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Set aside risk funds, NNPC tells national oil firms

Set aside risk funds, NNPC tells national oil firms

Business
National oil companies should set aside risk funds to minimise the impacts of unforeseen events, the Nigerian National Petroleum Corporation has said. NNPC’s Group Executive Director, Umar Ajiya, said this during a dialogue on responses by governments and the oil industry to the COVID-19 pandemic in the extractive sector. The dialogue, which was hosted by the African Development Bank’s African Natural Resources Centre and the African Legal Support Facility focused on South Africa, Ghana, Nigeria and Kenya. Ajiya said Nigeria’s heavy reliance on oil revenues, oversupply and the dramatic fall in demand had impacted its economy. He was quoted in a statement issued on Friday by an official in the AfDB’s Communications and External Relations Department, Kwasi Kpodo, as saying, “The...
Looting: Nigeria losing investment-friendly attraction, says NACCIMA

Looting: Nigeria losing investment-friendly attraction, says NACCIMA

Business
The Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture says efforts to project Nigeria as favourable and an investment friendly destination to investors have become futile with the ongoing looting and destruction of properties. The National President, NACCIMA, Hajiya Saratu Aliyu, lamented that business operations in the country had been seriously impacted as billions had been lost to arson and looting in Lagos and other parts of the country, in a statement. The statement titled ‘An urgent call for calm and frank dialogue to end #EndSars crisis and ongoing violence’ was made available to our correspondent on Friday. “NACCIMA’s  efforts as a national chamber to help project our country as a favourable and  investment friendly destination to ou...
Equity market gains N4bn on blue-chip firms

Equity market gains N4bn on blue-chip firms

Business
The Nigerian equity market on Tuesday returned to the green territory following gains recorded by some blue-chip firms despite the #EndSARS protests that are ravaging the country. The market breadth equally closed positive, recording 23 gainers against 17 losers as both market performance indices grew by 0.03 per cent. Consequently, the All-Share Index appreciated by 7.51 basis points or 0.03 per cent to close at 28,665.82 index points as against 28.658.31 recorded the previous trading session. Market capitalisation of equities grew by N4bn from N14.979tn the previous day to N14.983tn as market sentiment remained in the positive territory. Meanwhile, a turnover of 297.31million shares exchanged in 4,736 deals was recorded in the day’s trading. The premium sub-sector remaine...
FRC to ensure compliance with IFRS 17 in 2023

FRC to ensure compliance with IFRS 17 in 2023

Business
The Financial Reporting Council has said it is getting its constituents ready for IFRS 17 which will be effective for annual periods beginning on or after January 1, 2023. A statement on Tuesday titled, ‘Stakeholders interactive forum with FRC and International Accounting Standards Board webinar,’ said the Deputy Director/ Head, Directorate of Accounting Standards Public Sector, Dr Iheanyi Anyahara, spoke while delivering the keynote address. He said, “On 28 May 2020, the IASB issued amendment to IFRS 16, COVID-19 related rent concessions which is effective for annual periods beginning on or after 1 June 2020. “The council is, however, getting its constituent ready for IFRS 17, insurance contracts which will be effective for annual periods beginning on or after 1 January 2023 aft...
Naira slides to 460/$ at parallel market

Naira slides to 460/$ at parallel market

Business
The naira fell slightly at the parallel market on Monday, as it exchanged to the dollar for N460/$ as of the close of work. The naira had exchanged to the dollar on Friday for 458/$. This is as the country’s external reserves continued to maintain its downward trend. Figures obtained from the Central Bank of Nigeria revealed that the country’s external reserves which stood at $35.75bn as of October 02 had lost $78.34m to close at $35.67bn as of October 16. The CBN had stated in its report on ‘Monetary, credit, foreign trade and exchange policy guidelines for fiscal years 2020/2021’ that external reserves were expected to lie between $29.9bn and $34.3bn by 2020 ending. It said, “Sequel to the COVID-19 pandemic, the viability of the external sector in 2020 is expected to dete...
Bank to commence BVN registration for 774,000 SPW jobs

