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 declined drastically, with its currency falling to an all-time low. In order to save the economy from a complete collapse, the Central Bank of Nigeria (CBN) put stringent monetary policies in place, which saw investors pulling out of the country.

However, it looks like the country’s economic situation is 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 11th of August 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?

nigerias oil increase

The OPEC weekly basket price revealed that between 7th and 11th of August 2017, the price of crude oil decreased from $50.06 per barrel to $49.37 per barrel. The fall in price was caused by OPEC’s extended oil production cuts.

This week, the International Energy Agency (IEA) reduced demand estimates for OPEC crude this year and for 2018, stating that there are doubts about the group’s commitment to cutting production. The IEA lowered projections for the amount of crude required from OPEC this year and next by about 400,000 barrels a day.

How low is the external reserve?

Data from the website of the Central Bank of Nigeria reveals that as of 8th August 2017, Nigeria’s external reserve increased by $256,301,757 to $31,222,178,576 from $ 30,965,876,757 recorded on 8th August 2017.

The Central Bank of Nigeria (CBN) also revealed that foreign reserves appreciated by $554.7 million or 1.8 percent in July, to bring the year till date growth to 19.3 per cent. The increase in Nigeria’s external reserve is as a result of the stabilization of the global oil prices and increase in the inflow from International Money Transfer Operations.

How did the Naira fare?

During the week under review, the Naira depreciated against the dollar at the parallel market as it was sold at 367 Naira/$ on Friday 11th August 2017 from 364 Naira/$ recorded on Friday 4th of August 2017.

The Nigerian Stock Market

Weekly Economic Index

According to the recent data released by the Nigerian Stock Exchange, as of 11th August 2017, the market closed trading on a positive note as the all share index increased 2.07 percent from the previous week ending 4th August 2017. Market capitalization at the close of trading was 13.166 trillion, which is a 2.07 percent increase from N12.899 trillion recorded the previous week. The All Share Index for the week under review closed at 38,198.60. This is the first time the Nigerian Stock exchange market capitalization is crossing the 13 trillion mark since October 2014.

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

Top five price Gainers

  1. Guinness Nig Plc
  2. Nigerian Aviation Handling Company Plc
  3. Dangote Flour Mills Plc
  4. Nestle Nigeria Plc.
  5. Jaiz Bank Plc

Top five price Decliners

  1. E.M Insurance Co (Nig) Plc.
  2. Morison Industries Plc.
  3. Dangote Sugar Refinery Plc
  4. Caverton Offshore Support Grp Plc
  5. Continental Reinsurance Plc

Dividends announced so far

Weekly Economic Index

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 their full year reports are:

  1. Greif Nigeria Plc
  2. United Capital
  3. Nigerian Breweries
  4. Transcorp Hotels Plc
  5. Africa Prudential
  6. Zenith Bank
  7. Dangote Cement
  8. Nestle Nigeria
  9. Access Ban
  10. Guaranty Trust Bank
  11. Total Nigeria Plc
  12. Lafarge Africa Plc
  13. Custodian and Allied Plc
  14. MRS Oil Nigeria Plc
  15. United Bank for Africa Plc
  16. GlaxoSmithKline Consumer Nig. Plc
  17. Unilever Nigeria Plc
  18. FCMB Group Plc
  19. Dangote Sugar Refinery Plc
  20. Stanbic IBTC Holdings Plc
  21. Pharma-Deko Plc
  22. UACN Plc
  23. AIICO Insurance Plc
  24. Chemical and Allied Products Plc
  25. Trans-Nationwide Express Plc
  26. AXA Mansard Insurance Plc
  27. Mobil Oil Nigeria Plc
  28. Beta Glass Plc
  29. Infinity Trust Mortgage Bank Plc
  30. Okomu Oil Palm Company Plc
  31. NASCON Allied Industries Plc
  32. Gases Plc
  33. Learn Africa Plc
  34. NEM Insurance Plc
  35. Nigerian Aviation Handling Company Plc
  36. Med-View Airline
  37. Fidelity Bank
  38. Okomu oil
  39. Regency Alliance
  40. Presco Plc
  41. Consolidated Hallmark Insurance Plc
  42. Nestle Nigeria Plc
  43. Aluminium Extrusion Industries Plc
  44. Berger Paints Plc.,
  45. FBN Holdings Plc.
  46. NPF Microfinance Bank
  47. Newrest ASL Nig
  48. UAC of Nigeria Plc
  49. Chemical and Allied Products Plc
  50. Continental Reinsurance Plc
  51. Ashaka Cement
  52. Smart Products Nigeria Plc
  53. Lasaco Assurance Plc
  54. Eterna Plc
  55. The Initiates Plc
  56. The Initiates Plc
  57. Fidson Healthcare Plc
  58. eTransanct
  59. Conoil
  60. UPDC Real Estate Investment Trust
  61. Redstar Express
  62. University Press
  63. Honeywell Flour Mills
  64. Tripple Gee and Company
  65. Flour Mills Nigeria
  66. Stanbic IBTC ETF 30
  67. Vitafoam Plc
  68. Rak Unity Petroleum Plc
  69. Skye Shelter Fund
  70. Flour Mills of Nigeria Plc
  71. Custodian And Allied Insurance Plc
  72. Dangote Sugar Refinery Plc
  73. McNichols Consolidated Plc

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