₦airaland Forum

AngelicBeing:
Corruption is a monster that must be dismantled before Nigeria can rise & shine among-st the comity of nations , It suffices for me to reiterate for the upteenth time that for any serious pugilism towards cleansing the Augean stables and cesspool of corruption to succeed in Nigeria

Our major anti-corruption armanda-the EFCC-must per force be extricate[img]d from executive suzerainty which renders it susceptible to odoriferous and harum scarum paternalistic invention. I dare posit that the[/img]i fight itself suffers from an institutional thalidomide, abovo. Res Ipsa Loquitur.

Guys, the whole world is a global village now. If a super power frowns at your person or business. It will be difficult for you to operate especially when ur also a multinational. The will just put a sanction on you and the business will crumble.

THIS WAS JUST PUBLISED YESTERDAY. BEWARE OF PONZI SCHEMES

The founder of alleged ponzi scheme MMM, Sergey Mavrodi has written to the Nigerian Government in what critics see as a desperate item to save the scheme from an imminent collapse. In an unprecedented move for the scheme in Nigeria, the letter attempts to warn the government of the “dire consequences” of a collapse of the scheme considering the hike in rhetoric from the National Assembly against the scheme.

We read through the letter and observed the following red flags. Our comments follows;

1.”What are you trying to get? Do you want the MMM System to collapse and millions of people to suffer?”

Comment:This was the very first sentence of the letter. Here he confirms that the scheme is facing an imminent collapse if the scheme continues to come under “constant attack”. It’s a confirmation that the risk of not getting your money back when you contribute is very high.

2.“What is the scam here, if all members are warned in advance about all the risks, the possible and impossible ones? They know there are no investments at all. The warning is a red text on a yellow background placed on most prominent place of the website.”

Comment: In the second red flag, he basically admits MMM is highly risky and that it is by no means an investment. If the scheme is not an investment then it means there is no profit being created and thus a 30% interest being paid to contributors is purely built on nothing. It simple means that participants of the scheme are robbing Peter to pay Paul and will continue to do so so far there are more Peters to rob.Once Peter’s stop showing up then the Paul’s lose all their money.

3. “You say that MMM is bad. Why? Yes, it produces nothing, but nothing gets out of the country either. The money is just redistributed among the citizens of Nigeria. It gets from those who are richer to poorer ones, in this way restoring social justice. What”s wrong with that?”

Again, he buttresses the point that critics of MMM have been saying. This scheme produces nothing and creates no value. This surely means it adds nothing to the GDP, cannot be taxed and is not sustainable in the medium to longterm. He also confirms that the scheme takes from the rich and pays the poor. It’s ironic that the rich who contributes money to the scheme still gets their money out at a 30% thus an even higher quantum of Naira upon withdrawal.

4. “As for your statement that “everything will collapse soon”. The system has been working in for a year, and according to your estimates, the total number of members now is about 3 million people. In Nigeria the population is approximately 195 million. Can you calculate? Will it be “soon”?”

In this final parting shot, he boasts that the scheme has about 3 million people currently participating in it and has potential to grow as Nigeria has a population of about 195 million people. He sure has a point there considering how gullible and greedy some Nigerians can be. However, what he forgets to add is whether this number is still growing as it was 3-6 months ago? Certainly not every one of them still contributes! Also, the scheme doesn’t just rely on numbers it also depends a lot on the amount each participant is contributing. If the pool of the so-called “rich people”(,who are likely getting discouraged due to the negative press being created by the scheme) reduces in numbers then this endangers the scheme even more.

Finally, the letter from Sergey Mavrodi is a hand writing on the wall for those who have money currently stuck in MMM and those who plan to put money in it. This is a desperate attempt to allay the concerns of desperate operators of the scheme. This move might back fire as this is now a clear indication to the government that their role of protecting its citizens is being usurped by a force that is within their grasp. It is unlikely that any reasonable government will see this letter and stay mute. If authorities were looking for any reason to investigate this scheme, the this letter provides one. At least, the EFCC, SSS and other agencies cannot now claim that no one has complained. The founder himself just did!!

http://nairametrics.com/analysis-of-mmm-founder-sergey-mavrodi-letter-to-fg/

Hi House,

Can i please, anyone or a link to any lecturer preferably UNILAG from the Chemical Engineering Dept. to take private coaching classes in

1.) Instrumentation and Control in chem eng

2.) Process Design in Chem eng


Please, the person can be a PHD student or possess an M. Eng & at least one year lecturing experience in this field and must also be lecturing currently.

Location. Island, Lagos.

