Union Bank Rewards 452 Customers in UnionKorrect Draws

07/03/2025

Union Bank of Nigeria recently rewarded 452 UnionKorrect account holders with over N21 million during draws held at its Douglas Road Branch in Owerri, Imo State.

During the recent draw monitored and supervised by relevant regulatory bodies, 100 customers were awarded N25,000 each, 40 customers N50,000 each, and one customer won the grand prize of N500,000 in the UnionKorrect Regular category.

In the UnionKorrect Exclusive category, 75 customers won N100,000 each, 10 customers won N500,000 each, and one customer won the grand prize of N1 million.

The bank also rewarded 200 customers with N10,000 each, 24 customers with N20,000 each and the grand prize of N100,000 was won by one customer for saving in their UnionKorrect DeiDei accounts.

Reacting to the draw, the Bank’s Head of Elite Banking, Adenike Olokunbola, said: “Union Bank is happy to aid our customers in achieving their goals and dreams through campaigns like this one. Our UnionKorrect accounts give customers a sustainable avenue for meeting their future objectives with the bonus of being rewarded for consistently saving over time.”

The UnionKorrect savings product is a sub-account that allows holders earn interest rates while saving a fixed amount monthly for two years. Customers who consistently save in these accounts are eligible for the regular draws where they stand the chance to win cash rewards.

Stanbic IBTC Pension Managers Unveils Innovative Self-service Options to Enhance Client Experience

Business Journal

07/03/2025

In a significant move to streamline pension management and enhance customer experience, Stanbic IBTC Pension Managers, a prominent Pension Fund Administration firm, has announced the relaunch of its comprehensive suite of self-service options through an informative webinar session recently conducted. This forms part of the company’s ongoing efforts to empower clients by enlightening them on how they can conveniently leverage these tools to manage their pension accounts efficiently.

One of the self-service channels MyPension Portal, accessible via the firm’s website-www.stanbicibtcpension.com, offers customers a user-friendly platform to manage their pension details effortlessly. The portal enables users to submit requests to update personal information, such as date of birth, name, employer details, address, and phone number. Additionally, it facilitates easy requests for embassy letters related to travel and education, while providing the convenience of accessing and requesting statements at any time.

Furthermore by accessing the pension module on the Stanbic IBTC Mobile App, which is available for download on the Google Play Store and App Store, enables users to view their pension account balance, track contributions and investment performance, monitor recent transactions and contributions, and receive alerts for important pension account updates.

Customers who prefer SMS access can text “HELP” to the short code 30388 from their registered mobile phone to receive instructions on various tasks via SMS. Additionally, customers can use the Interactive Voice Response (IVR) by pressing 2 from the main menu after calling 0201276000. The IVR system assists with enquiries on pension balance, resetting the passcode, and requesting statements, among other services.

Olumide Oyetan, the Chief Executive of Stanbic IBTC Pension Managers, emphasised the firm’s dedication to transparency whilst improving the ease and efficiency of managing your pension fund. “The webinar session gave our customers the opportunity to understand and get acquainted with our self-service channels. Clients can enjoy the benefits of flexibility and independence,” he stated.

Oyetan further highlighted the firm’s dedication to leveraging technology to improve pension management for its clients, underscoring the availability of the self-service channels 24/7 for checking account balances, updating personal details, or making enquiries seamlessly.

“Our self-service platforms mark a significant milestone in Stanbic IBTC Pension Managers’ efforts to provide more accessible and dependable service. Through these user-friendly platforms, we aim to not only meet but exceed clients’ expectations,” Olumide said.

Leadway Group Sponsors +234Art Fair for Second-Year Running

Business Journal

07/03/2025

Leadway Group, one of Nigeria’s foremost non-banking financial services provider has proudly announced its sponsorship of the 2025 edition of the +234Art Fair for the second consecutive year.

This on-going partnership highlights Leadway’s commitment to nurturing Nigeria’s creative industry, celebrating exceptional artistic talent, and showcasing the nation’s rich cultural heritage.

Themed “Championing Patronage in Nigerian Art,” the +234Art Fair 2025 seeks to elevate Nigeria’s burgeoning art sector by providing a platform that supports emerging artists and encourages a deeper appreciation for art collections.

