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Nairaland Forum / Nairaland / General / Politics / ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index (23659 Views)
Omoyele Sowore Walks Out Of Bond FM During Interview As The GM Tries To Censor / Uche Ekwunife Kicked Out Of APC Primaries (Snapshot) / FG Responds To JP Morgan Delisting Of Nigeria From Bond Index (2) (3) (4)
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Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by biafranqueen: 7:27am On Sep 09, 2015 |
NAIJASOM:forget about investors trillions lost in 100 days they are out of here like last week. Themlying liars will still come here and say this is better, watch out. 7 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by hinwazaka: 7:27am On Sep 09, 2015 |
It's so funny, that while the CBN and the FG, believe that market liquidity is gaining, the actual truth is that every monetary policy by the CBN, since May 29, has actually decreased liquidity in the markets and the financial institutions, by failing to increase the amount of cash the banks and financial institutions are supposed to have, aside that they can borrow to the public, despite the fact that their policies have reduced the amount of cash at hand for the populace. This directive by JP Morgan, and many more to come, will finally send our economy over the edge, thereby leaving the CBN, with no choice than to accede to the President's wishes to turn the pattern of our economy from a capitalist system to a central controlled economy. This will invariably kill Nigeria. 5 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by oduastates: 7:27am On Sep 09, 2015 |
High quality global journalism requires investment. Please share this article with others using the link below, do not cut & paste the article. See our Ts&Cs and Copyright Policy for more detail. Email ftsales.support@ft.com to buy additional rights. http://www.ft.com/cms/s/0/cfd2ec88-e32a-11e2-9bb2-00144feabdc0.html#ixzz3lDi4iv9M Nigeria raises $1bn in international bond sale By Robin Wigglesworth Share Author alerts Clip Comments Nigeria has raised $1bn through an international bond sale despite higher borrowing costs in the wake of market turmoil caused by the US Federal Reserve’s plans to end quantitative easing. Africa’s most populous country issued $500m of five year bonds and $500m of 10-year bonds, at a yield of 5.375 per cent and 6.625 per cent respectively, below the initial guidance by bankers. The overall order book was just over $4bn. More ON THIS TOPIC Nigeria’s NNPC taps private sector Nigeria adopts unorthodox currency measures Nigeria oil industry awaits Buhari plan Nigeria central bank dismisses naira call IN CAPITAL MARKETS Credit ratings bolster risky bank bonds Risk parity funds counter sell-off claims Private equity now tradeable for a price Markets left guessing on Fed rates move “Investors aren’t as desperate for yield as they were, so we won’t see the massive order books of the past in the near future, but there is still strong demand for good stories,” said Nicholas Samara, a banker at Citigroup, which is working on the deal. Nigeria is rated BB- by both Standard & Poor’s and Fitch Ratings, well below investment grade, or “junk”, but many investors are enamoured by the rising African powerhouse. Capital Economics expects that a revision of Nigeria’s gross domestic product data due next year will confirm that it has overtaken South Africa as the region’s biggest economy. “There is some nervousness [on emerging markets] and this was a week of relative stability,” Ngozi Okonjo-Iweala, Nigeria’s finance minister, told the FT. “If we look down the road we might see liquidity flow out of emerging markets.” Nigeria first tapped international debt markets in January 2011, whetting investor appetite for African debt. Since Nigeria’s debut, Angola, Zambia, Namibia, Tanzania and most recently Rwanda have all issued inaugural international bonds. The yield of Nigeria’s debut bond fell to a low of 3.64 per cent in January, but jumped to a peak of 6.24 per cent in late June, after investors were rattled by the Fed’s plans to reduce its bond-buying this year and end the QE programme altogether in 2014. Bankers took Nigerian officials – led by high-profile finance minister Ngozi Okonjo-Iweala - on a one-week roadshow to meet investors earlier this month, but the turmoil delayed the bond sale. Some calm has returned to bond markets and Nigeria’s 2021 bond yield fell to 5.74 per cent on Tuesday, spurring Citigroup and Deutsche Bank, the bond’s two bookrunners, to announce the deal to investors. Investors are anxiously awaiting US employment figures out on Friday, given that the strength of the data could influence the Fed’s plans. Bankers say robust job growth could encourage the Fed to end QE, but rattle bond markets and make further emerging market issuance difficult before the summer hiatus. “Ngozi’s leadership in pulling the trigger on this in a window in