Echotitbits – Nigeria News

Tag: finance

  • Banking Sector Crackdown: CBN Imposes Stiff Fines for Cheque Violations

    Banking Sector Crackdown: CBN Imposes Stiff Fines for Cheque Violations

    Figures cited by Daily Post show that the Central Bank of Nigeria has introduced a new penalty regime for banks and printers found guilty of cheque-related violations. Under the new guidelines, infractions can now attract fines of up to N20 million, a significant increase from previous sanctions.

    Reporting by Daily Post indicates that the move is part of a broader effort to strengthen the integrity of the Nigerian payment system. The CBN is particularly concerned with the quality of cheque leaflets and the security features embedded in them, which are vital for preventing fraud and ensuring smooth interbank transactions.

    The apex bank warned that it would not hesitate to blacklist printers who fail to meet the required standards. Banks are also required to conduct more rigorous due diligence on their cheque clearing processes to protect customers from the rising wave of sophisticated financial crimes.

    Vanguard and ThisDay have verified the issuance of these new guidelines. Vanguard noted that “the policy aims to restore confidence in paper-based transactions,” while ThisDay quoted a banking executive stating, “these fines will force institutions to prioritize security over cost-cutting.”

    Echotitbits take: While the world is moving toward digital payments, cheques remain a staple for corporate transactions in Nigeria. This crackdown is a necessary evil to ensure the “old school” payment method doesn’t become the weakest link in the financial chain. Expect banks to pass on some of these compliance costs to corporate clients.

    Source: Channels TV – https://www.channelstv.com/2025/01/14/cbn-sanctions-banks-for-failing-to-dispense-cash-via-atms/, February 13, 2026

    Photo credit: Channels TV

  • NSDC and NEXIM Partner to Secure $2 Billion Funding for Sugar Industry

    NSDC and NEXIM Partner to Secure $2 Billion Funding for Sugar Industry

    In an update published by The Punch, the National Sugar Development Council (NSDC) and the Nigerian Export-Import Bank (NEXIM) have entered a strategic partnership to revolutionize Nigeria’s sugar sector. The agreement, finalized in Abuja, aims to secure long-term financing through an Engineering, Procurement, Construction, and Financing (EPCF) model. This framework is designed to support commercially viable sugar projects that can meet the domestic demand, currently valued at approximately $2 billion.

    Under the new arrangement, the NSDC will focus on preparing investment-ready projects and assisting with equity raises. Meanwhile, NEXIM Bank will leverage its international network to attract funding from export credit agencies and development finance institutions. The partnership also includes safeguards such as risk insurance and guarantees to protect investors. This move is part of a broader government policy to reduce dependency on imported sugar and boost local production capacity.

    Executive Secretary of the NSDC, Kamar Bakrin, highlighted that the continental sugar market in Africa is nearing $7 billion, presenting a massive export opportunity for Nigeria. He emphasized that the industry requires “sustained, large-scale financing” rather than short-term loans to achieve the goals of the Nigerian Sugar Master Plan. The collaboration is expected to create thousands of jobs and stimulate growth in the agricultural and manufacturing sectors.

    Validating the report, ThisDay noted that “this partnership is a cornerstone of the FG’s industrialization drive,” while Daily Trust quoted a NEXIM official saying, “We are ready to provide the financial buffers needed to make Nigeria a sugar-exporting hub.”

    Echotitbits take: If successful, this could be a game-changer for Nigeria’s balance of trade. The sugar industry has long been under-capitalized despite the existence of a Master Plan. The focus on the EPCF model suggests a more structured approach to infrastructure development in the sector.

    Source: The Cable – https://www.thecable.ng/sugar-council-nexim-partner-on-long-term-financing-to-curb-import-dependence/, February 12, 2026

    Photo credit: The Cable

  • Naira Gains in Official Market as CBN Interventions Boost Liquidity

    Naira Gains in Official Market as CBN Interventions Boost Liquidity

    The Nigerian naira opened the final week of January 2026 with modest gains against the US dollar in the official market, following reported Central Bank of Nigeria (CBN) interventions and improved foreign exchange liquidity.