The fair will feature an immersive display of paintings, photography, and sculptures, offering the public a unique opportunity to engage with the latest works from Nigeria’s most promising artists and photographers.

Known for its dedication to excellence, Leadway Group has emphasized that this sponsorship reflects the brand’s broader mission to celebrate Nigerian heritage, empower local talent, and strengthen the country’s art industry. By supporting initiatives like the +234Art Fair, Leadway is playing a climactic role in shaping Nigeria’s cultural identity and vibrant creative ecosystem.

Speaking about the sponsorship, Aishat Bello-Garuba, Head, Corporate Services, Leadway Holdings, reiterated the company’s commitment to encouraging Nigerian artists and driving the growth of the nation’s art sector. “We recognise the immense value of Nigeria’s creative industry in shaping our cultural identity, driving innovation, and contributing to economic growth.

Following the resounding success of the inaugural +234Art Fair in 2024, we are delighted to continue our partnership, ensuring this platform remains a stage for artistic expression and community engagement. We eagerly anticipate the extraordinary talent that this year’s edition will showcase”, she said.

“At Leadway, we believe that art is not just a reflection of culture but a powerful force for unity and progress. This platform is a celebration of our deeply rooted identity and the boundless potential of our artists. We are proud to create a platform for these voices and inspire a deeper appreciation for the arts across our nation”, she added.

Leadway’s sponsorship goes beyond financial backing. It embodies the company’s core values and dedication to making a meaningful impact on Nigerian society.

As a trailblazer in Nigeria’s financial services sector, Leadway has consistently demonstrated its commitment to the country’s growth and development.

Ministries Set Up Joint Committee to Tackle Fiber Cuts During Road Construction/Rehabilitation

Business Journal

07/03/2025

The Federal Ministry of Works (FMoW) and the Federal Ministry of Communications, Innovation, and Digital Economy (FMoCIDE) have established a Joint Standing Committee on the Protection of Fiber Optic Cables to address the persistent issue of fiber optic cuts and damages caused by road construction and rehabilitation activities.

These disruptions have had a significant negative impact on telecommunications services across Nigeria.
The Joint Standing Committee on Protection of Fiber Optic Cables was inaugurated Tuesday 18th February at the Boardroom of the FMoW, by the Permanent Secretary, Engr. Olufunso Adebiyi, and his counterpart at the FMoCIDE, Engr Farouk Yusuf, with the attendance of the Executive Vice Chairman/Chief Executive Officer of the Nigerian Communications Commission, NCC, Dr. Aminu Maida. The Committee is comprised of key staff from the two ministries and the NCC.
The main assignment of the joint Standing Committee is to establish and maintain clear communication/co-ordination channels between the two ministries and the NCC in order to limit and prevent damage to Telecommunications Fiber Optic cables during road constructions or rehabilitation activities.

Engr. Adebiyi, while inaugurating the Committee, directed it to establish modalities to ensure the reduction of damage to deployed fiber optic cables resulting from road construction and maintenance activities, as well as vandalism which has caused severe incidences of service disruption across the country.

He said the Committee will serve as a co-ordinating body for all issues pertaining to the protection of fiber optic cables, before, during and after the completion of road constructions or maintenance activities, and will meet on a regular basis to discuss identified problems, agree on industry-wide solutions, set standard engagement processes and procedures, as well as share monthly performance reports.

“They are also expected to develop an instant communication mechanism to facilitate prompt communication and dissemination of information amongst all stakeholders,” he said.
He assured that going forward, the Ministry will ensure that the placement of fiber cables will be considered in the planning, design and construction of the country’s road networks, and would include providing for ducts during constructions.