Period: Dec.20 - 1st Jan

Interested person can drop me a mail on adeola0072003@yahoo.com or send a msg here.

Fees: Negotiable.

thanks

Hi House,

Can i please, anyone or a link to any lecturer preferably UNILAG from the Chemical Engineering Dept. to take private coaching classes in

1.) Instrumentation and Control in chem eng

2.) Process Design in Chem eng


Please, the person can be a PHD student or possess an M. Eng & at least one year lecturing experience in this field and must also be lecturing currently.

Location. Island, Lagos.

Period: Dec.20 - 1st Jan

Interested person can drop me a mail on adeola0072003@yahoo.com or send a msg here.

Fees: Negotiable.

thanks

Hi House,


Can i please, anyone or a link to any lecturer preferably UNILAG from the Chemical Engineering Dept. to take private coaching classes in

1.) Instrumentation and Control in chem eng

2.) Process Design in Chem eng


Please, the person can be a PHD student or possess an M. Eng & at least one year lecturing experience in this field and must also be lecturing currently.

Location. Island, Lagos.

Period: Dec.20 - 1st Jan

Interested person can drop me a mail on adeola0072003@yahoo.com or send a msg here.

Fees: Negotiable.

thanks

Hi House,

Can i please, anyone or a link to any lecturer preferably UNILAG from the Chemical Engineering Dept. to take private coaching classes in

1.) Instrumentation and Control in chem eng

2.) Process Design in Chem eng


Please, the person can be a PHD student or possess an M. Eng & at least one year lecturing experience in this field and must also be lecturing currently.

Location. Island, Lagos.

Period: Dec.20 - 1st Jan

Interested person can drop me a mail on adeola0072003@yahoo.com or send a msg here.

Fees: Negotiable.

thanks

The founder of alleged ponzi scheme MMM, Sergey Mavrodi has written to the Nigerian Government in what critics see as a desperate item to save the scheme from an imminent collapse. In an unprecedented move for the scheme in Nigeria, the letter attempts to warn the government of the “dire consequences” of a collapse of the scheme considering the hike in rhetoric from the National Assembly against the scheme.

We read through the letter and observed the following red flags. Our comments follows;

1.”What are you trying to get? Do you want the MMM System to collapse and millions of people to suffer?”

Comment:This was the very first sentence of the letter. Here he confirms that the scheme is facing an imminent collapse if the scheme continues to come under “constant attack”. It’s a confirmation that the risk of not getting your money back when you contribute is very high.

2.“What is the scam here, if all members are warned in advance about all the risks, the possible and impossible ones? They know there are no investments at all. The warning is a red text on a yellow background placed on most prominent place of the website.”

Comment: In the second red flag, he basically admits MMM is highly risky and that it is by no means an investment. If the scheme is not an investment then it means there is no profit being created and thus a 30% interest being paid to contributors is purely built on nothing. It simple means that participants of the scheme are robbing Peter to pay Paul and will continue to do so so far there are more Peters to rob.Once Peter’s stop showing up then the Paul’s lose all their money.

3. “You say that MMM is bad. Why? Yes, it produces nothing, but nothing gets out of the country either. The money is just redistributed among the citizens of Nigeria. It gets from those who are richer to poorer ones, in this way restoring social justice. What”s wrong with that?”

Again, he buttresses the point that critics of MMM have been saying. This scheme produces nothing and creates no value. This surely means it adds nothing to the GDP, cannot be taxed and is not sustainable in the medium to longterm. He also confirms that the scheme takes from the rich and pays the poor. It’s ironic that the rich who contributes money to the scheme still gets their money out at a 30% thus an even higher quantum of Naira upon withdrawal.

4. “As for your statement that “everything will collapse soon”. The system has been working in for a year, and according to your estimates, the total number of members now is about 3 million people. In Nigeria the population is approximately 195 million. Can you calculate? Will it be “soon”?”

In this final parting shot, he boasts that the scheme has about 3 million people currently participating in it and has potential to grow as Nigeria has a population of about 195 million people. He sure has a point there considering how gullible and greedy some Nigerians can be. However, what he forgets to add is whether this number is still growing as it was 3-6 months ago? Certainly not every one of them still contributes! Also, the scheme doesn’t just rely on numbers it also depends a lot on the amount each participant is contributing. If the pool of the so-called “rich people”(,who are likely getting discouraged due to the negative press being created by the scheme) reduces in numbers then this endangers the scheme even more.

