Capital Market Archives - Inside Business Africa

Sep52021 by Joshua OlotuNo Comments

Opportunities for Africa in electric vehicle market

From the Cape to Cairo, green tech startups are leading Africa’s charge towards electric mobility, a critical intervention in the fight against climate change driven by a global tide in the use of electric vehicles (EVs). However, the continent’s shift to electric mobility lags behind Europe, the US and China, the global frontrunners in electric mobility. South Africa sold only 92 battery electric vehicles (BEVs) in 2020, down from 154 in 2019, representing 0.02% of domestic vehicle sales. Hybrid sales declined from 253 units in 2019 to 232 units in 2020. Nonetheless, several countries are developing comprehensive policy frameworks to catalyse the transition and adoption of electric mobility. Momentum is anticipated to escalate especially after the European Unio...

Jul32021 by Joshua OlotuNo Comments

Zimbabwe Tycoon Used State Ties to Hide Assets, Report Says

Capital Market, Economy

Zimbabwean tycoon Kudakwashe Tagwirei used connections with government leaders and central bank officials to gain access to hard currency and shield assets from the U.S. Treasury, according to a report by a private anti-corruption group. Tagwirei, who was sanctioned by the U.S. in 2020 for corruption, “appears to have the ability to contact senior civilian officials in Zimbabwe at short notice, particularly at the Reserve Bank of Zimbabwe,” said the report by The Sentry, the Washington, D.C.-based organization co-founded by the actor and director George Clooney. Such access “raises the possibility of state capture, when the public realm -- particularly regulatory, legal, and public policy decision-making -- has been influenced to benefit private interests,” it sai...

Jun212021 by Joshua OlotuNo Comments

FBNH tasks investors on professional advice

Business, Capital Market, Corporate Stories

FBN Holdings (FBNH) Plc has advised investors in the country’s capital market to seek financial advice from professionals when making investment decisions to maximise returns. The Chief Financial Officer of FBNH, Oyewale Ariyibi, said this at a knowledge-sharing session with journalists at the weekend. Ariyibi said financial advisers would help investors to identify the fundamental stocks to invest in to maximise returns on investment. “As an investor, investing in the financial market is not gamble or betting, you need a financial adviser for investment decision. “You should invest money you don’t need immediate use, invest for medium and long-term, also invest in stocks that have good fundamentals for capital gains,” Ariyibi said. Speaking on the theme: ‘Understanding Fin...

May282021 by Joshua OlotuNo Comments

Tanzania: African Development Bank Group signs loan agreements for $140 million to increase power generation

Agriculture, Capital Market, Finance

The funds will be used to construct the plant and an evacuation transmission line, as well as to add 4,250 rural electrification connections The African Development Bank Group (AfDB.org) and the Government of Tanzania have signed loan agreements totalling $140 million to finance the construction of the 50-megawatt Malagarasi hydropower plant in Western Tanzania. The agreements cover a $120 million sovereign loan from the Bank and $20 million from the Africa Growing Together Fund (AGTF), administered by the Bank. Emmanuel M. Tutuba, Permanent Secretary at the Tanzania Ministry of Finance and Planning, and Nnenna Nwabufo, Director General of the Bank Group’s East Africa Regional Development and Business Delivery Office, signed the agreements. The funds will be used to construct the...

May222021 by Joshua OlotuNo Comments

African crypto exchange, Quidax raises 7,772 BNB on worst day of crypto

Capital Market, Economy, Finance

On what could be tagged as the worst day of crypto this year, African-founded exchange, Quidax, raised over 7,772 BNB from the public sale of its token, QDX. The crypto market suffered its first major dip in 2021 on Thursday May 19, 2021 with Bitcoin dropping as low as $30,000 from highs of $64,000. In spite of this, the public sale of QDX sold out in less than 48 hours. Recently, Quidax announced that it had processed over $3 billion in transaction volume since its launch in 2018 with over 400,000 customers across 72 countries. In the announcement, Quidax also shared a shift from its African-focused strategy to becoming the global home of BEP20 tokens. Next Steps for QuidaxOn Friday, the exchange revealed that $QDX will be listed on its platform and DeFi platform, JulSwap...