Engr. Adebiyi further stated that the committee will work closely with all Federal Controllers of Works (FCW) to give attention to the task of protecting this sensitive infrastructure during the planning and implementation stages of projects across the roads in the country, while aligning with the telecom operators on all ongoing and future projects.
Engr. Farouk Yusuf, in his remarks, highlighted the significance of fiber optics cables to the country’s economy, stating that fiber networks are the backbone of Nigeria’s digital economy, enabling the seamless delivery of both fixed and mobile broadband services essential for nationwide connectivity, economic growth, and technological innovation.
He noted that the Committee’s work is crucial to ensuring that telecommunication services are not hampered by the work of construction companies.
The EVC/CEO of NCC, Dr. Aminu Maida, emphasised the significance of the Committee’s mandate, noting that it has the potential to significantly reduce service disruptions across Nigeria’s telecommunications industry.
“This is a pivotal moment for the telecommunication industry and its customers. Fiber networks are the foundation of Nigeria’s broadband ecosystem, providing the essential high-capacity backhaul required to deliver ultra-fast 4G and 5G speeds, as these next-generation mobile technologies rely on fiber infrastructure to ensure low latency, high reliability, and seamless data transmission.

“Last year, we experienced over 50,000 fiber cuts incidents across the country of which around 30,000 were attributed to Federal and State Road construction activities. In the extreme, some of these incidents had led to major network outages like the February 2024 nationwide MTN network outage.

“A key contributor to the increasing number of fiber cuts attributed to road construction activities is the lack of an efficient handshake mechanism between road construction companies and operators of the fiber infrastructure.
“I am optimistic that the work of this Committee will lead to a significant reduction in fiber cuts attributed to road construction which would then reduce network outages, avoid unnecessary expenditure on repair works and reduce the need to put redundant routes in place to serve as alternatives whenever there are outages due to fiber cuts.
“This initiative is not just for the benefit of the telecommunications industry but for all Nigerians. Every time a fiber cut occurs, consumers experience service disruptions. The industry is forced to invest in costly redundancy measures, but if we can prevent these avoidable disruptions, operators can redirect resources towards network expansion and infrastructure improvement,” Dr. Maida stated.

How MTN’s Financial Woes Highlight the Challenges of Doing Business in Nigeria

Business Journal

07/03/2025

By Elvis Eromosele

Doing business in Nigeria is tough. While we say this all the time, nothing makes it more real than the release of annual financial reports.

Take MTN Nigeria’s latest report, it shows the bruising realities faced by businesses in the country today.

Take a look at the numbers.

MTN Nigeria generated a staggering ₦3. 36 trillion in revenue in the year ended December 31, 2024, up 36.03 per cent from N2.47 trillion in 2023. Yet, it is regarded as a bad year, because it reported a loss of N400.4 billion after tax for the financial year. This was due to a net foreign exchange loss of N925.36 billion from ₦740.43 billion in 2023.

The upshot is that this financial turmoil shaved 24. 2 per cent off MTN Nigeria’s market capitalisation, dragged down its share price to ₦200, and sent shareholders into shock. I know, I’m a small-time shareholder and it hurts.

The sad news is that in response, the company has decided not to declare a final dividend for the year which begs the question: Should MTN Nigeria pay dividends despite its losses?

If we take a step back, we can see that doing business in Nigeria has been extremely challenging over the last three to four years. The country’s continued economic instability, with inflation rates of over 30 per cent, devaluation of the currency and erratic foreign exchange policies, has put tremendous pressure on companies. For MTN Nigeria, which has substantial dollar-denominated obligations, these economic headwinds have eroded capital at an unprecedented pace.

But this is not just an MTN Nigeria problem, it is a telecoms industry-wide problem. The entire industry is facing rising costs of doing business. Diesel to power base stations has become very expensive. Infrastructure costs remain high, and tower lease agreements are highly sensitive to forex movements. Regulatory uncertainties, including unresolved issues such as the USSD debt dispute with Nigerian banks, continue to dampen financial performance. And of course, there are the perennial issues around the right of way and multiple taxation.

Sources at the company said that, in light of these harsh realities, the board of MTN Nigeria decided against paying a final dividend for the 2024 financial year. This decision, while understandable, will be a tough pill for investors to swallow, given that dividends are a form of return on investment, and investors rely on them.

The reality is that dividend payments are a key factor in investor confidence. By not paying out dividends, MTN Nigeria risks alienating shareholders and stifling the enthusiasm in the stock market. Experts believe that this decision may have played a role in the company’s share price drop.

However, paying out dividends when losses are being recorded would raise governance issues. Critics say paying out dividends when the company is in the red would erode its balance sheet and reduce its liquidity for expanding its business and regaining profitability.

