its plan to enter Africa's most populous nation, its chief executive said. Adcock, which scrapped a bid for rival Cipla Medpro in 2009, has been looking for new revenue streams and hopes to generate 30% of its earnings outside South Africa in two to three years.