A Review of the Nigerian Energy Industry

Financial market update

02 January 2013, Sweetcrude, Lagos – Local and international financial market update.
NIGERIA: Members of the National Association of Small Scale Industrialists (NASSI) on Tuesday urged the Federal Government to ensure the effective implementation of the oil and gas sector reforms in the new year. They made the call in an interview with the News Agency of Nigeria (NAN) in Lagos and called on President Goodluck Jonathan to expedite action toward finding lasting solution to problems of the oil and gas sector.

UK: The pound strengthened for a fourth year in 2012 against the euro as investors seeking a haven from Europe’s debt crisis pushed the currency higher, even as the Bank of England raised its so-called quantitative-easing target. The pound appreciated 0.3 percent to 81.52 pence per euro as of 1:41 p.m. London time on 31st December 2012, after climbing 0.5 percent on Dec. 28, the biggest increase since Dec. 6.

EUROPE: Angela Merkel opened her re-election campaign year by putting voters on notice that the financial crisis threatens to make their lives tougher. Portugal will inject 1.1 billion euros to recapitalize Banif.

INDIA: India’s manufacturing sector growth improved further in December, registering the fastest pace in six months, driven by a strong pick up in new orders, an HSBC survey said. The HSBC India Manufacturing Purchasing Managers’ Index (PMI) – a measure of factory production – stood at 54.7 in December, up from 53.7 in November, indicating a further improvement in the health of the Indian manufacturing sector.

TAIWAN: China Steel Corp. and Posco led a group that agreed to pay $1.1 billion for a 15 percent stake in ArcelorMittal Mines Canada Inc. to secure supplies of iron ore, the main steelmaking raw material. China Steel, Taiwan’s biggest steelmaker, will take 3.68 percent of the unit that has two iron ore mines for $270 million, Steve Lee, China Steel executive vice president, said today by telephone. Posco, South Korea’s largest steelmaker, will also take a stake without saying how much it will invest, according to Kim Ji Young, a spokeswoman.

Indicative Currency Exchange Rates
Bid           Offer

EURUSD       1.3280         1.3290
GBPUSD       1.6312          1.6322
USDJPY          87.19           87.59
USDCHF       0.9099         0.9119
GBPEUR       1.2282          1.2292
USDZAR       8.4418          8.5418
USDNGN       156.20          156.70
JPYNGN        1.7915           1.8415
CHFNGN       171.67           175.67
EURNGN       207.43         211.43
GBPNGN       254.79          258.79
ZARNGN        18.50            20.50

Oil rose in New York, heading for the highest close in three months, after the U.S. House passed a Senate-approved deal that will avert tax increases and spending cuts that threatened growth in the world’s biggest economy. Crude for February delivery rose as much as $1.02 to $92.84 a barrel in electronic trading on the New York Mercantile Exchange.

Interest rates
NIBOR (%)                LIBOR (%)

O/N              10.5833    USD 1 month         0.2087
7 Day            11.3750     USD 2 month         0.2535
30 Day         12.9583     USD 3 month        0.3060
60 Day         13.4250     USD 4 month        0.3631
90 Day         13.7917      USD 6 month        0.5083
USD 12 month      0.8435
Y/Y Consumer Inflation August 2012 :           12.3%
FX Reserves: 24 December 2012 (USD bn)    44.256
MPR                                                                         12.00%
Source: Reuters, Bloomberg, Central Bank of Nigeria, Financial Market Dealers Association Standard Chartered Bank Nigeria.

In this article

Join the Conversation