The Nigerian government Wednesday raised the price of premium motor spirit (petrol) by ₦20 sequel to the recommendations given by the Petroleum Product Pricing Regulatory Agency on the new price band.
The new pump price of fuel has since been rejected by Organized Labour, who demanded immediate reversal on the basis that the new price will kill businesses and worsen the poverty level across the country amid the COVID-19 pandemic. More details here.
Below is the Ventures Africa Weekly Economic Index, for the week ending 3rd of July 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 as of July 3, 2020, showed that the NSE All-Share Index and Market Capitalization both depreciated by 1.99 percent to close the week at 24,336.12 and N12.695 trillion respectively. Similarly, all other indices finished lower.
Top price gainers and decliners in the week under review:
Top five price gainers
Okomu Oil Palm Plc.
Royal Exchange Plc.
Prestige Assurance Plc.
Neimeth International Pharmaceuticals Plc.
Academy Press Plc.
Top five price decliners
Nigerian Aviation Handling Company Plc.
Learn Africa Plc.
Unilever Nigeria Plc.
Glaxo SmithKline Consumer Nig. Plc.
Union Bank Plc.
Note: The NSE announced the results of its Half-Year market index review as well as an amendment to the eligibility criteria for the NSE Pension Index (“The Index”) in line with changes in the regulatory and market requirements. The amended methodology and rebalancing took effect on Wednesday, July 1, 2020.
How did the Naira fare?
The Nigerian currency maintained its value against the dollar at the close of last week, trading at ₦387 per dollar, the same exchange rate recorded a week before.
How did the price of oil fare?
International benchmark Brent Crude on Friday 3rd of July 2020 closed at $43.00. After Iraq and Nigeria’s non-compliance with the record OPEC+ cuts in May nearly wrecked the June meeting of the pact, Saudi Arabia’s Crown Prince Mohammed and the President Muhammadu Buhari discussed the progress of the oil production cut deal last Monday in a phone call, the Saudi Press Agency reported without providing any details about the contents of the call. Meanwhile, questions remain over whether the oil industry has crossed the turning point of peak demand even though crude prices have rebounded from coronavirus crisis lows.