Finally, the letter from Sergey Mavrodi is a hand writing on the wall for those who have money currently stuck in MMM and those who plan to put money in it. This is a desperate attempt to allay the concerns of desperate operators of the scheme. This move might back fire as this is now a clear indication to the government that their role of protecting its citizens is being usurped by a force that is within their grasp. It is unlikely that any reasonable government will see this letter and stay mute. If authorities were looking for any reason to investigate this scheme, the this letter provides one. At least, the EFCC, SSS and other agencies cannot now claim that no one has complained. The founder himself just did!!

http://nairametrics.com/analysis-of-mmm-founder-sergey-mavrodi-letter-to-fg/

11. Nairalanders.

all these FTC guys will cool down.. traffic will also decrease on social media

More than 20 alleged members of a feared Nigerian mafia gang called the have been rounded up during raids in Italy.

The suspects are accused of being involved in a catalogue of criminal activities, from prostitution and protection rackets through to drug dealing and human trafficking.

The nationwide operation was co-ordinated by the anti-mafia squad in Palermo, Sicily.

The arrests come after a member of the turned informer and revealed the workings of the secretive criminal network, including the identifies of senior members.

Among those detained in the latest raids was the head of the group's Italian operation in Padua.

In recent months there have also been arrests in Torino and Milan.

The suspects are accused of being involved in a catalogue of criminal activities, from prostitution and protection rackets through to drug dealing and human trafficking.

The nationwide operation was co-ordinated by the anti-mafia squad in Palermo, Sicily.

The arrests come after a member of the turned informer and revealed the workings of the secretive criminal network, including the identifies of senior members.

Among those detained in the latest raids was the head of the group's Italian operation in Padua.

In recent months there have also been arrests in Torino and Milan.


The rise of the has been linked to the wave of migrants making the crossing from North Africa.

It has been reported the criminal syndicate has forged links with the Italian mafia, the Cosa Nostra.

According to the authorities, the Italian gangsters import drugs, which are then distributed by the Nigerians.

However, as part of the subordinate relationship, it is understood the Nigerian gang are banned by their Italian counterparts from carrying guns and so settle their differences using axes and machetes.

http://news.sky.com/story/-mafia-gang-suspects-arrested-in-police-raids-across-italy-10663022?dcmp=snt-sf-twitter

ozymes:
Hello house i did 14% for 91 days and the stop rates seem to be 13.99% . What are my chances? Any ideas plzzzz?

No Chance, wait for the next auction and always be conservative. avoid.. bidding at round figures

Dear All

Find below 16th Nov. 2016 NTB Auction result:


Tenor (91-Day); (182-Day); (364-Day)

Offer Amount (=N=) 32,436,508,000; 22,824,447,000; 64,677,523,000

Total Subscription (=N=) 36,626,653,000; 34,390,819,000; 87,060,793,000

Allotment (=N=) 32,436,508,000; 22,824,447,000; 64,677,523,000

Stop Rates (%): 13.9900; 17.4000; 18.7000

Donald Trump assumes the mantle of the US presidency under an unprecedented cloud of litigation that could weigh on his ability to govern after this week's shock election.

Just as the newly minted president-elect visited the White House and Capitol Hill on Thursday, two thousand miles away his lawyers were in a California courtroom battling over evidence and jury instructions in a fraud trial over the defunct Trump University, which stands accused of defrauding students.

On the campaign trail, Trump disparaged the judge in the same case, Gonzalo Curiel, as a "Mexican" and a "hater," and Trump's attorneys want such remarks excluded as evidence.

Trial begins in 18 days, meaning Trump could be sworn in as a witness in the case well before he is sworn in as president.

- Scores of cases -

In New York, the billionaire developer, a famous legal pugilist with a lifetime's worth of business enemies and sparring partners, is facing a case brought by Attorney General Eric Schneiderman, also over Trump University, as well as a libel case from a political consultant and lawsuit from a protester claiming he was assaulted outside Trump Tower.

Then there is his pending IRS tax audit. And a case in Chicago accusing his campaign of spam text messages. And a breach of contract case a Trump company brought in Washington -- Trump was accompanied by a Secret Service agent to a recent deposition in that case, according to court papers.

That is just a sample of the private legal matters the sitting president will have on his plate.

"This is going to be one of the many unprecedented things about a Trump presidency," Louis Seidman, a scholar of constitutional law at Georgetown University, told AFP.

According to USA Today, over the past three decades Trump and his business entities have been involved at least 3,500 legal actions in federal and state courts, ranging from high-stakes business clashes to personal defamation lawsuits.

In just the year following the announcement of his candidacy in June of 2015, at least 70 cases were filed, split evenly between those Trump brought and those filed against him, according to the newspaper.

The Trump Organization and an attorney for Trump in California did not respond to requests for comment.