Bank to commence BVN registration for 774,000 SPW jobs

Business
Heritage Bank Plc has said it is set to commence the account opening with Bank Verification Numbers for the earmarked 774,000 participants of the Special Public Works programme in their branches throughout the 774 Local Government Areas. The bank said this in a statement on Monday titled ‘Heritage Bank to engage 774, 000 jobs Special Public Works programme November 1’. It said the participants were to be paid an allowance of N20,000 only, monthly and the programme was to kick off from November 1, 2020, and a total of 129 LGAs had been assigned to Heritage Bank Plc. The bank said the SPW was a post-COVID-19 poverty alleviation initiative approved by the Federal Government and the Federal Ministry of State for Labour and Employment to implement 774,000 Jobs in all the 774 LGAs in N...
NNPC’s liabilities exceed assets by N4.4tn – Report

NNPC’s liabilities exceed assets by N4.4tn – Report

Business
The liabilities of the Nigerian National Petroleum Corporation as a group exceeded the assets of the oil firm by N4.4tn in 2019, the just released audited financial statements of the firm for 2019 showed. It also revealed that the oil firm’s liabilities as a corporation exceeded its assets by N1.1tn. The auditors expressed significant doubt on the continued existence of NNPC as a going concern considering the level of liability being shouldered by the oil firm. The auditors include PriceWaterhouseCoopers, SIAO Partners and Muhtari Dangana and Co. Explaining the material uncertainty relating to going concern at the oil firm, the auditors expressed doubt on the group and corporation’s ability to continue as a going concern. They said, “We draw attention to note 42 of the cons...
#EndSARS: Airlines increase airfare of domestic flights

#EndSARS: Airlines increase airfare of domestic flights

Business
Following the ongoing protests against police brutality in the country, airfares on domestic routes have increased. The increase in the price regime was reflected by several carriers on weekend flights for one-way trips from Lagos to Abuja. Before now, the cost of flights ranged from N27,000 to N38,000 depending on the class of ticket purchased. However, Arik Air recorded N43, 944 for economy and N99,176 for business class tickets on Sunday, according to checks by our correspondent. For Aero contractors, passengers were expected to cough out between N34,310 and N87,812 for flexible economy and business class respectively. Dana Air was not left out as it prices ranged for N36,000 to N42,300 for economy Saver while Economy Flexible stood at 47,000. Prices on Air Peace rang...
Kano to spend N2.3bn on dry port development

Kano to spend N2.3bn on dry port development

Business
Kano State Governor, Dr Abdullahi Ganduje, has committed to spend N2.3bn on the development of Dala Inland Dry Port in Kano State. Ganduje, who paid a working visit to the Nigerian Shippers’ Council in Lagos on Friday, said the money was for the development of the first phase of the port which he believed would boost Kano State’s economy and that of Nigeria in general. The governor also called on the council to ensure that inland dry port was linked with the railway network, stressing the need for effective collaboration between shippers and shipping lines. He said, “The reason why we are here is to create a synergy between the shippers council and other stakeholders to ensure that the inland dry port in Kano is actualised. “For more than 10 years this project was initiated in...
PenCom approves N2.58bn for relatives of deceased workers

PenCom approves N2.58bn for relatives of deceased workers

Business
The National Pension Commission has said it released N2.58bn for payment of pension benefits of deceased workers under the Contributory Pension Scheme between April and June 2020. It disclosed this in its report on the second quarter of 2020. The report said the beneficiaries included 288 from the Federal Government sector, 135 from State Government sector and 168 from the private sector, making a total of 591 relatives. Part of the report read, “The commission approved the payment of N2.58bn as death benefits to the beneficiaries of the 591 deceased employees during the quarter under review.” PenCom also said that during the quarter under review, the Pension Fund Administrators recaptured 56,990 Retirement Savings Account holders and uploaded their data on the Enhanced Contri...