Last week, sales of Nigerian e-commerce company Konga and the closure of OLX offices in Nigeria seemed to emphasize the volatile e-commerce space in Nigeria. It also placed a big question mark on the investment atmosphere in Nigeria. Reasons for the volatility have been given as “scalability, mentorship, finances, connectivity, market size and changing consumer needs.”
Global Oil price also took a little dip last week. However, it has begun its recovery this week. The Central Bank of Nigeria also announced a record inflow of U.S. Dollars.
Below is the Ventures Africa Weekly Economic Index, for the week ending 9th of February 2018. This economic index gives you a glimpse into the recent activities in Nigeria’s economy as well as changes that could affect the economy:
The performance of the Nigerian Stock Exchange
According to recent data released by the Nigerian Stock Exchange (NSE), as of 9th February 2018, the all share index decreased by 3.39 percent from the previous week ending 2nd February 2018. Market capitalization at the close of trading during the week under review was N15.477 trillion which is also a 3.39 percent decrease from N16.019 trillion recorded the previous week. The All Share Index for the week under review closed at 43,127.92
Top five price Gainers and Decliners in the week under review:
Top five price gainers
Linkage Assurance Plc.
Caverton Offshore Assurance Group Plc.
Prestige Assurance Co. Plc.
Unity Bank Plc.
Trans-nationwide Express Plc.
Top five price decliners
Consolidated Hallmark Insurance Plc.
Skye Bank Plc.
Unic Diversified Holdings Plc.
Multiverse Mining and Exploration Plc.
WAPIC Insurance Plc.
Global oil price
In the week in review, between the 2nd of February and 9th of February 2018, Brent crude prices began the week at $68 and ended at around $62 per barrel. This fall in price was attributed to a slide in Global equities last week. Brent Oil fell to its lowest level last week since the beginning of 2018, after initially hitting a three year high this year.
How the Naira fared
In the week under review, the value of the Naira slightly depreciated against the dollar in the parallel market. It was sold at N361/$ on Friday ending 9th of February 2018 from an average of N360/$ recorded on the 2nd of February 2018.
Dollar inflow in 2017
Reports last week revealed that more dollars poured into Nigeria in 2017 through the Central Bank than left, for the first time since 2012. According to data gotten from the Central Bank of Nigeria by Business Day, net inflow last year was $12 billion, as compared to an average of $568 million seven years before.