- No absolute immunity -

Despite their power, US presidents can and have been dragged into the courts. The Supreme Court held in 1982 that former president Richard Nixon was immune from liability for damages based on his official acts.

Fifteen years later, however, the court found that Bill Clinton could face civil litigation for acts occurring before his presidency in a sexual harassment suit brought by Paula Jones. Clinton went on to survive impeachment in 1999 over accusations that he had lied and obstructed justice during the Jones case.

"The law stands with what the court decided in that case," Clinton's attorney at the time, Bob Bennett, told AFP. "And they said the president does not have absolute immunity in civil suits."

Seidman said courts were often expected to adjust their schedules to suit the many pressures and demands on serving presidents. The Supreme Court has also never decided whether a president may face criminal prosecution, he added.

Trump's legal entanglements will almost certainly be a factor in his ability to govern, said Seidman.

"Disentangling him from that business is going to be close to impossible," said Seidman. "There are going to be constant legal distractions."

Trump's ability to govern under such circumstances will depend on the resources he can bring to bear, said Seidman, adding that Trump's courtroom battles as president are in many cases likely to be driven by political rather than legal forces.

"On the one hand, he is coming into office with all the levers of power," he said, noting that Republican party will soon control the executive branch and both houses of Congress.

"On the other hand, he is also coming into office as the least popular president in American history, with less than a majority of the popular vote and half of the country despising him."

"The real risk is that he might react to those sorts of problems by trying to exercise still more power," said Seidman. "A lot of this is going to depend on how good of a politician he is."


https://www.afp.com/en/news/15/cacophony-lawsuits-follow-trump-white-house

godash:
Yes you can. I specified my rate with GTB as with many others here.

.


Bro... ur acct manager/GTB is playing you. the stop rate is 18.50% and the auction didn't even meet up with the amount offered for 364 days (NGN 54.35B) as the amount sold was NGN 46.77B this means that even if you bidded at the stop rate (18.50%) you ought to have been successful. All customers that bidded with us at the stop rate where successful. Note, this is not always common cause it's normally porated and allotments given to all institutions i.e if bidded at this rate (cut-offs). but in this case you bidded below the cut-off and the auction didn't even meet up with the required volume. you guys should look at the table below. amount sold is less than amount offered that means everybody that even bidded at the stop rate could have been accommodated.

Ask you acct manager what happened, maybe your bid wasn't submitted or was altered (increased) your bid rate, also errors can occur

Tenor (Days) - Amount offered -- AMOUNTS SOLD --- Cut-Off (%)
91 - NGN 45.17B -- NGN 22.15B ------------ 14.00
182 - NGN 23.43B -- NGN 18.65B ------------ 17.50
364 - NGN 54.35B -- NGN 46.77B ------------- 18.50

My theory is that.... if u hear the sound then ur still alive and if u dont..... RIP

tiwiex:
Can you share the true story so we can all be on the same page? I am with you. The compliance story does not sound serious for this.

The state government last week announced she will be clamping down on illegal structures starting from the island i.e. Ikoyi, VI and Lekki etc this is the beginning ..... I know that structure it's illegal it's was just newly constructed as an attachment to an old building. If u notice the main building wasn't knocked down. I can say permit wasn't gotten for that. But the state had already announced it was going to take down such structures. It's unfortunate biz has been taken away from people. But the government did give warnings, the landlord should return rent, pls folks should alert their people who run biz in such buildings to take note cause the govt will come like a thief in the night. This again is not new to Ikoyi cause u wake up in the morning and notice ur neighbors house is no more. But this only happens to illegal structures and illegal tenants

EYAAA...and the pepper soup for that sailors na the end!!! e go still dey boil for claypot for your front like this .

Gbemi... next time go to waterside... that one sef no bad and no bouncer.... go for night nobody go see u and ur oyinbo friend.

lolllll

otokx:
When is the next auction?

17/08/2016. However, make sure u advise ur request a day before

Summary of NTB Auction Results - 03.08.2016

91 Days - 15.44%

182 Days - 18.05%

364 Days - 18.5%

Hi Guys,

find results of todays, T-Bill primary auction below

Auction Date 03/08/2016 03/08/2016 03/08/2016
Allotment / Issue Date 04/08/2016 04/08/2016 04/08/2016
Tenor (91-Day) (182-Day) (364-Day)
Offer Amount (=N=) 45,177,868,000 80,000,000,000 120,000,000,000
Total Subscription (=N=) 69,442,518,000 128,661,661,000 293,429,597,000
Proposed Allotment (=N=) 45,177,868,000 80,000,000,000 120,000,000,000
Range of Bid Rates (%): 9.0000 – 19.0000 13.0000 – 20.4900 15.5000 – 25.3451
Recommended Stop Rates (%): 15.4400 18.0589 18.5000

Another wave of job cuts coming, as a significant drop in the value of our currency will have to force banks to recapitalise in order to have enough funds (naira) to be liquid, stable and most importantly profitable. The last adjusted minimum capital base was N25 billion introduced by Chukwuma Soludo’s CBN in 2004. as we all know times are now different. However, the CBN has been proposing to jerk this up to 100 billion but this has not been effected yet. So we should all be ready.

