Economy

NGX: Capitalisation drops N137bn, index down 0.50%

NGX remains bearish, indices down by 0.33%; as Naira exchanges 436.33 to Dollar
Written by Maritime First

… As CBN issues national licence to TAJBank***

The equity market continued to record a negative posture, as market capitalization shed N136.88 billion to close at N27.06 trillion from N27.20 trillion recorded on Tuesday, making the decline the seventh consecutive session.

Selloffs in stocks of telecommunication company, MTN Nigeria and losses in Tier-1 banks which include Guaranty Trust Holding Company (GTCO), Zenith Bank and Access Corporation led to the decline.

Also read: Equities market declines further, by 1.86%, as Naira drops by 0.90% at Exporters window

Also, the benchmark All-Share Index dropped further by 0.50 per cent to close at 50,188.55 points from 50.442.37 points posted at the previous session.

Consequently, the year-to-date (YTD) return fell to 17.49 per cent.

Meanwhile, the market breadth closed negative as declining issues outnumbered advancing ones with 34 stocks on the laggard’s log and three on the leader’s table.

Custodia Insurance, Jaiz Bank and Prestige Insurance led the laggards’ chart by 10 per cent to close at N7, 80k and 40k per share respectively.

Meyer and Baker followed with 9.92 per cent to close at N2.52, while Cutix was down by 9.78 per cent to close at N2.25 per share.

Conversely, First City Monument Bank (FCMB) topped the gainers’ chart in percentage terms by 3.33 per cent to close at N3.10 per share.

NASCON followed with a gain of 0.91 per cent to close at N11.10 per share.

Nigerian Breweries up by 0.42 per cent to close at N47.70 per share.

Analysis of today’s market activities showed trade turnover settled higher relative to the previous session, with the value of transactions increasing by 39.79 per cent.

In all, the total volume traded stood at 829.51 million shares worth N4.11 billion traded in 4,977 deals.

Transactions in the shares of Transcorp topped the activity chart with 23.27 million shares valued at N23.21 million.

Guaranty Trust Bank Holding Company (GTco) followed with 15.7 million shares worth N313.15 million, while United Bank for Africa (UBA) traded 13.2 million shares valued at N92.25 million.

First Bank of Nigeria Holdings (FBNH) traded 12.67 million shares valued at N138.12 million, while Zenith Bank traded 9.28 million shares worth N192.3 million.

In the meantime, TAJBank Limited, Nigeria’s leading non-interest bank, has secured approval for nationwide banking operations from the Central Bank of Nigeria (CBN).

The bank’s Managing Director, Mr. Hamid Joda, made this known in a statement on Wednesday.

Joda said that the license was coming on the heels of several awards bagged by the bank in its past two years of operations in recognition of its outstanding banking services.

According to Joda, it is another feat achieved by the bank to leverage on our cutting-edge and impressive products and service delivery scorecards.

“We want to thank the regulatory authorities for issuing a national license as well as the growing number of our customers who are yearning to see us give them the best in non-interest banking services.

“I want to assure them that with the latest approval by the authorities, we will deploy all human and technological resources to their doorsteps and give real meaning to the National Financial Inclusion Strategy (NFIS).

“We will be bringing world-class non-interest banking products and services to their doorsteps for growth and prosperity,” he said.

L-L -R: Acting Chief Financial Officer, Mr. Babatunde Odumosu; Chief Compliance Officer of TAJBank, Mr. Saheed Ekeolere; the Executive Director, Mr. Sherif Idi; the Managing Director/Chief Executive Officer, Mr. Hamid Joda; the Group Head, Shariah Unit, Mr. Usama Saleh; the Deputy Chief Risk Officer, Mr. Kamoru Adeyemi; and the Group Head, Marketing Communications, Mr. Taiwo Oluwafemi; at a briefing on the issuance of National Licence to TAJBank by the Central Bank of Nigeria (CBN) on Wednesday in Abuja

Joda attributed TAJBank’s impressive performances over the past two years to innovativeness in key areas of customer-centric service delivery powered by world-class technologies and solutions.

He said the national license would help in growing the bank’s agency network to 25,000 by 2025, thereby reducing the financial exclusion rate.

The bank’s Executive Director, Mr Sherif Idi, expressed excitement at the license for national operation.

Idi said, “we are very excited to achieve this feat, especially when the potential benefits to our customers and the nation’s economy cannot be quantified in socio-economic terms.

” For us, it is a call for more services to millions of Nigerians, who are desirous of having access to credit without pain.

Let me say it loud, we shall not disappoint them on this expectation.”

The newsmen recall that TAJBank’s management had last month unveiled plans to launch Nigeria’s first private sector Sukuk valued at N100 billion under a Mudarabah structure.

It marked a historic shift from government-dominated Sukuk offerings to a fully private sector-oriented offering in the Nigerian debt markets.

 

 

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Maritime First