But there is a compelling counterargument to be made. MTN Nigeria’s operating profit of ₦778. 24 billion was still up by 0. 6 per cent from 2023. This confirms the strength of its core business in the face of external financial pressures. A modest dividend payout, perhaps at a lower percentage, would be a reassuring signal to investors without compromising long-term viability.

The firm’s focus on network expansion and digital services (including its MoMo Payment Service Bank) is well-placed to underpin future growth. Yet the company should push hard for more local currency-denominated contracts to reduce forex exposure. Its renegotiation with IHS Towers to cut dollar-based lease payments is a good example. The deal with ATC is naira-based.

In addition, the government needs to take urgent steps to stabilise the exchange rate and tackle inflation as businesses cannot operate in an environment of such economic uncertainty. Clearer regulation and policy consistency are also needed, so companies like MTN Nigeria can build long-term growth plans and not be surprised by sudden policy changes.

The bottom line is that MTN Nigeria’s financial woes are indicative of the broader economic challenges affecting businesses in Nigeria. The decision to freeze dividends is a sound one in the short term, but the company will need to tread carefully to balance financial recovery with retaining investor confidence.

A well-thought-out dividend policy, combined with aggressive cost-cutting and revenue diversification efforts, will be critical in weathering this storm.

In the end, Nigeria’s business environment needs urgent structural reforms. Without them, even the most resilient corporations will continue to struggle, and shareholders will bear the brunt of the losses.

Eromosele, a corporate communication professional and public affairs analyst, wrote via [email protected]

RSIPA Forum Seeks Single Tax Window, Partnerships to Drive Growth in Rivers State

Business Journal

07/03/2025

Dr. Chamberlain Peterside, Director-General, Rivers State Investment Promotion Agency (RSIPA)-2^nd Left; Mr. Tony Epelle, Managing Consultant & CEO, SAMUELSON Advisory Services (2^nd Right) and other participants at the interactive session for MDAs and OPS organised by RSIPA in Port Harcourt.

An interactive session organised in Port Harcourt by the Rivers State Investment Promotion Agency (RSIPA) has called for a single tax window, competitiveness and strategic partnerships to ensure growth and development in Rivers State.

The participants at the forum said there is need to curb multiple taxation, especially at the local government level and harmonisation of taxes in the State to encourage local and foreign investment.

Other major drivers of inclusive development canvassed at the session include:

Export logistics
The optimal use of the high seas for effective participation in the Blue Economy
Timely processing of land documents
⁠Effective planning for waste & environmental management
RSIPA should be part of creating an enabling environment for businesses and investment

In his closing remarks, the Chairman of Rivers State Investment Promotion Agency (RSIPA), Dr. Lawrence Fubara Anga said the Government and people of Rivers State must hold their destiny in their hands to drive sustainable development of the State.

“We cannot continue to be a transit point. We must build Rivers State beyond oil & gas.”

The programme was attended by Elder Statesmen, State Commissioners, Permanent Secretaries, Representatives of Government Agencies, Legal Practitioners, Bankers, Labour Leaders, Management Consultants & major organisations in Rivers State.

Goodwill messages were received from the President of Port Harcourt Chamber of Commerce; President of Bonny Chamber of Commerce and the Bank of Industry (BOI).

The objectives of setting up RSIPA include:

Initiate, promote, facilitate, co-ordinate and create a conducive environment for investments and development in the State through Greenfield, Brownfield, Public-Private Partnerships, privatisation. commercialisation of State-owned assets and concessions, enterprise development schemes and employability programmes
Encourage and promote domestic, national and foreign investments in Rivers State to effectively strengthen and diversify the economy of Rivers State
Promote large-scale production, economic growth and development, realise self-sufficiency and self-reliance; and penetrate direct and indirect employment for Rivers’ people and contribute to economic empowerment and eradication of poverty in the State.

Rivers State Investment Promotion Agency Holds Interactive Session with OPS, MDAs in PH

Business Journal

05/03/2025

The Rivers State Investment Promotion Agency (RSIPA) will tomorrow (March 6, 2025) hold an interactive session in Port Harcourt, Rivers State with leaders of the Organised Private Sector (OPS) and MDAs on the ease of doing business in Rivers State.

