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Nigeria’s External Reserves to Hover at $37bn – Analysts

From Joy Obakeye, Lagos
Economics analysts have projected that Nigeria’s external reserves could average $37 billion in 2020 irrespective of the dwindling crude oil prices across the globe.
Analysts at First Securities Discount House Limited (FSDH) Group forecast that slower Foreign Direct Investment (FDI) inflows would persist in the third quarter of 2020 due to low interest rate.
The analysts said that the country’s Gross Domestic Product (GDP) is expected to average 2.
5 per cent, while inflation rate would hover around 11.9 per cent during the year.The FSDH in its 2020 projections, explained that they still see the Central Bank of Nigeria (CBN) intervening throughout the year.
On the monetary anticipated move, with rising inflation and imminent inflation pressures following the land border closure and VAT increase, the analysts expect a tight monetary environment in 2020.
To mop-up this excess liquidity, we believe the CBN and the Moneyary Policy Committee (MPC) will adopt several monetary policy tools in 2020. In the first MPC meeting in January, the CBN increased Cash Reserve Ratio (CRR) to 27.5 per cent. This is estimated to mop up an estimated N900 billion from the system.
Loan-to-deposit ratio and the open market operation policies of the CBN will result in increased lending to businesses and liquidity across markets in the year.
On the fiscal policy side, expansionary fiscal policy with higher budget spending in 2020
VAT has been increased from five per cent to 7.5 per cent and this will lead to increased revenue, a significant portion of the revenue will go to state governments.
Federal government is expected to receive N293 billion from VAT increase in 2020.
One key provision of the Finance Act is the exemption of Small businesses with turnover less than N25 million from Company Income Tax (CIT). This will reduce burden on some SMEs and stimulate their growth.
On trade, with the AfCFTA coming into effect in July, gradual removal of tariffs on goods produced within Africa will influence trade outcomes: For instance, Nigeria’s non-oil exports to other African countries should expand significantly. Currently, exports to other African countries account for 20 per cent of total exports.
Nigeria’s imports from other African countries (which represents 8.5 per cent of total imports) is also expected to increase.
Concerning the financial markets, given the impending liquidity following maturities of some Open Market Operation (OMO) securities that would not be reinvested in the market, we anticipate fixed income yields to press downwards in 2020.
“We anticipate more bond and commercial paper issuance in the year to take advantage of the low interest rate environment”, FSDH said.
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Fidelity Bank Rewards Loyal Customers with N159m Cash Prizes

Fidelity Bank Plc said it is fostering a savings culture and driving financial inclusion among Nigerians through its Get Alert in Millions season 6 (GAIM 6) promo.The bank rewarded 30 lucky customers with cash prizes in the second and third monthly and International Women’s Day Draws, demonstrating a tangible commitment to improving their financial wellbeing.
At a prize presentation ceremony in Lagos, winners of the second and third monthly draws received N1 million, providing them with substantial capital. Also, winners of the International Women’s Day Draw were awarded N100,000 each, directly supporting their economic empowerment.Similar prize presentation events also occurred across the bank’s locations nationwide.Speaking at the Lagos event, Dr Ken Opara, who was represented by the Regional Bank Head, Victoria Island and Lekki, Nnamdi Edekobi, the Promo Chairperson, said that the GAIM 6 promo was meant to encourage savings culture and promote financial inclusion among young Nigerians.He said, “The promo has been structured to ensure fairness and accessibility, with a diverse schedule for the duration of the campaign to recognise customers from diverse backgrounds.“The GAIM promo is in its sixth edition and we are excited to keep this momentum going because it has brought joy to households nationwide.“The goal is to encourage a savings culture and promote financial inclusion among young Nigerians. The bank has a long-standing commitment to supporting young Nigerians.“Through this special draw, we are reinforcing our commitment to financial empowerment for young Nigerians and also ensuring women have the financial tools and support they need to succeed.”Similarly, Osita Ede, Divisional Head, Product Development, noted that over N30 million had been given out to lucky customers since GAIM 6 started in November 2024.Ede said that over N129 million would be given out as prize money when the campaign would be concluded in August.“One of the unique aspects of GAIM 6 is that previous winners can participate and win again, as long as they meet the criteria.“It is all about encouraging long-term savings and rewarding this commitment. The grand finale of the campaign promises prizes of N10 million, N5 million, and N2 million.“Beyond cash rewards, winners will benefit from free financial literacy and business advisory services delivered through Fidelity Bank’s SME Hub.“We don’t just want our customers to win money. We want them to build wealth. That’s why we support them with training and resources to grow their businesses,” he said.In response to the kind gesture, one of the winners of the promo, Samuel Sunday said, “I am more than happy to receive this cash prize from Fidelity Bank, I have been a long-time customer, and this cash reward will transform my business.”Another beneficiary who could not hide her excitement, Faith Gift said “At first, I thought it was fake until I got a call from my account officer.“I am grateful to Fidelity Bank, because this money will go straight into my business.”The GAIM 6 promo is designed to reward Fidelity Bank loyal customers with cash prizes totalling N159 million.The promo, which runs from November 2024 to August 2025, will see multiple winners emerge across different categories, including existing and prospective customers of the bank.Fidelity Bank Plc is a full-fledged commercial bank with over 9.1 million customers who are serviced across its 251 business offices and various digital banking channels in Nigeria and the United Kingdom. (NAN)COVER
Insecurity: Jigawa Gov Disagrees with Danjuma on Self-defence

