In line with a string of recent policies aimed at creating an enabling environment for businesses and attracting investment into the economy, the Nigerian government plans to introduce more tax incentives for investors in the capital market. This would be in addition to existing tax provisions in the recently signed Finance Act, which is expected to help deepen the market in the areas of Real Estate Investment Schemes (REITS) and securities lending.

Any such new incentives and policies will be formulated in collaboration with the Nigerian Stock Exchange (NSE), Finance Minister Zainab Ahmed said, with the goal of encouraging investment and help to further boost the market. Read more here.

Below is the Ventures Africa Weekly Economic Index, for the week ending 28th of February, 2020. This economic index gives you a glimpse into other recent activities in Nigeria’s economy as well as changes and prices that could affect the economy:

Nigerian Stock Exchange

Data released by the Nigerian Stock Exchange (NSE) as of February 28, 2020, showed that the NSE All-Share Index and Market Capitalization both depreciated by 4.28 percent to close the week at 26,216.46 and N13.658 trillion respectively. Similarly, all other indices finished lower with the exception of NSE Industrial Goods while NSE ASeM closed flat. 

Top five price gainers and decliners in the week under review:

Top five price gainers

Law Union and Rocks Ins. Plc.

May & Baker Nigeria Plc.

Ekocorp Plc.

Neimeth International Pharmaceuticals Plc.

BUA Cement Plc.

Top five price decliners

Red Star Express Plc.

AIICO Insurance Plc.

NPF Microfinance Bank Plc.

Jaiz Bank Plc.

Skyway Aviation Handling Company Plc.

Meanwhile, the NSE recently announced that it has published the maiden edition of StockTown, a comic book that makes use of illustrated characters to educate readers of all ages about the importance of savings and investment. It is aimed at promoting financial literacy in Nigeria and available in both print and digital formats. Readers can download the book through this link.

How did the Naira fare?

Nigeria's-Inflation-rate
Picture credit:  PIUS UTOMI EKPEI/AFP/Getty Images

The Nigerian currency maintained its value against the dollar at the close of last week, trading at 361 Naira per dollar, the same rate recorded a week before.

How did the price of oil fare?

Brent oil prices fell at the close of last week, seeing out the week on the 28th of February, 2020 at $50.14 per barrel, a notable decrease from $58.12 a week earlier. As OPEC members and allied producers gather in Vienna for meetings on Thursday and Friday, traders and experts are wondering if the cartel can step in while attempting to stabilize prices, which plunged into a bear market last week due to low demand amid the coronavirus epidemic. Prices for Brent crude futures, the global benchmark, finished Friday at around $50 per barrel, down 13.6 percent for the week and the lowest since late 2018.

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