Mr. Tony Epelle, the Managing Consultant & CEO, SAMUELSON Advisory Services said the vision of RSIPA is to position Rivers State as the leading investment destination in Nigeria, fostering sustainable economic growth and development through strategic partnerships and innovative investment solutions.

Epelle said the session tomorrow aims to attract, facilitate, and retain investments in Rivers State by providing efficient, transparent, and investor-friendly services, while promoting sustainable development and enhancing the state’s economic competitiveness.

To be able to achieve this vision of His Excellency, the Executive Governor of Rivers State, RSIPA has embarked on a number of initiatives including reaching out to its stakeholders and facilitators of businesses and investments in the State.

Accordingly, the investor and stakeholder parley being hosted by His Excellency-An Evening with the Organised Private Sector and MDAs in Rivers State tomorrow in Port Harcourt will highlight the initiatives and requirements towards the Ease of Doing Business in the State.

It will also be a platform for the public presentation of the Agency’s One-Stop-Centre portal, which will showcase the seamless process that has been developed for potential and existing investors in the State to be able to navigate the business requirements and facilitate the entry of new investors into the State.

It will be a unique B2G interactive session, where His Excellency will also demonstrate his commitment to attracting new investments by personally receiving guests and giving them the assurances they require that Rivers State is open for business and investments.

According to Epelle, the target audience for the session would be two-fold:

Major businessmen and investors in Rivers State, as well as members of the Organised Private Sector such as the Port Harcourt Chamber of Commerce
Officials of Federal and Rivers State Government Ministries, Departments and Agencies (MDAs) involved in facilitation of investments, land acquisition, taxation etc.

“This is just one of several types of meetings, programmes, roadshows, summits and campaigns being planned by RSIPA in the next few months and in the years ahead. These programmes are at the heart of the investment promotion and facilitation mandate of the Agency and will be sustained continuously.”

According to the programme, Dr. Chamberlain Peterside, Director-General, Rivers State Investment Promotion Agency (RSIPA) will make a presentation on the Ease of Doing Business in Rivers State while Dr. Lawrence Fubara Anga, the Chairman of RSIPA will welcome participants to the programme.

The Rivers State Investment Promotion Agency (RSIPA) was set up in 2024 by an Executive Order issued by His Excellency, Amuopusenibo Siminalayi Fubara, GSSRS, the Executive Governor of Rivers State.

The objectives of setting up RSIPA include:

Initiate, promote, facilitate, coordinate and create a conducive environment for investments and development in the State through Greenfield, Brownfield, Public-Private Partnerships, privatisation. commercialisation of State-owned assets and concessions, enterprise development schemes and employability programmes
Encourage and promote domestic, national and foreign investments in Rivers State to effectively strengthen and diversify the economy of Rivers State
Promote large-scale production, economic growth and development, realise self-sufficiency and self-reliance; and penetrate direct and indirect employment for River’s people and contribute to economic empowerment and eradication of poverty in the State.

Veritas Kapital Assurance Recognised Among Nigeria’s 50 Fastest-Growing Businesses

Business Journal

04/03/2025

Veritas Kapital Assurance Plc has been honored as one of 50 Fastest Growing Businesses in Nigeria 2025 at an exclusive event hosted by Business Times Newspaper on February 28, 2025 in Lagos.

The event organised by Business Times Newspaper Limited, a leading publication renowned for its in-depth analysis of Nigeria’s business landscape, celebrated companies that have demonstrated remarkable growth, resilience, and industry leadership. The awards recognise businesses driving economic expansion and setting benchmarks in their respective sectors.

Veritas Kapital Assurance was presented with a plaque and certification award by Business Times Newspaper, acknowledging its outstanding performance and contributions to the insurance sector. Representing the Managing Director, Ify Noah, Group Head, Financial Institutions, delivered a speech highlighting the company’s journey, strategic expansion, and commitment to financial security.

She was accompanied by Oyeleye Adewoye, Team Lead, Business Development (Oil and gas), who further emphasised the company’s dedication to growth and industry excellence.

