Here are the seven top business stories you need to track this week — September 22 to September 26.
MPC MEETING
The monetary policy committee of the Central Bank of Nigeria (CBN) will meet on September 22 and 23, to decide on key lending rates as inflation continues to shrink disposable income.
The monetary policy rate (MPR) is the baseline interest rate in an economy, every other interest rate is built on it.
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In July, the apex bank retained the MPR at 27.5 percent to tame rising inflation.
On September 15, the National Bureau of Statistics (NBS) said Nigeria’s inflation rate declined to 20.12 percent in August — down from 21.88 percent in July.
CBN DIRECTS BANKS TO ANNOUNCE MD SUCCESSORS THREE MONTHS BEFORE EXIT
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The CBN has directed all domestic systemically important banks (DSIBs) to strengthen succession planning by announcing the appointment of new managing directors (MDs) at least three months before the exit of incumbents.
In a circular signed by Rita Sike, the director of financial policy and regulation, the apex bank said the measure is aimed at minimising disruptions in leadership transitions and safeguarding financial system stability.
According to the CBN, boards of DSIBs must obtain regulatory approval for successor appointments no later than six months before the end of a managing director’s tenure, after which the new MD or chief executive officer (CEO) must then be made public at least three months before the incumbent steps down.
‘2024 CAPITAL BUDGET RUNS TILL DECEMBER 2025’
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Solomon Adeola, chairman of the senate committee on appropriations, says the capital component of the 2024 budget will run until December 31, 2025.
He said new contracts under the 2025 fiscal year will be put on hold.
Adeola said the decision formed part of a resolution by the national assembly directing the withdrawal of all circulars already issued for contract awards in the 2025 fiscal year.
FG SUSPENDS 4% FOB CHARGE BY CUSTOMS
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The federal government has suspended the newly introduced free on board (FOB) levy collected by the Nigeria Customs Service (NCS) on imported goods with immediate effect.
In a memo seen by TheCable, R. O. Omachi, permanent secretary, special duties in the office of the minister of finance and coordinating minister of the economy, said the suspension follows “extensive consultations with industry stakeholders, trade experts, and relevant government officials”.
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Omachi said the suspension “will provide an opportunity for comprehensive stakeholder engagement and a thorough review of the levy’s framework and its broader economic implications.
DANGOTE REFINERY EXPORTS FIRST PETROL CARGO TO US
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The Dangote refinery recently exported its first petrol shipment to the United States (US).
Sources at the refinery told TheCable that the “vessel left the refinery to US about two weeks ago”.
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According to MyShipTracking, a vessel tracking site, the shipment aboard the vessel, named Gemini Pearls, arrived in New York on September 15, citing the vessel’s automatic identification system (AIS).
‘NIGERIA HAS ATTRACTED $18BN INVESTMENT COMMITMENTS FROM OIL, GAS FIELD PLANS’
Gbenga Komolafe, chief executive officer (CEO) of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), says Nigeria’s reform agenda has attracted 28 field development plans (FDPs) worth $18.2 billion in investment commitments.
Komolafe spoke recently at the Africa Oil Week, held in Accra, Ghana.
He said the commitments also support the country’s goal of achieving crude oil production of over 3 million barrels per day.
OIL PRODUCTION INCREASED TO 1.63M BPD IN AUGUST
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) says the nation’s crude oil output increased to 1.63 million barrels per day (bpd) in August.
The drilling record, which includes condensates, upticked by 5.47 percent from the 1.58 million bpd in the same period last year.
The commission attributed the growth to improved operational efficiency and “a steady recovery across the upstream sector”.
