Hello Readers, Bizwatchnigeria brings you the latest business news highlights in Nigeria for the week of January 5th–11th, 2025.
NACCIMA Advocates For Corporate Tax Cuts And Stable VAT
The National Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA) urges President Bola Tinubu’s administration to implement tax reforms to boost Nigeria’s economy. The organization calls for corporate tax reductions to 19% and a cap on Value Added Tax (VAT) at 7.5%.
FG Allocates N4 Billion For Presidential Helipad And Jetty In Lagos
The Federal Government, as part of its proposed N49.74 trillion budget for 2025, allocates N4 billion for constructing a presidential helipad and jetty in Lagos. This initiative falls under the Ministry of Works, which is earmarked N1.138 trillion, with N1.09 trillion dedicated to capital projects.
FG Allocates N11.5 Billion For 20,000 Housing Units In 2025 Budget
The Federal Government sets aside N11.5 billion in its proposed N49.74 trillion budget for the 2025 fiscal year to construct 20,000 housing units under the Renewed Hope Agenda housing scheme. This initiative is part of the Federal Ministry of Housing and Urban Development’s total budget of N98.13 billion.
Naira Depreciates As Demand For US Dollar Outpaces FX Liquidity
The Nigerian naira weakened against the US dollar in the foreign exchange (FX) market as demand pressures intensified. According to spot FX data from the FMDQ platform, the naira depreciated by 0.13%, closing at N1,536.58 per US dollar in the official market. Market activity indicated trades were conducted within a range of N1,500 to N1,550 per US dollar, highlighting significant FX demand in the official window.
US Dollar Weakens As Rally Momentum Fades
The US dollar weakened against major trading partners early Monday as markets returned to normal activity following two holiday weeks. Analysts, including ING’s Francesco Pesole, suggested that the dollar’s momentum might wane as market conditions stabilize and reconcile with slightly lower interest rates.
Tax Reform Bills Disrupt National Assembly’s Budget Cycle, Says Senator Adeola
Senator Solomon Adeola, Chairman of the Senate Committee on Appropriation, says the introduction of tax reform bills by President Bola Tinubu disrupts the National Assembly’s January-to-December budget cycle.
Nigerian Equities Upward Momentum Fades As Inflation, Weak Naira, And Bond Listing Dampen Outlook
Nigerian equities may start to see their upside momentum fade, with the NGX All Share Index closing flat in the previous session after a strong rally since late November.
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CBN Secures N1.47 Trillion In Oversubscriptions For 364-Day Treasury Bills
The Central Bank of Nigeria (CBN), on behalf of the Debt Management Office (DMO), secures an impressive N1.47 trillion in subscriptions for its 364-day Treasury Bills during the auction held on January 8, 2025. This marks a 283.42% oversubscription, indicating strong investor interest in the longer-term government securities.
Nigeria’s Inflation Forecasted To Drop To 27.1% By December 2025
A recent report projects Nigeria’s inflation rate will decline to 27.1% by December 2025, offering potential relief to businesses and consumers navigating persistent economic challenges. The forecast reflects cautious optimism as structural reforms and policy adjustments reshape the country’s economic outlook.
China Considers Expanding Currency Swap Agreement With Nigeria
China signals its willingness to expand its currency swap agreement with Nigeria and supports the country’s plan to issue panda bonds, strengthening bilateral financial ties.
Naira Stable In Black Market As U.S. Jobs Report Draws Market Attention
The Naira remains stable in the black market as traders shift focus to the release of U.S. nonfarm payroll data expected later today. The local currency trades at approximately N1660/$, showing minimal fluctuations despite recent market pressures.