This recognition, presented by Business Times Newspaper, reaffirms Veritas Kapital Assurance’s position as a key player in Nigeria’s insurance industry, committed to delivering innovative solutions and fostering economic stability.

ICAN Visits Union Bank of Nigeria for Strategic Partnership

Business Journal

04/03/2025

The Institute of Chartered Accountants of Nigeria (ICAN) recently paid a courtesy visit to Union Bank of Nigeria’s Head Office. This visit marks a significant step in fostering a stronger relationship between the two esteemed institutions.

During the visit, ICAN and Union Bank representatives engaged in fruitful discussions to explore potential areas of collaboration and member’s growth within the Bank.

The Union Bank team was led by the Chief Financial Officer, Mr. Oluwagbenga Adeoye FCA, and other notable UBN representatives, including Dr. Abigail Duopama-Obomanu, Chief Compliance Officer, Mr. Ali Kadiri FCA, Head Corporate Bank and Mr. Victor Ikeneku FCA, Head, Business Assurance. The ICAN team was led by the ICAN President, Chief Davidson C.S. Alaribe FCA, Dr. Olumide Adedeji FCA, President of Lagos District and other distinguished members.

The President of ICAN, Chief Davidson C.S Alaribe, appreciated the warm reception and highlighted the importance of such engagements in promoting professional excellence and ethical standards within the accounting and finance sectors.

The Chief Financial Officer of Union Bank, Mr. Oluwagbenga Adeoye FCA, emphasised the bank’s commitment to supporting initiatives that enhance the professional development of accountants and ICAN members.

This visit underscores ICAN and Union Bank’s mutual commitment to advancing the accounting profession and contributing to the overall growth of Nigeria’s financial sector.

NGX Group Reports 157.3% Surge in Profit Before Tax to N13.6bn in 2024

Business Journal

04/03/2025

The Nigerian Exchange Group Plc (NGX Group) has announced its audited financial results for the year ended 31 December 2024, delivering a record-breaking profit before tax (PBT) of N13.6 billion, marking an impressive 157.3% year-on-year growth.

This strong performance was driven by robust revenue expansion, strategic cost optimization, and increased market participation, reflecting the Group’s resilience and financial strength.

The Group’s gross earnings surged by 103.2% to N24.0 billion in FY 2024, up from N11.8 billion in the previous year, propelled by significant growth across key revenue streams:

Transaction fees rose 64.0%, driven by heightened market activity.
Listing fees increased by 397.1%, reflecting stronger capital market participation.
Technology related income grew by 105%, reflecting the success of the group’s digital transformation efforts
Other fees recorded a 174.8% growth, reinforcing the Group’s diversified revenue base.
Treasury investment income climbed 45.6%, highlighting NGX Group’s effective asset management.
Market data revenue grew by 100.5%, contributing to a 102.6% rise in other income, which now accounts for 29.6% of gross earnings.

NGX Group Declares Highest Dividend in its History

In recognition of this exceptional performance, the Board of Directors has approved a final dividend of N4.4 billion, translating to N2.00 per share, the highest dividend payout in the Group’s history. This decision reaffirms NGX Group’s commitment to delivering value to shareholders while maintaining a strong capital position.

Speaking on the results, Group Chairman, NGX Group, Alhaji Dr. Umaru Kwairanga stated: “These results mark a pivotal moment in NGX Group’s post-demutualisation growth journey, reinforcing investor confidence in our long-term vision. The approval of a record N4.4 billion dividend demonstrates our unwavering commitment to rewarding shareholders while positioning NGX Group as a key driver of capital market development. As we continue to invest in market infrastructure and innovation, we remain focused on creating sustainable value for all stakeholders.”

“The NGX Group under my leadership is focused on harnessing the entrepreneurial and innovative spirit of Nigeria’s private sector to drive the economy to greater heights.”

Strategic Milestones Driving Growth

NGX Group’s outstanding financial performance in 2024 reflects the success of its strategic expansion and innovation agenda, including:

The launch of NGX Invest, which has facilitated N1.845 trillion in capital raises for the banking sector, enhancing liquidity and investor participation.
Expansion into new markets, marked by a strategic investment in the Ethiopian Securities Exchange (ESX), reinforcing the Group’s regional footprint.
Workforce optimisation and operational efficiency initiatives, leading to improved cost management and productivity.

