Manufacturing activity in Nigeria slowed down this month according to the country’s central bank, in what is an indication of an impending recession in Africa’s largest economy on the back of the devastating COVID-19 pandemic.
The Purchasing Manager’s Index, a widely used monthly indicator of economic health for the manufacturing and services sectors, stood at 41.1 in June, showing a contraction for the second time having fallen to 42.4 in May from 51.1 index points recorded in March. More details here.
Below is the Ventures Africa Weekly Economic Index, for the week ending 26th of June 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 June 26, 2020, showed that the NSE All-Share Index and Market Capitalization both appreciated by 0.01 percent to close the week at 24,829.02 and N12.952 trillion respectively. All other indices finished lower with the exception of NSE-Main Board, NSE MERI Value, and NSE Lotus II Indices, while NSE ASeM and NSE Consumer Goods closed flat.
Top price gainers and decliners in the week under review:
Top five price gainers
Airtel Africa Plc.
Associated Bus Company Plc.
Nestle Nigeria Plc.
Wema Bank Plc.
UACN Property Development Company Plc.
Top five price decliners
PZ Cussons Nigeria Plc.
Glaxo SmithKline Consumer Nig. Plc.
Prestige Assurance Plc.
Dangote Sugar Refinery Plc.
Note: The Exchange last week announced the upgrade of its Data Portal (X-DataPortal) to provide a more efficient, user-friendly experience for subscribers. The new features include data products, subscription management, payment gateway integration, and a lot more.
How did the Naira fare?
The Nigerian currency gained against the dollar at the close of last week, trading at ₦387 per dollar, a rise from the ₦388 to a dollar recorded a week before.
How did the price of oil fare?
International benchmark Brent Crude on Friday 26th of June 2020 closed at $41.47. Fuel demand across the world has been gradually increasing in recent weeks, multiple reports show. Particularly in the United States, demand is clawing back over half of the consumption lost during the first couple of weeks of lockdowns as restrictions ease and people start driving more.