the turmoil was tremendous,” said Jay Collins, a senior banker at Citigroup. Nigeria intends to use the proceeds of the bond sale to finance infrastructure investments, particularly in power generation, as the country suffers daily blackouts due to an electricity shortage. Copyright The Financial Times Limited 2015. You may share using our article tools. Please don't cut articles from FT.com and redistribute by email or post to the web. Share Author alerts Clip Comments Calm breaks out? Staying safe in the Fed’s new world Miners stuck in a hole COMMENTS (0) Sign in Submit Comment By submitting this comment I confirm that I have read and agreed to the FT Terms and Conditions. Please also see our commenting guidelines. Newest | Oldest | Most recommended |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by Whynotthetruth(m): 7:27am On Sep 09, 2015 |
WombRaiders: Explain the bolded more bro... |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by Huffington: 7:27am On Sep 09, 2015 |
Brainless Presidency 1 Like |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by CSTR2: 7:29am On Sep 09, 2015 |
WombRaiders:It is just sad. This is the same country that was the toast of j.p morgan last year. The same country that was attracting foreign investments near the scale of china just last year. Many international agencies and countries were actually getting very optimistic and some like south africa were very fearful that Nigeria may have finally gotten her economic potential activated. How did the hell did we get back here? 8 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by anwo247: 7:29am On Sep 09, 2015 |
This is what you get when a dullard is in charge 3 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by Nobody: 7:30am On Sep 09, 2015 |
Whynotthetruth: After it was discovered that Sanusi lied on missing oil money, he later changed his figures from $50bn to $10bn then later $20bn. This was enough to scare investors. Because it was obvious that the then central govt was using his office to play partisan politics. An office that was supposed to be filled with a seasoned dedicated technocrat. 13 Likes 3 Shares |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by tommyboi(m): 7:30am On Sep 09, 2015 |
Buhari, oya come and probe dz.. ![]() |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by WOCKHARDI(m): 7:30am On Sep 09, 2015 |
For goodness sake who is the Minister of Finance and the Economic adviser to this admin? We need an Economic team not a one man ' looted money ' recovery champion. As Bishop Kuka advised, don't abandon good governance at the expense of fighting corruption and recovering looted money. This money may become worthless if the economy is grounded. 4 Likes 1 Share |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by Akpan107(m): 7:30am On Sep 09, 2015 |
Demmocrats:the APC govt is a disaster and has failed Nigerians... 4 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by udemzyudex(m): 7:31am On Sep 09, 2015 |
laurel03:see the way you dey reason? Na like this you be 16yrs ago? So you wan give APC 16yrs too to do their own trial and error too abi? Anyway maybe na for your own country and not this one.. 7 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by sdindan: 7:31am On Sep 09, 2015 |
Nigeria is falling down
falling down falling down
Nigeria is falling down
My dear Biafra! 6 Likes 1 Share |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by biafranqueen: 7:32am On Sep 09, 2015 |
Henry120:Save your breath my Dear no policy has ever been in place only propaganda and foolery. Educated illerates pushed us into this hole we have been mumurized! 5 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by peleson: 7:32am On Sep 09, 2015 |
Demmocrats:U survived how? U simply don't know nothing! Do u know how many country that has transformed since then? Take a look at dubai! No one knew dubai then ok but know dubai is world class. That u r eating malnourished eba does not mean u survived! What did u survive into? 6 Likes 1 Share |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by udemzyudex(m): 7:33am On Sep 09, 2015 |
WombRaiders: Scared which investors away? Keep deceiving those who want to be deceive |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by Abagworo(m): 7:33am On Sep 09, 2015 |
The reality is that our dependence on oil and failure to utilise the opportunities when oil prices were high has made our monotonous economy a victim. A golden opportunity was mismanaged. Our major hope is to reduce importation and encourage local production. Having inherited a near collapsed economy at a time oil prices are nosediving, Buhari just like in 1983 has a serious economic task ahead. Emefiele's Dollar policy is helping save our economy from free fall while it affects the advantages of our situation to the Western capitalists. This threat is meant to force Nigeria allow that free fall. 1 Like |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by lincolnj88: 7:33am On Sep 09, 2015 |