    Market watchers say the spread between official and parallel market rates continues to narrow, a trend linked to recent efforts to attract foreign portfolio inflows and stabilize the currency. For import-reliant businesses, even incremental stability can ease cost planning and reduce pass-through inflation on raw materials.

    The CBN is expected to remain cautious, maintaining a tight monetary stance as inflation risks persist. Separate market reporting also characterized the gains as liquidity-driven, reinforcing the view that policy signaling and FX supply conditions will be decisive through Q1.

    Echotitbits take: Currency stability is the Holy Grail for the current economic team. If the Naira stays within this range, we might see a more significant drop in the cost of imported raw materials by the second quarter.
    Source: BusinessDay – https://businessday.ng/business-economy/article/naira-records-0-8-year-to-date-gain-as-reserves-grow-further/ 2026-01-26

    Photo Credit: BusinessDay

  • Nigerian Stock Market Faces N395 Billion Loss Amid Profit-Taking

    Nigerian Stock Market Faces N395 Billion Loss Amid Profit-Taking

    The Nigerian Exchange (NGX) recorded a downturn last week as market capitalization fell by an estimated N395 billion, driven largely by intensified profit-taking following a period of sustained gains.

    The All-Share Index closed lower, reflecting softer sentiment across major sectors including banking, consumer goods, and industrial products. Even with the overall decline, selective counters in insurance and oil and gas reportedly posted modest gains, suggesting pockets of bargain hunting.

    Market analysts describe the move as a normal correction typical of extended rallies, with expectations that sentiment may stabilize as listed companies begin releasing full-year financial results. Separate reporting also cited the week’s closing market capitalization figure and noted that investor positioning remains sensitive to earnings and macro signals.

    Echotitbits take: This is a classic “sell-off” period. Smart investors will be looking for undervalued stocks during this dip, especially in the banking sector, which remains fundamentally strong despite the index drop.
    Source: Ripples – https://www.ripplesnigeria.com/ngx-roundup-investors-lose-n395bn-as-equity-market-continues-to-boom/  2026-01-26

    Photo Credit: Ripples

  • NGX Market Cap Nears ₦100 Trillion Milestone Amid Investor Optimism

    NGX Market Cap Nears ₦100 Trillion Milestone Amid Investor Optimism

    In a report by BusinessDay, the Nigerian Exchange (NGX) All-Share Index was said to be nearing 160,000 points, with market capitalization approaching the ₦100 trillion threshold. President Bola Tinubu reportedly welcomed the milestone and urged greater local investment.

    The rally has been linked to strong banking, industrial, and oil and gas performances, with investors using equities as a hedge amid inflation. Analysts also cited improved FX stability as a factor supporting sentiment and potential foreign inflows.

    Officials believe deeper markets could help the private sector raise long-term capital for infrastructure, though some observers warn market gains need to align with real-sector productivity to be sustainable.

    The Nation and Tribune Online also reported on rising activity, including increased retail participation through mobile trading apps.

    Echotitbits take: ₦100 trillion is a major psychological level. If sustained, it could accelerate IPO plans and broaden capital formation—provided earnings and governance keep pace.

    Source: NgxGroup – https://ngxgroup.com/ngx-market-cap-tops-%E2%82%A6100trn-on-strong-early-year-buying/ 2026-01-09

    Photo Credit: NGX Group

  • Naira Dips Slightly as Foreign Reserves Rise to $45.6 Billion

    Naira Dips Slightly as Foreign Reserves Rise to $45.6 Billion

    Figures cited by Daily Post show the naira recorded a mild dip at the official market, trading around ₦1,419.72 per dollar after a strong early-year run. The move marked the currency’s first reported depreciation of 2026.

    At the same time, the Central Bank of Nigeria said foreign reserves continued to rise, reaching about $45.64 billion, suggesting a strategy of building liquidity buffers rather than heavy immediate market intervention.

    The parallel market was also reported to have softened slightly. Analysts cited seasonal Q1 import demand and post-holiday business activity as factors behind short-term volatility.

    Vanguard and Leadership carried related market commentary, including calls to watch CBN liquidity actions and policy signals.

    Echotitbits take: A small dip isn’t panic territory. Rising reserves give the CBN more room to stabilize markets if pressure builds—watch policy signals at the next MPC meeting.

