Since the global oil price crash in 2014, Nigeria has been one of the hardest-hit economies due to its over-dependence on oil as its main source of revenue. China’s economic slowdown, as well as the United States’ rate hike, also affected its economy adversely. As a result, Nigeria’s economic growth has declined dramatically, with its currency falling to an all-time low. As a result of the new monetary policies, investors are pulling out regularly as most of them are scared to leave their investments in the country. The Central Bank of Nigeria (CBN) put in stringent policies to help save the Naira from falling but all efforts seem to have backfired.

However, it looks like that is all about to change as the CBN, which once showed that its decisions were not independent of the federal government, seems to be taking a different turn. But it is still uncertain if the CBN will be able to sustain some of its recent policies, which are geared towards saving the Naira from falling.

Below is the Ventures Africa Weekly Economic Index, for the week ending 26th of May 2017. This economic index gives you a glimpse into the recent activities in Nigeria’s economy as well as changes that could affect the economy:

Did the price of crude oil change?

The OPEC weekly basket price revealed that between 22nd and 26th of May 2017, the price of crude oil decreased from $51.54 per barrel to $49.48 per barrel. The fall in price was caused by OPEC’s extended oil production cuts

How low is the external reserve?

Data from the website of the Central Bank of Nigeria reveals that as of 25th May 2017, Nigeria’s external reserve decreased further by $201 million to $ 30.494billion from $ 30.695billion recorded on 18th May 2017.

How did the Naira fare?

During the week under review, the Naira appreciated further against the dollar at the parallel market to 375 Naira/$ on Friday 26th May 2017, from 381 Naira/$ recorded on Friday 19th May 2017.

The Central Bank of Nigeria (CBN) injected $$205 million into various segments of the foreign exchange market. It also disclosed that the Investors and Exporters (I&E) foreign exchange window has so far attracted $1.1 billion million from autonomous sources and from the apex bank.

Is Nigeria’s Economic situation getting better?

Weekly Economic Index

On Tuesday 23rd of May 2017, the National Bureau of Statistics (NBS) released its GDP figure for the first quarter of 2017. According to the report, Nigeria’s economic growth contracted by 0.52 percent, representing the representing the best performance in the last four quarters. From research, Nigeria’s highest GDP growth rate remains 14.6 percent, which was recorded in 2006.

The Nigerian Stock Market

Weekly Economic Index

According to the recent data released by the Nigerian Stock Exchange, as of 26th May 2017, the market closed trading on a positive note as the all share index increased 3.38 percent from the previous week ending 19th May 2017. Market capitalization at the close of trading was N10.048 trillion, which is a 3.38 percent increase from N9.719 trillion recorded the previous week. The All Share Index for the week under review closed at 29,064.52. During the week under review, all other Indices finished higher with the exception of the NSE Oil/Gas Index that depreciated by 0.89 percent while the NSE ASeM Index closed flat.

Top five price Gainers and Decliners in the week under review:

Top five price Gainers

  1. UACN Property Development Co. Limited
  2. FBN Holdings Plc
  3. Axamansard Insurance Plc
  4. Fidson Healthcare Plc
  5. Cement Co. of North.Nig. Plc

Top five price Decliners

  1. Cadbury Nigeria Plc.
  2. Mobil Oil Nig Plc.
  3. Learn Africa Plc
  4. NPF Microfinance Bank Plc
  5. John Holt Plc.

Dividends announced so far in 2017

Tracking companies that have announced their dividends are very important for the country as it affects the share price of the company. This also enables people to know if they are eligible to collect the dividend, when it will be approved and when it will be paid. So far the following companies who have announced the full year reports are:

  1. Neimeth Int’l Pharmaceuticals Plc
  2. Vitafoam Plc
  3. Greif Nigeria Plc
  4. United Capital
  5. Nigerian Breweries
  6. Transcorp Hotels Plc
  7. Africa Prudential
  8. Zenith Bank
  9. Dangote Cement
  10. Nestle Nigeria
  11. Access Ban
  12. Guaranty Trust Bank
  13. Total Nigeria Plc
  14. Lafarge Africa Plc
  15. Custodian and Allied Plc
  16. MRS Oil Nigeria Plc
  17. United Bank for Africa Plc
  18. GlaxoSmithKline Consumer Nig. Plc
  19. Unilever Nigeria Plc
  20. FCMB Group Plc
  21. Dangote Sugar Refinery Plc
  22. Stanbic IBTC Holdings Plc
  23. Pharma-Deko Plc
  24. UACN Plc
  25. AIICO Insurance Plc
  26. Chemical and Allied Products Plc
  27. Trans-Nationwide Express Plc
  28. AXA Mansard Insurance Plc
  29. Mobil Oil Nigeria Plc
  30. Beta Glass Plc
  31. Infinity Trust Mortgage Bank Plc
  32. Okomu Oil Palm Company Plc
  33. NASCON Allied Industries Plc
  34. B.O.C. Gases Plc
  35. Learn Africa Plc
  36. NEM Insurance Plc
  37. Nigerian Aviation Handling Company Plc
  38. Med-View Airline
  39. Fidelity Bank
  40. Okomu oil
  41. Regency Alliance
  42. Presco Plc
  43. Consolidated Hallmark Insurance Plc
  44. Nestle Nigeria Plc
  45. Aluminium Extrusion Industries Plc
  46. Berger Paints Plc.
  47. FBN Holdings Plc.
  48. NPF Microfinance Bank
  49. Newrest ASL Nig
  50. UAC of Nigeria Plc
  51. Chemical and Allied Products Plc
  52. Continental Reinsurance Plc
  53. Ashaka Cement
  54. Smart Products Nigeria Plc
Tangerine
Tangerine
Tangerine

Elsewhere on Ventures

Triangle arrow