A natural consolidation in form of mergers and acquisitions is likely in the Nigerian banking sector, economic and financial experts have predicted.

They said with the myriads of challenges facing the nation’s economy, some banks were likely to experience some challenges that could only be resolved by mergers and acquisitions.

The Chief Executive Officer, Financial Derivatives Limited, Mr. Bismarck Rewane, said the economic storm gathering over the country might lead to a shake-out in the banking sector.

This, he said, was better than having a situation where a bank would collapse.

Speaking about the ongoing economic crisis and the spate of non-performing loans, Rewane said, “It will affect their profitability initially and eventually it is going to affect their liquidity and solvency.

“Because of the squeeze in profitability, there will be a natural consolidation and a shake-out.”

He, however, expressed the hope that the Federal Government’s stimulus package and other measures aimed at enhancing growth would work and help tackle the economic storm.

An economist, Prof. Pat Utomi, said good mergers and acquisitions strategy could help prevent crisis in the banking sector and avoid a regulatory risk.

Utomi, who did not state whether a consolidation was imminent in Nigeria, however, stated that it would not be construed as negative thing if it happened.

He said, “There is nothing good or bad about mergers and acquisitions on its own. The question is whether it will amount to creating value or not. It happened in the United States in the 1980s.

“A good mergers and acquisitions strategy can prevent regulatory risk. A situation where the central bank will take action on a bank and there will be panic and everybody begins to run helter-skelter to withdraw their money is not good for a bank. If the fundamentals of a bank are beginning to get challenged, it is better a discussion is held with another bank and it is acquired. What creates a problem is regulatory risk.”

According to Utomi, the economy needs to begin to produce and relevant policies that will enhance this must be put in place.

He added that banks could be a good agent in helping to stimulate domestic production.

The Executive Director, Sterling Bank Plc, Mr. Abubakar Suleiman, had said in February that a drop in naira by just 20 per cent would trigger a wave of bank mergers.

Since a devaluation last month, the currency has lost double that against the dollar, according to a report by Reuters.

Overall, 42 per cent of loans extended by Nigerian banks are in dollars. If the naira falls far enough, it will force some banks to recapitalise in order to have enough naira to stay within financial stability limits.

“There is concern around the evolution of banks’ capital adequacy if the naira continues to weaken,” the Chief Economist, Standard Chartered Africa, Razia Khan, said

She added, “As the naira weakens, FX loans are likely to be problematic.”

Non-performing loans are expected to jump to 12.5 per cent of the total loans of the banks this year, up from the central bank’s target level of five per cent at the end of last year, as lenders suffer a hangover from an oil sector credit boom that ended abruptly in 2015, according to Agusto & Co, Nigeria’s main rating agency.

The country’s 21 banks have been laying off staff, closing branches and slashing earnings forecasts, but some are unlikely to survive the storm, analysts say.

According to London-based analysts Exotix, UBA, Diamond and Guaranty Trust Bank have the highest ratio of dollar loans at 50 per cent apiece.

Diamond Bank declined to comment, while UBA and GTB said they saw no need for recapitalisation due to the devaluation of the currency.

One Lagos-based banking analyst, who asked not to be named, said three or four medium-sized banks might need to raise capital.

The central bank has said it is monitoring one or two lenders for liquidity, without naming them.

Adding to the uncertainty, GTB delayed its half-year earnings this week pending an interim audit.

Two mid-tier banks, Skye and Stanbic IBTC, the local arm of South Africa’s Standard Bank, said they had not yet released first quarter earnings.

Some banks have themselves borrowed heavily in dollars, debt that now costs much more to service.

Top of this list is GTB, which has $1.6bn in dollar-denominated debt, followed by First Bank of Nigeria, with $915m, according to Thomson Reuters data. First Bank was not immediately available to comment.

Anticipating problems from a weaker naira, investors have been selling off banking stocks for the last year, sending the banking index in January to its lowest since it was formed in 2009, and less than half its level in mid-2014.

Many banking stocks, hot foreign investor picks a decade ago during an ‘Africa rising’ boom, remain depressed after a 2009 sector meltdown stemming from the global financial crisis.