Group Managing Director/Chief Executive Officer, Mr. Temi Popoola, commented: “NGX Group’s remarkable performance in 2024 reflects our strategic focus on execution, operational excellence, and innovation. The 157.3% increase in profit before tax underscores the strength of our execution strategy and the dedication of our team. By leveraging technology, expanding market data solutions, and strengthening our partnerships, we have built a more resilient and diversified business model that positions us for sustained growth.”

“Looking ahead, we remain committed to deepening market participation, broadening investment opportunities, and driving efficiency across the capital market ecosystem. We will continue investing in innovation, enhancing market infrastructure, and developing new platforms that improve accessibility and attract a wider range of investors. Through these efforts, we are shaping NGX Group into a leading force in Africa’s financial landscape, delivering sustainable value for all stakeholders.”

Positioned for Sustainable Growth

With a solid capital base, strong revenue diversification, and a commitment to innovation, NGX Group remains well-positioned to drive capital market development in Nigeria and across Africa. By continuously enhancing market infrastructure, expanding investment opportunities, and fostering financial inclusion, NGX Group is reinforcing its role as a key enabler of economic growth and prosperity.

Reinsurance: The Safety Net for Sustainable Insurance Growth in Africa

Business Journal

04/03/2025

Insurance business has its elements of risk just as any other sector of the economy. And as insurance firms in Africa strive for sustainable growth of their businesses in volume and revenue, they also confront a myriad of human and non-human challenges on the road to their corporate goal.

In such uncertain market circumstances, reinsurance becomes the safety net for underwriters to leverage on to upscale market challenges and increase both market share and bottom-line.

In this report, Prince Cookey of Business Journal Nigeria examines the critical role of reinsurance in growing sustainable insurance business in Africa.

Reinsurance is a key factor in sustainable growth of the insurance industry in Africa.

It supports and assists insurance operators on the continent to drastically reduce their financial risk and exposure in insurance business.

This function helps operators in the insurance sector to spread their risks, minimise losses in terms of large claims payout, remain solvent and enjoy sustainable growth in the market.

In a speech at a conference on The Role of Reinsurance in Promoting Healthy Markets on September 5, 2024, Petra Hielkema said:

“It is indisputable that reinsurance plays an important role in the insurance industry and broader economy by providing risk management solutions that promote healthy markets and support infrastructure development, sustainability, financing, and cyber protection.”

Hielkema added that reinsurance inherently possesses a global dimension, which is vital for the stability and growth of international markets. And with their global reach, reinsurers provide substantial capital and expertise, making it possible for insurers to underwrite larger and more varied policies. This, in turn, fosters market innovation and stability.

“In 2023, reinsurance accounted for 18.8% of the total gross written premiums within the insurance and reinsurance sectors across the EEA, amounting to 229.5 billion euro. This indicates a broader trend toward increased risk cession. And it is particularly evident in the EEA, where 62% of reinsurance transactions take place within the EU itself, while the remaining 38% are conducted with third countries (20.7% with countries with equivalent regulatory regimes and 17.3% with non-equivalent). The US and the UK remain significant partners here, accounting for 14.6% of the total.”

The African Reinsurance Market

A report by Atlas magazine states that ‘Africa, which accounts for just 1.5% of global premium, has the highest number of reinsurers per continent, with 51 entities by the end of 2023. By comparison, the American and European continents, with 39 and 26 reinsurers respectively, underwrite 40.2% and 43.4% of global reinsurance premiums.’

Main indicators of the African reinsurance market

Figures in millions USD

	2014	2018	2022	2023	2014-2023 evolution ⁽¹⁾
Gross premiums	3 690	4 471	5 815	5 712	5%
Africa’s share of global reinsurance business	1.78%	1.67%	1.60%	1.51%	-1.80%
Share capital	1 079	1 262	1 613	1 579	4.30%
Shareholder’s equity	2 696	3 351	3 611	3 983	4.40%
Net result	347	244	303	496	4%
ROE	12.90%	7.30%	8.40%	12.50%	-0.40%

⁽¹⁾ Average annual growth rate

Challenges of the African Market

According to Atlas magazine, African reinsurers are operating in a harsh socio-economic environment marked by inflation, political instability, increased competition and the depreciation of local currencies against the dollar. For instance, in just one year, the South African Rand, the Nigerian Naira and the Kenyan Shilling have lost respectively 7.21%, 50.22% and 21.37% of their value against the US dollar.