    Source: Daily Post – https://dailypost.ng/2026/01/02/naira-records-n100-appreciation-against-dollar-foreign-reserves-rise-to-45-5bn-in-2025/ 2026-01-09

    Photo Credit: Daily Post

  • Otedola Applauds FirstBank’s N500 Billion Capital Milestone

    Otedola Applauds FirstBank’s N500 Billion Capital Milestone

    Figures cited by Premium Times show that FirstBank of Nigeria has successfully completed its N500 billion capital raise, a move lauded by billionaire investor Femi Otedola. Otedola praised both President Tinubu and CBN Governor Yemi Cardoso for creating the regulatory environment that allowed for such a massive capital injection.

    The capital raise is part of the CBN’s mandate for commercial banks to strengthen their balance sheets to support a 1 trillion economy. FirstBank’s success is seen as a bellwether for the rest of the banking sector, many of whom are still in the middle of their own rights issues or public offers.

    The Nation added that the ‘economy will profit from financial sector reforms,’ noting that stronger banks will be better positioned to lend to the real sector. BusinessDay also listed this as one of the ’25 deals that shaped Nigeria’s corporate environment,’ marking it as a defining moment for 100-year-old institution.

    Echotitbits take: FirstBank reaching this goal ahead of schedule is a massive liquidity boost for the Nigerian stock exchange. Expect Otedola to continue pushing for a ‘N1 trillion capital base’ as the new gold standard for Tier-1 banks in Nigeria.

    Source: Premium Times — https://www.premiumtimesng.com/business/business-news/847084-otedola-urges-cbn-to-raise-banks-capital-to-%E2%82%A61-trillion-as-firstbank-meets-%E2%82%A6500bn-requirement.html
    Premium Times January 2, 2026

    Photo Credit: Premium Times

  • IGR: We earned over N81.4 billion in 2019 – says Ogun Government

    IGR: We earned over N81.4 billion in 2019 – says Ogun Government

    The Ogun State government has reacted to some media reports that erroneously claimed the state generated merely Seventy billion, nine hundred and twenty two million, five hundred and ninety thousand, four hundred and ninety five naira, eighty nine kobo (N70,922,590,495.89) as internally generated revenue for year 2019 In their review of Internally Generated Revenues record of the 36 States of the Federation.

    A statement by the Information Officer, Ministry of Finance, Segun Craig, Friday said “from the audited account of the state for 2019, which was published in some national newspapers, the actual figure of Ogun State Internally Generated Revenue stands at N81,420,131,107.30 (Eighty one Billion, four hundred and twenty million, one hundred and thirty one thousand, one hundred and seven naira, thirty kobo only)”.

    Craig noted that whatever figure that is being quoted differently from the official number by the State Ministry of Finance should be disregarded.

    READ ALSO: President Buhari requests house approval for fresh N5.513 billion

    In his words of caution, Craig advised all stakeholders, including the general public to stay guided by on information pertaining to he state so as not to be misled.

    “The State Government, through the office of the Hon. Commissioner of Finance and Chief Economic Adviser to the Governor hereby deems it highly expedient to advise all relevant stakeholders in the financial sector and beyond, and to also call on the reading public to be properly guided” he added.

  • Breaking: President Buhari requests House approval for fresh $5.513 billion

    Breaking: President Buhari requests House approval for fresh $5.513 billion

    The Presidency says it will require additional fresh external loan of $5.513 billion to finance 2020 budget deficit.

    In a letter addressed to the House of Representatives to seek approval and read during Thursday’s plenary by the Speaker, Rt. Honourable Femi Gbajabiamila, President Muhammadu Buhari appealed that the fresh funds will be used to fund the 2020 budget deficit, finance critical projects and some States needing financial assistance.

    READ ALSO: NDDC Crisis: Acting Finance Director is dead, sources suspect poisoning

    As part of his correspondence to the House, President Buhari presented a reviewed 2020 Appropriation Bill and 2020-20222 Medium Term Expenditure Framework and Fiscal Strategy Paper.

    While another $22.79 billion request is still pending before the House, recall that the National Assembly had recently approved a loan of N850 billion for the use of the Federal Government.