An2elect2:so it was booming during abacha cum buhari era or in ibb era ......... Please take ur trash elsewhere as at last administration we were biggest economy in africa and among fastest growing economy in the world ...... Is ur type that has been skiping all the thread concerning the present state of the economy under your mentally deranged messiah 9 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by CSTR2: 7:34am On Sep 09, 2015 |
udemzyudex:They want another 16years of trial and failure for the APC just like the PDP was a collosal failure until jonathan came and brought a little bit of optimism. And they insult biafrans for not wanting to share that same dark future with them. 5 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by biafranqueen: 7:35am On Sep 09, 2015 |
hinwazaka:this sums it up completely ![]() 4 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by Nobody: 7:37am On Sep 09, 2015 |
udemzyudex: Investors started running away from our stock market since the goat was sworn in. How come the stock market is currently down by 2.5 trillion today ( and falling) since the goat was sworn in? Keep decieving yourself. 4 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by biafranqueen: 7:38am On Sep 09, 2015 |
Abagworo:STOP IT!!! You are part of the problem nothing like failed administration you people are not yet tired of destroying this economy with your propaganda lying liars you people are wicked! 7 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by bjdon: 7:40am On Sep 09, 2015 |
ShowYourCertificate: My brother don't worry. He's body language will convince JP Morgan to keep Nigeria on the index. 2 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by chronique(m): 7:44am On Sep 09, 2015 |
You can imagine the comment made by that dude... So so sad the way some Nigerians think;ignorance is truly a disease. WombRaiders: 4 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by Whynotthetruth(m): 7:45am On Sep 09, 2015 |
Abagworo: Are you permanently configured to be a liar and sadist ![]() Which economy is being saved when businesses are closing shops or downsizing or placing embargo on employment?... Do you know the negative multiplier effect of these? 7 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by bnovative(m): 7:45am On Sep 09, 2015 |
Buhari's administration reminds me of a scene in Idi Amin. 1 Like |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by Nobody: 7:46am On Sep 09, 2015 |
hinwazaka: The banks are hurting bad and this is as a result of reckless borrowing by state governors who ended up struggling to repay loans they took for nothing on ground to show for it. These states took so much bank loans depriving genuine businesses much needed funds. Now that most of them could not pay, the banks had to increase lending. Now fast forward to the Duara administration and the bail out. Part of the bail out package was to renegotiate an extension on loan repayments for the useless thieving governors thus the banks will see less money flow back to them in a longer period. To make matters worse this useless govt provided much needed forex to offset the bail out plan. This is forex that would have serviced manufacturing sector which depends on imports. The likes of Aregberascal, amosun and fashole are the main problem . 5 Likes 1 Share |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by CSTR2: 7:46am On Sep 09, 2015 |
Ofcourse, you won't see the usual buhari fanatics here. They are somewhere else masturbating to buhari. 7 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by unclejb2(m): 7:47am On Sep 09, 2015 |
debeo:a country like China and Japan regularly devalue their currency to encourage export and discourage importation. 3 Likes |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by An2elect2(f): 7:47am On Sep 09, 2015 |
lincolnj88:You are not good with knowledge because you lack wisdom. I learnt it is by far better than all the distorted facts you have scrambled into your skull. The biggest economy in your school text book. I see how satisfied you and your friends are with with names than with results. Plus how one man supposedly put an end to your fast rising economy in just 100 days. You are very smart indeed |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by chernest2002: 7:48am On Sep 09, 2015 |
Is change naa lets live with it. 1 Like |
Re: ECONOMIC DISASTER!! Nigeria Kicked Out Of Bond Index by mathelo(m): 7:49am On Sep 09, 2015 |
Harsh times await this country as we have been kicked out of the Bond Index making it difficult to maintain government liquidity due to the capital controls by Emefiele and no Finance Minister to lay a solid fiscal policy. I fear about social unrest. Prophet of doom, is that the reason you see social unrest? Let me assure you that Nigeria Economy will in soonest time come stronger, then we will be celebrated for coming back. 1 Like |
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