Zenith Bank’s shares are a third of their pre-financial crisis highs, Access Bank, a quarter; and First Bank, just 10 per cent. GTB, by contrast, has recovered as it has one of the lowest levels of non-performing loans and its shares are now in line with their 2008 levels.

With the International Monetary Fund forecasting a 1.8 per cent contraction in the Nigerian economy this year, the immediate prospects for the banking sector are grim, but the CBN Governor, Mr. Godwin Emefiele, was adamant that the financial system remained solid.

http://punchng.com/mergers-acquisitions-likely-banking-sector-rewane-utomi-others/

Another wave of job cuts coming, as a significant drop in the value of our currency will have to force banks to recapitalise in order to have enough funds (naira) to be liquid, stable and most importantly profitable. The last adjusted minimum capital base was N25 billion introduced by Chukwuma Soludo’s CBN in 2004. as we all know times are now different. However, the CBN has been proposing to jerk this up to 100 billion but this has not been effected yet. So we should all be ready.

A natural consolidation in form of mergers and acquisitions is likely in the Nigerian banking sector, economic and financial experts have predicted.

They said with the myriads of challenges facing the nation’s economy, some banks were likely to experience some challenges that could only be resolved by mergers and acquisitions.

The Chief Executive Officer, Financial Derivatives Limited, Mr. Bismarck Rewane, said the economic storm gathering over the country might lead to a shake-out in the banking sector.

This, he said, was better than having a situation where a bank would collapse.

Speaking about the ongoing economic crisis and the spate of non-performing loans, Rewane said, “It will affect their profitability initially and eventually it is going to affect their liquidity and solvency.

“Because of the squeeze in profitability, there will be a natural consolidation and a shake-out.”

He, however, expressed the hope that the Federal Government’s stimulus package and other measures aimed at enhancing growth would work and help tackle the economic storm.

An economist, Prof. Pat Utomi, said good mergers and acquisitions strategy could help prevent crisis in the banking sector and avoid a regulatory risk.

Utomi, who did not state whether a consolidation was imminent in Nigeria, however, stated that it would not be construed as negative thing if it happened.

He said, “There is nothing good or bad about mergers and acquisitions on its own. The question is whether it will amount to creating value or not. It happened in the United States in the 1980s.

“A good mergers and acquisitions strategy can prevent regulatory risk. A situation where the central bank will take action on a bank and there will be panic and everybody begins to run helter-skelter to withdraw their money is not good for a bank. If the fundamentals of a bank are beginning to get challenged, it is better a discussion is held with another bank and it is acquired. What creates a problem is regulatory risk.”

According to Utomi, the economy needs to begin to produce and relevant policies that will enhance this must be put in place.

He added that banks could be a good agent in helping to stimulate domestic production.

The Executive Director, Sterling Bank Plc, Mr. Abubakar Suleiman, had said in February that a drop in naira by just 20 per cent would trigger a wave of bank mergers.

Since a devaluation last month, the currency has lost double that against the dollar, according to a report by Reuters.

Overall, 42 per cent of loans extended by Nigerian banks are in dollars. If the naira falls far enough, it will force some banks to recapitalise in order to have enough naira to stay within financial stability limits.

“There is concern around the evolution of banks’ capital adequacy if the naira continues to weaken,” the Chief Economist, Standard Chartered Africa, Razia Khan, said

She added, “As the naira weakens, FX loans are likely to be problematic.”

Non-performing loans are expected to jump to 12.5 per cent of the total loans of the banks this year, up from the central bank’s target level of five per cent at the end of last year, as lenders suffer a hangover from an oil sector credit boom that ended abruptly in 2015, according to Agusto & Co, Nigeria’s main rating agency.

The country’s 21 banks have been laying off staff, closing branches and slashing earnings forecasts, but some are unlikely to survive the storm, analysts say.

According to London-based analysts Exotix, UBA, Diamond and Guaranty Trust Bank have the highest ratio of dollar loans at 50 per cent apiece.

Diamond Bank declined to comment, while UBA and GTB said they saw no need for recapitalisation due to the devaluation of the currency.

One Lagos-based banking analyst, who asked not to be named, said three or four medium-sized banks might need to raise capital.

The central bank has said it is monitoring one or two lenders for liquidity, without naming them.

Adding to the uncertainty, GTB delayed its half-year earnings this week pending an interim audit.

Two mid-tier banks, Skye and Stanbic IBTC, the local arm of South Africa’s Standard Bank, said they had not yet released first quarter earnings.

Some banks have themselves borrowed heavily in dollars, debt that now costs much more to service.

