…As Expert says Service exports, would be bigger than oil export in Nigeria***
The trending bearish performance of the Nigerian equities market extended into the third consecutive day on Wednesday as sale pressures in high capitalized stocks dragged the benchmark index by 0.07 per cent lower.
Specifically, the All Share Index (ASI) shed 19.89 points, representing a dip of 0.07 per cent to close at 29,375.25 against 29, 395.14 achieved on Tuesday.
Similarly, the market capitalisation shed N9 billion to close at N12.948 trillion in contrast with N12.956 trillion posted on Tuesday.
The market performance was influenced by price depreciation in medium and large capitalised stocks, among which are, Mobil Nigeria, Total Nigeria, Okomu Oil, Julius Berger and Fidson Healthcare.
Analysts at Afrinvest Limited said: “Market performance was bearish, and we expect this to be sustained in subsequent sessions as investor sentiment stays soft.
“We do not rule out the possibility of some end of the week bargain hunting as investors take advantage of attractive market prices.”
Market breadth was negative with 16 gainers against 23 losers.
BOC Gases Nigeria recorded the highest price gain of 9.93 per cent to close at N4.54 per share.
Academy Press followed with a gain of 9.68 per cent to close at 34k, while Wapic Insurance rose by 9.30 per cent to close at 47k per share.
Japaul Oil and Maritime Services rose by 8.70 per cent to close at 25k, while Oando gained 8.22 per cent to close at N3.95 per share.
Conversely, Morison Industries led the losers’ chart by 10 per cent, to close at 54k.
Fidson Healthcare followed with a decline of 9.90 per cent to close at N4.55, while Mobil Nigeria shed 9.71 per cent to close at N158 per share.
Mutual Benefits Assurance declined by 9.09 per cent to close at 20k, while Julius Berger declined by 8.93 per cent to close at N19.95 per share.
The total volume traded went up by 18.45 per cent to 237.71 million shares, valued at N1.98 billion exchanged in 4,113 deals.
This was against a turnover of 200.69 million shares valued at N2.89 billion transacted in 4856 deals on Tuesday.
Morison Industries dominated trading activities having accounted for 44.54 million shares valued at N24.05 million.
United Bank for Africa (UBA) followed with 34.12 million shares worth N209.59 million, while Sterling Bank sold 32.09 million shares valued at N72.11 million.
Zenith Bank traded 28.19 million shares valued at N541.15 million, while FBN Holdings transacted 20.04 million shares worth N128.12 million
In the meantime, an expert and Chief Executive Officer, AFRITEX, Mr Shola Oworu on Wednesday said that service exports, in a matter of years, would be bigger than the oil export in Nigeria.
Oworu said this on the sidelines of the Nigeria Export Summit and Awards 2019, while speaking on the theme “Digital Era Business on the Move: Export in the Fast Lane”, an event, organised by AFRITEX, aimed at encouraging export and sensitising Nigerians on it.
Oworu also said that the programme was aimed at encouraging Nigerians to invest more in service export, which he said was the next big thing to happen to the Nigerian economy.
“We have enough resources to go round and we are yet to realise one per cent of our potential as a nation.
“If we really focus on service export, we will forget about oil exports, because that is the next big thing to happen in Nigeria. The developing countries are the ones that have benefited from this most.
“Countries such as China have Ali Baba and other export lines on internet and they are making it big from such IT applications for export,’’ he said.
Owuru said that ICT support exports could fetch the country more revenue than oil, and is more convenient and rewarding.
“ICT export is a model which allows the exporter to interface with their customers without physical contact. Exporters can now send their products abroad and earn good returns.
“We are talking about exports online where investors can look for customers, book online and cash in without necessarily meeting in camera.
“Nowadays, ICT is here to help us achieve all what we want to achieve, and if all hands can be on deck, Nigerians will soon forget about investment in oil export.
“We need the support of all to get more people involved in service exports because it is easy and convenient; above all, a money spinning venture,’’ he said