Category Archives: Finance

Foreign Investors Withdraw N642bn From Nigeria Stock Market

Foreign investors pulled out a total of N642.65bn from the nation’s stock market last year, compared to the N435.31 withdrawn in 2017, the Nigerian Stock Exchange said in a new report on Thursday.

The NSE said foreign inflows into the market fell to N576.45bn last year from N772.25bn in 2017.

Foreign portfolio investment outflow includes sales transactions or liquidation of portfolio investments through the stock market, while the FPI inflow includes purchase transactions on the NSE (equities only), according to the data.

The concerns over the forthcoming generation elections and rising interest rate in the United States and some other developed economies had resulted to the exit of foreign investors from the NSE in recent months.

The Chief Executive Officer, NSE, Mr Oscar Onyema, at the 2018 Market Recap and Outlook for 2019 on Monday, noted that the rise in foreign outflows “highlights attenuated foreign participation due to a shift to higher-yielding assets with lower risks in developed countries, coupled with the impending political risks in the coming Nigerian elections.”

The NSE Domestic and FPI Report for December showed that total transactions at the nation’s bourse reduced by 15.93 per cent from N149.72bn in November to N125.86bn in December.

It said the cumulative transactions reduced by 5.44 per cent to N2.404tn in 2018 from N2.542tn in the previous year.

The bourse said, “Domestic investors outperformed foreign investors by 4.54 per cent in December 2018. Total domestic transactions increased marginally by 0.64 per cent from N65.36bn in November to N65.78bn in December 2018.

“In contrast, total foreign transactions reduced by 28.78 per cent from N84.36bn to N60.08bn driven by a reduction in foreign inflows, which reduced by 34.31 per cent from N34.97bn to N22.97bn and foreign outflows, which reduced by 24.86 per cent from N49.39bn to N37.11bn over the same period.

The NSE said between 2011 and 2015, foreign transactions consistently outperformed domestic transactions but domestic transactions marginally outpaced foreign transactions in 2016 and 2017, and remained almost at par in 2018.

It said, “Also, foreign transactions, which were N1.539tn in 2014, declined to N1.219bn in 2018. Over a 12-year period, domestic transactions have decreased by 66.67 per cent from N3.556tn in 2007 to N1.185tn in 2018.

“The total foreign transactions accounted for about 51 per cent of the total transactions carried out in the financial year 2018 whilst the domestic transactions accounted for about 49 per cent of the total transactions in the same year.”

The volatility in capital flows, especially FPI, has been described as one of the downside risks to the nation’s macroeconomic outlook.

At their meeting in November, several members of the Monetary Policy Committee of the Central Bank of Nigeria expressed concerns over the continuous outflow of portfolio investments.

How Corporate Organisations Can Save Money on Employees Travel in 2019

How Corporate Organisations Can Save Money on Employees Travel in 2019

Making corporate travel savings might sound like a challenge, especially if you have lots of employees flying to different locations at different times. But there are ways to keep your costs down without compromising on travellers safety or services. With a smart process in place, you can save money on every trip,  and make both your travellers and your stakeholders happy. Jumia’s hotel & flight services, discusses the most effective ways to reduce your overall corporate travel spend in 2019.

Tighten up your corporate policy

From booking flights to meal allowances and handling expenses, there’s a lot to consider when setting out a corporate travel policy. That means there’s plenty that can slip through the net. Take a close look at your existing corporate travel policy and think about whether it’s robust enough to cover every area of travel spend within your company.

Sign up to a travel agency

If you want a complete corporate travelsolution, a travel agency like Jumia’s hotel and flight services is your sure bet. There are countless and limitless largesse these companies would enjoy if they signup. They include amazing discounts on hotel and flightbookings, credit facility, sterling customer service and prompt response to queries. In addition, it gives you full visibility of all your travel arrangements, helping you make the right decisions that will lead to significant reductions in your costs.

Set realistic food and transport allowance

You might find that giving employees control over their food and transport spending can actually reduce overspending. Meal expenses can be set as an overall allowance per day, giving the employee the choice of how much to spend individually on breakfast, lunch and dinner. There’ll always be exceptions – so keep that five-star restaurant in reserve for your highest-profile client meetings. When it comes to transport, you should clearly advise employees to choose the most cost-effective method, factoring in journey times. This could include using their own vehicles to get from A to B and then reimbursing them.

Reward your employees

Every time your travellers pick a more cost-effective option, they’re saving the company money. Over the course of a year, that can really add up. So how about giving them an incentive to deliver further savings? It could be a voucher for their favourite store, a share of the savings, or time off – just some way of thanking employees for reducing your travel costs and encouraging them to keep doing it.

Have a pre-trip approval process

One of the simplest ways to reduce your corporate travel spend is by having an approval system in place for every booking. By making it clear who needs to give approval for travel, you won’t have the problem of trips having to be cancelled after they’ve been booked, triggering wasted expenditure.

