Nigeria records $45.7bn investments in six months
The Nigerian economy recorded a total investment commitment of $45.7bn in various sectors of the economy within the first six months of this year. Figures obtained from the Nigerian Investment Promotion Commission showed that the $45.74bn investment commitments were made for 42 projects in nine states and the Federal Capital Territory. The sectoral analysis of the commitments indicates that investors were willing to invest the $45.7bn in 12 sectors of the economy. The breakdown of the investments showed that mining and quarrying accounted for 61 per cent of the value; manufacturing, 28 per cent; transportation and storage, five per cent; real estate, three per cent; and the remaining sectors accounted for three per cent. According to Nigerian Investment Promotion Commission, France accounted for 35 per cent of the value, followed by investment made by Nigerian companies at 31 per cent, while companies from the United Kingdom accounted for 20 per cent. As the remaining percentage contribution were from Luxembourg, and companies in other countries. The beneficiaries of these investment were Rivers State with 35 per cent in favour of the state. Bayelsa and Lagos states accounted for 26 per cent each, while Delta State accounted for seven per cent.
BIS warns global economy risks crisis ‘relapse’
The Bank of International Settlements Stated that global economy risked a “relapse” of the crisis that rocked it a decade ago, BIS chief economist Claudio Borio. The Basel-based BIS, considered the central bank for central bank, warned in its annual report that the recovery after the 2007-2008 global financial crisis had been “highly unbalanced”, with emerging economies especially facing mounting pressure. Borio pointed out that central banks around the world had for years managed the effects of the crisis, with “unusually and persistently low interest rates.” The BIS Chief economist highlighted that the recent happenings in Turkey and Argentina, are reflection of the imbalance in the emerging economics, that are currently feeling the effect of the withdrawn quantitative easing, that have been used as economy stimulus. The Asset prices in emerging economies have been hit by a stronger dollar, as well as growing global trade tensions, are major source of concerns, as well as signs of a slowdown in the Chinese economy, which has become increasingly critical for commodity producers, were also hitting emerging economies hard, while risky lending similar to what landed the world in the global financial crisis a decade ago is on the rise.