Top of this list is GTB, which has $1.6bn in dollar-denominated debt, followed by First Bank of Nigeria, with $915m, according to Thomson Reuters data. First Bank was not immediately available to comment.

Anticipating problems from a weaker naira, investors have been selling off banking stocks for the last year, sending the banking index in January to its lowest since it was formed in 2009, and less than half its level in mid-2014.

Many banking stocks, hot foreign investor picks a decade ago during an ‘Africa rising’ boom, remain depressed after a 2009 sector meltdown stemming from the global financial crisis.

Zenith Bank’s shares are a third of their pre-financial crisis highs, Access Bank, a quarter; and First Bank, just 10 per cent. GTB, by contrast, has recovered as it has one of the lowest levels of non-performing loans and its shares are now in line with their 2008 levels.

With the International Monetary Fund forecasting a 1.8 per cent contraction in the Nigerian economy this year, the immediate prospects for the banking sector are grim, but the CBN Governor, Mr. Godwin Emefiele, was adamant that the financial system remained solid.

http://punchng.com/mergers-acquisitions-likely-banking-sector-rewane-utomi-others/

A natural consolidation in form of mergers and acquisitions is likely in the Nigerian banking sector, economic and financial experts have predicted.

They said with the myriads of challenges facing the nation’s economy, some banks were likely to experience some challenges that could only be resolved by mergers and acquisitions.

The Chief Executive Officer, Financial Derivatives Limited, Mr. Bismarck Rewane, said the economic storm gathering over the country might lead to a shake-out in the banking sector.

This, he said, was better than having a situation where a bank would collapse.

Speaking about the ongoing economic crisis and the spate of non-performing loans, Rewane said, “It will affect their profitability initially and eventually it is going to affect their liquidity and solvency.

“Because of the squeeze in profitability, there will be a natural consolidation and a shake-out.”

He, however, expressed the hope that the Federal Government’s stimulus package and other measures aimed at enhancing growth would work and help tackle the economic storm.

An economist, Prof. Pat Utomi, said good mergers and acquisitions strategy could help prevent crisis in the banking sector and avoid a regulatory risk.

Utomi, who did not state whether a consolidation was imminent in Nigeria, however, stated that it would not be construed as negative thing if it happened.

He said, “There is nothing good or bad about mergers and acquisitions on its own. The question is whether it will amount to creating value or not. It happened in the United States in the 1980s.

“A good mergers and acquisitions strategy can prevent regulatory risk. A situation where the central bank will take action on a bank and there will be panic and everybody begins to run helter-skelter to withdraw their money is not good for a bank. If the fundamentals of a bank are beginning to get challenged, it is better a discussion is held with another bank and it is acquired. What creates a problem is regulatory risk.”

According to Utomi, the economy needs to begin to produce and relevant policies that will enhance this must be put in place.

He added that banks could be a good agent in helping to stimulate domestic production.

The Executive Director, Sterling Bank Plc, Mr. Abubakar Suleiman, had said in February that a drop in naira by just 20 per cent would trigger a wave of bank mergers.

Since a devaluation last month, the currency has lost double that against the dollar, according to a report by Reuters.

Overall, 42 per cent of loans extended by Nigerian banks are in dollars. If the naira falls far enough, it will force some banks to recapitalise in order to have enough naira to stay within financial stability limits.

“There is concern around the evolution of banks’ capital adequacy if the naira continues to weaken,” the Chief Economist, Standard Chartered Africa, Razia Khan, said

She added, “As the naira weakens, FX loans are likely to be problematic.”

Non-performing loans are expected to jump to 12.5 per cent of the total loans of the banks this year, up from the central bank’s target level of five per cent at the end of last year, as lenders suffer a hangover from an oil sector credit boom that ended abruptly in 2015, according to Agusto & Co, Nigeria’s main rating agency.

The country’s 21 banks have been laying off staff, closing branches and slashing earnings forecasts, but some are unlikely to survive the storm, analysts say.

According to London-based analysts Exotix, UBA, Diamond and Guaranty Trust Bank have the highest ratio of dollar loans at 50 per cent apiece.

Diamond Bank declined to comment, while UBA and GTB said they saw no need for recapitalisation due to the devaluation of the currency.

One Lagos-based banking analyst, who asked not to be named, said three or four medium-sized banks might need to raise capital.

The central bank has said it is monitoring one or two lenders for liquidity, without naming them.

Adding to the uncertainty, GTB delayed its half-year earnings this week pending an interim audit.

Two mid-tier banks, Skye and Stanbic IBTC, the local arm of South Africa’s Standard Bank, said they had not yet released first quarter earnings.

