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A Recap Of The Nigerian Economy Today 06/04/2017


Here's a summary of the top business, economic and political news in Nigeria today.
BUSINESS & ECONOMY
CBN Lending To The FG Hit All Time High of N5 trillion –  Old habits do die-hard. Last year, the former CBN Governor and Emir of Kano, Sanusi, Lamido, Sanusi, ruffled feathers after he revealed that Federal Government borrowings from the Central Bank was now in excess of N4.7 trillion and in violation of (Section 38.2) which caps advances to the FGN at 5% of last year’s revenues.
The revelation shocked a lot of Nigerians instigating a hasty response from the government. However today, the figures have further risen to an all time high of N5 trillion naira.
CBN: Three Banks Failed Capital Adequacy Test – The Financial Stability Report released by the Central Bank of Nigeria for December 2016 revealed that three banks in the country failed a Capital Adequacy Ratio (CAR) test in the event of a default in inter-bank lending. Inter-bank lending is borrowing between two banks. Two of the banks were Systemically Important Banks (SIBs). However, none of the banks involved were mentioned in the report. 
Chinese bank reduces funding on speed rail project – Minister of Transportation Rotimi Amaechi yesterday said the Chinese Exim Bank, which promised to provide 85 per cent of the funds for the Lagos-Ibadan rail project, has reduced its exposure by seven per cent. 
Nigeria to ‘Easily’ Get $3.5 Billion Foreign Debt, Moody’s Says – Nigeria will easily achieve its target of $3.5 billion foreign borrowing in 2017 as improved oil output helps the economy to recover from last year’s contraction, the first since 1991, Moody’s Investors Service said. 
March Crude Production Is 1.6mbpd – Figures released earlier this week showed that crude oil production dropped to 1.6 million barrels per day (bpd) in March 2017. The news could be a source of concern in certain quarters due to its impact on the economy and government activities. 
No plan to scrap YouWin programme – Adeosun – The Minister of Finance, Mrs. Kemi Adeosun, on Wednesday said the Federal Government had no intention to scrap the Youth With Innovation Entrepreneurship programme, adding that the scheme was being reviewed in line with the economic agenda of the administration of President Muhammadu Buhari. 
CBN: 50 debtors owe banks N5.59trn – Fifty customers owe commercial banks in Nigeria a total sum of N5.59 trillion, representing 34 per cent of total industry credit exposure of N16.29 trillion, the Central Bank of Nigeria’s (CBN) 2016 Financial Stability report has stated. 
Senate Asks Finance Minister To Release N15bn For Amnesty Programme – The Senate on Thursday asked the Minister of Finance, Kemi Adeosun to release outstanding N15 billion in the 2016 budgetary allocation to the Presidential Amnesty Programme.
LSETF approves N1.7bn loans to 1,400 beneficiaries – The Lagos State Employment Trust Fund (LSETF) has so far approved up to N1.7 billion loans for 1,400 beneficiaries who are at different stages of fulfilling requirements for disbursement. 
Customs Command Generates N649.1m In March – The Tin-Can Island Port 2 Customs Command , Ijora in Lagos on Thursday, said it generated the sum of N649.11 million in March. 
Financial Stability: Further Pressure On NPLs Will Put Smaller Banks At Risk – CBN – The Central Bank of Nigeria (CBN) in its Financial Stability Report released yesterday, said a change in the status of loans of the largest obligors from performing to none would lead to a fall in the Capital Adequacy Ratio of small banks. 
Malabu Oil Scam Case Must Not Die- CACOL – The Centre for Anti-Corruption and Open Leadership, CACOL has told the Economic and Financial Crimes Commission, EFCC to bring former Attorney-General of the Federation, AGF, Mr. Mohammed Adoke (SAN), to court by any means possible, explaining that the case is becoming too stale and must not be allowed to die. 
Citizens Gate – Lagos State’s New Website and App – The Lagos State Government is arguably the most responsive state government in Nigeria. Governor Akinwunmi Ambode’s administration recently launched the Citizens Gate – a website and app developed to encourage deeper interaction between the government and the state.