By David Torough, Abuja
In the face of the worsening security issues in Nigeria, Governor Umar Namadi of Jigawa State has dismissed the call for Nigerians to resort to self-defence, saying the country “has not reached that level yet.”According to Governor Namadi, asking Nigerians to defend themselves against bandits is a call for anarchy.
The governor said this when he appeared on a TV programme on Monday. It would be recalled that the former Minister of Defence, Lt. Gen. Theophilus Danjuma (retd.), had advised victims of bandits and terrorist attacks in Benue and Plateau State to rise and defend themselves against marauding gunmen invading their communities.Danjuma argued that relying on the government for protection is no longer realistic.Reacting to this, Governor Namadi said resorting to self-defence will worsen the crisis, adding that there are alternative conflict resolution means that do not require the people to take to arms in defence.The governor maintained that the federal government was doing its best to tackle insecurity, stressing that self-defence will lead to anarchy in the country.“He (Danjuma) is a very serious security person, but I think citizens being allowed to defend themselves will cause anarchy, but the issue is, the government is doing with best in the security architecture and security arrangement,” Governor Namadi said.Citing the example of how he addressed the farmer-herder conflict in Jigawa State, Namadi said the crisis would have worsened if he had encouraged the victims to take up arms to protect themselves.Instead, the governor said he engaged the farmers, herders and traditional rulers in dialogues to resolve the age-long conflict.“Like I said, what we did in Jigawa, If we allowed the people to defend themselves, that means you’re causing crisis between farmers and herders. But when we came in, we deployed a lot of strategies including dialogue and trying as much as possible to engage traditional rulers and (stakeholders) from both farmers and herders side,” Namadi explained.According to him, after engaging all stakeholders in a dialogue, a committee was set up to reconcile all parties involved in the crisis.He said, “Now, they are able to work together, interact together and live their normal lives together. So, I think the government is doing its best, both at federal and different state levels. The issue of asking people to defend themselves, I think we have not reached that level yet.”COVER
2027: APC, N’Assembly Partner to Enable Diaspora Nigerians Vote – Ganduje
By David Torough, Abuja
The National Chairman of the All Progressives Congress, Dr Abdullahi Ganduje, has hinted that the ruling party is working closely with the National Assembly to ensure that Nigerians in the diaspora vote during elections.Ganduje made this disclosure while unveiling a new executive committee for the France chapter of the party in Paris on Monday.
In a statement by his Chief Press Secretary, Edwin Olofu, Ganduje noted that the party would collaborate with other relevant agencies to ensure full political inclusion for Nigerians living abroad. Ganduje, a former governor of Kano State, further assured the gathering that the APC in Nigeria was growing stronger, stressing that its stability has triggered a wave of defections from opposition parties ahead of the 2027 elections.“We appreciate you for holding the banner of our party, expanding its membership, and supporting President Bola Ahmed Tinubu, especially in light of the critical reforms he is undertaking.“There is now more funding for capital development, and both governors and local government chairmen can attest to this.“There is peace in the APC, unlike in other parties that are battling internal crises. Because of this enabling environment, many are decamping to our party, including senators, members of the House of Representatives, State Assembly members, and other notable political figures. Our party respects its constitution and practices internal democracy.”The APC National Chairman also expressed optimism that the party and Nigerians would return President Bola Ahmed Tinubu for a second term in the 2027 election.In her remarks, the newly sworn-in Chairperson of the APC France chapter, Hajjiya Amina Baba-Suzuki, said Nigerians in the diaspora play both economic and political roles in the development of Nigeria.She, however, advocated stronger support for APC chapters in the diaspora, emphasising their role as mobilisers and promoters of Nigeria’s interests abroad.Nigerians in the diaspora have long been calling for the establishment of a legal framework that will allow them to exercise their franchise despite being away from the country.In the last quarter of 2024, the Speaker of the House of Representatives, Tajudeen Abbas, and Sadiq Abdullahi, a lawmaker from Kano State, jointly sponsored a proposed bill seeking to enable qualified citizens residing outside the country to vote in elections conducted by the Independent National Electoral Commission in Nigeria.The bill is yet to pass the second reading stage and has been regarded by lawmakers as a major piece of legislation that could help improve the country’s democratic image.