May172021 by Joshua OlotuNo Comments

Financial stocks contribute 64.38% to market turnover

Capital Market

….As index rises by 0.72% despite festive breaksThe financial services industry dominated in terms of volume at the end of last week’s transactions on the floor of the Nigerian Exchange Limited (NGX). It led the activity chart with 541.015 million shares valued at N5.493 billion, trading in 7,824 deals, thus contributing 64.38 per cent to the total equity turnover. The ICT Industry followed with 90.382 million shares worth N571.642 million in 500 deals, while the conglomerate industry ranked third with a turnover of 84.792 million shares worth N512.775 million in 551 deals. Trading in the top three equities: Access Bank Plc, Zenith Bank Plc and Etranzact International Plc accounted for 284.924 million shares worth N3.470 billion in 2,533 deals, contributing 33.91 per cent to ...

Apr262021 by Joshua OlotuNo Comments

Bargain hunting ahead of Q1 earning season lifts market indices by 1.27%

Capital Market

Market indicators soared significantly at the end of last week’s transactions, following bargain hunting in some banking stocks ahead of the first quarter (Q1) earnings. The Nigerian Exchange Limited (NGX) All-Share Index (ASI) and market capitalisation appreciated by 1.27 per cent to close the week at 39,301.82 and N20.568 trillion respectively. Other indices finished higher except the NSE Sovereign Bond Index which depreciated by 0.94 per cent while the NSE ASeM and NSE Growth indices closed flat. Analysts said investor confidence is gradually rekindled as more companies release their quarterly scorecards to point a direction for the current financial year. The Chief Research Officer of Investdata Consulting Limited, Ambrose Omordion, said: “We see the ongoing Q1 earning...

Apr192021 by Joshua OlotuNo Comments

CBN, ABCON, others draw support for FX rule compliance

Capital Market

Attaining N1 trillion yearly market turnover by the Bureaux de Change (BDCs) has reinforced their relevance to the economic growth of the country. The President of the Association of Bureaux De Change Operators of Nigeria (ABCON), Dr. Aminu Gwadabe, stated this at the yearly general meeting of the body. Gwadabe, however, said it was too early to rest on their oars as there are more battles to conquer in the effort to position the market as a catalyst of economic development and wealth creation. Speaking at the virtual event attended by industry stakeholders, Gwadabe said the journey to rescuing the market from speculators and achieving foreign exchange (FX) had just begun. He listed major steps taken by ABCON to ensure that all licensed BDCs comply with extant regulations, inclu...

Apr192021 by Joshua OlotuNo Comments

Investors’ appetite for stocks wane on rising fixed yield

Capital Market

Following the rising yields in the money market instruments, the bears maintained dominance on the Nigerian Exchange Limited (NGX). This caused the NGX All-Share Index (ASI) and market capitalisation to depreciate by 0.15 per cent and 0.12 per cent to close the week at 38,808.01 and N20.310 trillion respectively. All other indices finished lower except NSE Premium, NSE Lotus II, NSE Industrial, and NSE Sovereign Bond Index which appreciated by 0.65 per cent, 0.09.per cent, 0.95 per cent and 0.17 per cent while the NSE ASeM and NSE Growth Indices closed flat. Analysts link the lull in the equities market to macroeconomic challenges bedeviling the nation’s economy. For instance, the Chief Research Officer of Investdata Consulting Limited, Ambrose Omordion said: ” It is obvious that...

Apr162021 by Joshua OlotuNo Comments

Bears regain dominance as index plunges by 0.17%

Capital Market

Following losses suffered by most blue-chip stocks, the bears upstaged the bulls on the Nigerian Exchange Limited (NGX), causing the All-Share Index (ASI) to depreciate further by 0.17 per cent. ASI decreased by 64.26 absolute points, representing a decline of 0.17 per cent to close at 38,571.89 points while market capitalisation declined N34 billion to close at N20.186 trillion. The downturn was driven by price depreciation in large and medium capitalised stocks amongst which are; Unilever Nigeria, Lafarge Africa, Northern Nigeria Flour Mills (NNFM), PZ Cussons Nigeria, and Union Bank of Nigeria.Analysts at Vetiva Dealing and Brokerage said: “We foresee a tepid close to trading activity this week, as investors remain on the sidelines awaiting catalysts to drive further market acti...