Benue to begin yam processing, packaging, export in June – Benue State will begin the processing, marketing and packaging of yam for export in June this year, the Nigerian Export Promotion Council (NEPC) said in Makurdi on Thursday. 
Reps move to enforce ‘pay as you go’ option on Multichoice Satellite TV – MEMBERS of the House Representatives, Wednesday moved to enforce the ‘pay as you go’ option on Multichoice Satellite television.
Nigeria LNG starts talking to buyers on new contracts – Nigeria LNG (NLNG) has begun talks with potential buyers on new contracts for gas supplies from its first three production units at its liquefied natural gas (LNG) terminal.
French Drugs Maker Targets Africa With Nigerian Acquisition – Biogaran SAS a closely held French pharmaceuticals manufacturer, plans to tap into Nigeria’s $1.3 billion drugs market as a launchpad for its expansion into Africa, company President Pascal Briere said. 
Nigeria’s Union Bank plans fund raising to boost capital adequacy – Nigeria’s Union Bank plans to raise funds this year to boost its capital adequacy and tap opportunities to lend to agri-business focused on the domestic economy, its chief executive said on Thursday. 
Lawmakers order AMCON to return all wrongly packaged debts to banks – The House of Representatives members has ordered the Asset Management Corporation of Nigeria (AMCON) to return all Non-Performing Loans (NPLs) that were contracted unprofessionally to the banks. 
Dangote to intensify local sourcing of sugarcane for refining – To consolidate its earnings and position in the sugar industry, Dangote Sugar Refinery Plc has concluded plans to intensify its refined sugar from locally grown sugarcane. 
NEXIM Bank extends N1.2bn facility to firm – As part of its core mandate of financing nonoil export , the Nigeria Export Import Bank( NEXIM) has advanced credit facility in sum of N1.2 billion to support a furniture company, Alibert Products Nigeria Limited .  
SPDC LiveWIRE beneficiaries to benefit from $.8m fund – Twenty-eight beneficiaries of the Shell Nigeria LiveWIRE programme are retooling to get a good share of the $800,000 growth fund for the year, provided by Grofin Investment, Shell Petroleum Development Company (SPDC) has said.
Local E&P firms produce about 180,000 bpd – Indigenous oil exploration and production (E&P) companies produce about 10 per cent of the total national output – between 180,000 and 200,000 barrels per day of oil (bpd), Chairman, Society of Petroleum Engineers, Nigeria Council, Dr Saka Matemilola, has said. 
House Intervenes in Diamond Bank Staff Retrenchment Dispute – The House of Representatives Committee on Public Petition wednesday summoned Diamond Bank Plc over the sacking of 300 staff.
CBN, Access Bank Partner on Cashless Policy Awareness – As part of efforts to promote awareness on the cashless policy, which was extended to the 30 remaining states of the federation recently, Access Bank Plc with the support of the Central Bank of Nigeria (CBN) recently sensitised some business operators on the benefits of the scheme. 
Bayelsa declares N7bn surplus, hails FG’s economic strategy – The Bayelsa State Government has declared N7bn as a total balance in the state’s account after loan deductions, salary payment and recurrent expenditures. 
Probe $15.8bn NLNG dividends to NNPC, NEITI urges FG – The Nigeria Extractive Industries Transparency Initiative has urged the Federal Government to probe the status and utilisation of dividends and loan repayments by NLNG to NNPC from 2000 – 2014. 
Anambra pushes bill to regulate funeral spending – The Anambra State House of Assembly on Wednesday organised a public hearing on a proposed law seeking to regulate burial rites to curb excessive spending. 
Court orders EFCC to unfreeze Patience Jonathan’s $5.9m account – A Federal High Court sitting in Lagos has ordered the Economic And Financial Crimes Commission, EFCC, to unfreeze the account of  former first lady Patience Goodluck Jonathan. 
EFCC detains ex-Gov Aliyu over N2bn ecological fund, N3.6bn power shares cash – The Economic and Financial Crimes Commission, EFCC, has detained former Niger State governor, Babangida Aliyu, over N3.6 billion realised from sale of the state’s 16 of the 26 per cent stake in North-South Power Ltd and N2 billion ecological fund got from the Presidency in 2015. 

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