How to Start Saving Early For Your Next Vacation

How to Start Saving Early For Your Next Vacation

It is January and this is the time to start saving early for your next vacation if you are a travel freak. Maybe you have a dream destination, but you can’t quite save up enough for travel costs. Or maybe you can get yourself there, but you’d have to live on bread and water for the entire trip. If your vacation expenses are just out of reach, a few adjustments can help you put aside more cash and reach your goal. Jumia’shotel & flight marketplace, shares ways to start saving early for your upcoming vacation.

Figure out how much money you need

Before you can even plan how to save for a vacation, you should calculate how much you plan on spending. While you won’t be able to do an exact calculation, you will be able to estimate your average expenses by researching your destination. This can give you a good idea of what you will need to save every month. Everyone travels differently, so no two numbers will be alike. You’ll want to determine how cheaply or luxuriously you’ll want to travel in the new year in order to figure out how this will fit into your monthly budget.

Start a monthly budget

If you don’t currently have a monthly budget, it might be time to take a hard look at your spending. Evaluate how much you spend each month on necessities like rent and discretionary purchases like movie tickets. Then, set a reduced monthly spending budget and put the money you save in your vacation fund. Even after you take your trip, you might want to stick to your budget and keep saving.

Open a bank account

If your travel fund is mixed with your general savings account, you should open a dedicated savings account just for travel. It will be easier to put aside money specifically for vacation, and you’ll be less likely to dip into the fund for other expenses.

Get a side hustle

If you need to boost your vacation savings quickly, a temporary side hustle can help get you there. If you own a car, you can drive for Uber or Taxify, join the Jumia JForce or do some freelance work. Just make sure to funnel your extra earnings directly to your vacation savings.

Stay focused and inspired

Keep feeding your desire to travel. Travel planning can be daunting and a lot of work and, if your friends and family aren’t that enthusiastic about it, it can be a little depressing because the support you’re looking for isn’t there.

Investigation shows That Nigeria Governors earn over N600,000 Monthly

Investigation shows governors earn over N600,000 – Governor Kayode Fayemi of Ekiti State some days ago claimed that governors in Nigeria earn N500,000 monthly salary.

Fayemi had argued that professors in Nigerian universities earn N500,000 monthly salary like the governors , sometimes earned more than that.

However, investigation carried out by Punch shows that governors earn N648,580.62 as monthly salary.

According to a document, Remuneration Package of Political, Public and Judicial Office Holders, obtained from the Revenue Mobilisation, Allocation and Fiscal Commission (RMAFC) by Punch. The governor’s monthly salary is made up of three items – basic salary, hardship allowance and constituency allowance.

CBN Supplies $210 million to Inter-bank Forex Market

CBN Supplies $210 million to Inter-bank Forex Market – The Central Bank of Nigeria (CBN) Wednesday intervened in the interbank foreign exchange market by injecting the sum of $210 million into the market.

The central bank offered the sum of $100 million in the wholesale segment, while the small and medium scale enterprises (SMEs) segment received the sum of $55 million.

Similarly, the invisible segment, comprising tuition fees, medical payments and Basic Travel Allowance (BTA), among others, also received a $55 million boost.

How 10 Nigerian banks paid over N1 billion as emoluments to top directors in 2017

Ten banks operating in Nigeria paid a combined sum of over N1 billion to their respective highest paid directors in 2017, a PREMIUM TIMES’ analysis of the banks financial statements has shown. The banks whose financials were reviewed by this newspaper include Zenith, Guaranty Trust Bank (GTB), United Bank for Africa (UBA), Access, FCMB, Wema, First Bank, Union Bank, Diamond Bank and Fidelity Bank. A breakdown of the figures show that while GTB led the pack with the highest payment made to its highest earning director, Diamond Bank paid the least amount among the banks. The details are contained in the banks’ consolidated financial statements and annual accounts for the year ended December 2017, submitted to the Nigerian Stock Exchange (NSE) and made public earlier in the year.

Nigeria earns N43.2b from solid minerals

The Federal Government earned a total of N43.22billion in 2016 from solid minerals sector, the Nigeria Extractive Industries Transparency Initiative (NEITI), said yesterday.

According to the highlights of the 2016 audit report of the solid minerals sector released by NEITI, taxes collected by the Federal Inland Revenue Service (FIRS) accounted for N40.38 billion or 93.43per cent, while fees collected by the Mining Cadastral Office stood at N1.15 billion or 2.66 per cent.

CBN injects $210m into forex market

The Central Bank of Nigeria (CBN) yesterday injected $210 million in the inter-bank foreign exchange market.

Figures obtained from the CBN indicate that the authorized dealers in the wholesale segment of the market received the sum of $100 million while the Small and Medium Enterprises (SMEs) and invisibles segments were allotted the sum of $55 million each.

The bank’s Director, Corporate Communications Department, Isaac Okorafor assured that the CBN would continue to sustain liquidity in the forex market. He also expressed optimism that the Naira will continue its strong run against the dollar and other major currencies around the world, considering the stability in the market and robust reserves.