Some banks have themselves borrowed heavily in dollars, debt that now costs much more to service.

Top of this list is GTB, which has $1.6bn in dollar-denominated debt, followed by First Bank of Nigeria, with $915m, according to Thomson Reuters data. First Bank was not immediately available to comment.

Anticipating problems from a weaker naira, investors have been selling off banking stocks for the last year, sending the banking index in January to its lowest since it was formed in 2009, and less than half its level in mid-2014.

Many banking stocks, hot foreign investor picks a decade ago during an ‘Africa rising’ boom, remain depressed after a 2009 sector meltdown stemming from the global financial crisis.

Zenith Bank’s shares are a third of their pre-financial crisis highs, Access Bank, a quarter; and First Bank, just 10 per cent. GTB, by contrast, has recovered as it has one of the lowest levels of non-performing loans and its shares are now in line with their 2008 levels.

With the International Monetary Fund forecasting a 1.8 per cent contraction in the Nigerian economy this year, the immediate prospects for the banking sector are grim, but the CBN Governor, Mr. Godwin Emefiele, was adamant that the financial system remained solid.

http://punchng.com/mergers-acquisitions-likely-banking-sector-rewane-utomi-others/

Ryder306:
Does this mean we can buy MTN Nigeria shares. if yes, how do we go about it

Yes, MTN Nigeria is going public.anybody can now purchase shares of the company. however the IPO is not until 2017.

Nice 1... but i'm wondering whats the purpose of this company going public cause i'm sure they are not cash constraint. & expansion seems not to be a problem for them. is it solely pressure from the FGN and regulators ??

I know the public and investors will love this news but please, lets discuss what's in it (going public) for the organisation (MTN).

Telecommunications giant, MTN Nigeria, has said it will list its shares on the Nigerian Stock Exchange in 2017.

The company said in a statement on Thursday that the listing was part of a settlement arrangement with the Federal Government.
“The Board of Directors has resolved to proceed with preparations for a listing of MTN Nigeria on the NSE as soon as commercially and legally possible, and has established a management task team with the responsibility to guide the company towards a listing,” it said in the statement.

“At present, MTN Nigeria is targeting that the listing takes place during 2017, subject to suitable market conditions.”
The statement was signed by MTN Nigeria’s Public Relations and Protocol Manager, Mr. Funso Aina.
‎The telecoms firm said it had appointed Stanbic IBTC Capital Limited (together with its affiliates, The Standard Bank of South Africa Limited and Standard Advisory London Limited) (collectively “Stanbic”) and Citigroup Global Markets Limited (‘Citi’) as Joint Transaction Advisors and Joint Global Coordinators, with Stanbic acting as Lead Issuing House.
It added, “A full syndicate including Nigerian receiving agents, Nigerian receiving banks and other advisers would be appointed in due course, as appropriate.
“The proposed listing would be subject to suitable market circumstances and conditions and the appropriate approvals from relevant regulators and other stakeholders.”


http://punchng.com/breaking-mtn-list-nigerian-stock-exchange/

Telecommunications giant, MTN Nigeria, has said it will list its shares on the Nigerian Stock Exchange in 2017.

The company said in a statement on Thursday that the listing was part of a settlement arrangement with the Federal Government.
“The Board of Directors has resolved to proceed with preparations for a listing of MTN Nigeria on the NSE as soon as commercially and legally possible, and has established a management task team with the responsibility to guide the company towards a listing,” it said in the statement.

“At present, MTN Nigeria is targeting that the listing takes place during 2017, subject to suitable market conditions.”
The statement was signed by MTN Nigeria’s Public Relations and Protocol Manager, Mr. Funso Aina.
‎The telecoms firm said it had appointed Stanbic IBTC Capital Limited (together with its affiliates, The Standard Bank of South Africa Limited and Standard Advisory London Limited) (collectively “Stanbic”) and Citigroup Global Markets Limited (‘Citi’) as Joint Transaction Advisors and Joint Global Coordinators, with Stanbic acting as Lead Issuing House.
It added, “A full syndicate including Nigerian receiving agents, Nigerian receiving banks and other advisers would be appointed in due course, as appropriate.
“The proposed listing would be subject to suitable market circumstances and conditions and the appropriate approvals from relevant regulators and other stakeholders.”


http://punchng.com/breaking-mtn-list-nigerian-stock-exchange/

This one is not a joke o.... its for real with pictures, tweets and real live messages involving some ladies doing drugs and etc. the gist are courtesy the handle @subdeliveryman.... @nairaland must not miss this. this is what our society has reduced too.