Despite the steady increase in African reinsurers’ equity capital in recent years, the capacity available to local ceding companies remains low. They are struggling to absorb specialty risks and the major risks generated by industrialisation and infrastructure development.

Fitch Ratings said in a September 9, 2024 report that African reinsurers’ business concentration risk weighs on their credit profiles, with dependence on a few commercial sectors, leaving reinsurers vulnerable to external shocks.

The Growth Prospects
On growth prospects for reinsurers in Africa, Fitch said: “Growth opportunities into new lines of business and new geographies are emerging, and there is significant scope for growth of facultative reinsurance covers for complex insurance risks to their cedents. Combined with more developed underwriting skills, this may lead to a better risk diversification and ultimately, stronger credit quality of these player. The recent market hardening of the global reinsurance market may create an opportunity for local African reinsurers as global carriers have redirected more capital to developed markets, easing the competitive pressure in Africa.”

Sovereign Trust Insurance Hosts 8th Open Golf Tourney March 7

Business Journal

03/03/2025

The stage is set for the 8th edition of the Sovereign Trust Insurance Plc Open Golf Tournament in the ancient city of Ibadan, Oyo State.

The event is scheduled to hold from March 7 – 9, 2025, at the Ibadan Golf Club, Onireke Reservation Area, Ibadan, Oyo State. The 3-day tournament is expected to bring together some of the country’s top golfers from different Golf Clubs in the country both at the Amateur and Professional levels in the male and female categories to be competed for.

The captain of Ibadan Golf Club, Mr. Seyi Alaba expressed great appreciation to the Management of Sovereign Trust Insurance Plc for staying true to its promise of sponsoring the tournament on an annual basis.

He said he is very optimistic that this year’s tournament will be far thrilling and exciting than the last edition. He enjoined all golf enthusiasts across the country to make the ancient city the converging point during the 3-day tournament.

According to him, “Sovereign Trust Insurance Plc has consistently been leading the pack amongst insurance companies in the country in promoting sporting activities at all levels and urged more participation from other corporate organisations in advancing the game of golf and other sports in order to further enhance the human capacity in the burgeoning sports industry in the country. Conclusively, he stated that the intervention of Sovereign Trust Insurance Plc in sports development in Nigeria cannot be undermined in any regard.

The company’s spokesperson and Head of Corporate Communications and Investor Relations, Mr. Segun Bankole said, the underwriting firm will not relent in any way in giving back to the society through different sporting and recreational platforms of this nature in reinforcing its corporate social responsibility stance in line with its corporate philosophy. He further mentioned that adequate arrangements have been put in place to ensure a successful and entertaining tournament.

While commenting, the Managing Director/CEO, Mr. Olaotan Soyinka stated that “the gesture is a further indication of the company’s affirmed commitment to the development of sports in the country”. In his words, “we are resolute in our commitment to the ideals of promoting development in all areas of human endeavours as much as we can accommodate, which explains why our CSR philosophy is hinged on Health, Sports and the Community, and this to us, is all-encompassing”.

Just recently, Sovereign Trust Insurance Plc clocked 30 years in the Nigerian Insurance landscape in the country.

Since inception, the company has consistently maintained the posture of a highly responsible and relevant brand in the business of underwriting risks and has also carved a niche for itself in the area of underwriting special risks, especially in the oil and gas sector, (Energy), making it one of the most preferred underwriters by many oil conglomerates both in the upstream and downstream space.

Indeed, it has been 30 years of unbroken trust between the underwriting firm, the insuring public and Nigeria as a whole.

Stanbic IBTC Bank PMI: Output Growth Accelerates to Fastest in a Year

Business Journal

03/03/2025

February data pointed to improved growth momentum in the Nigerian private sector. Rates of expansion in output, new orders and purchasing activity all quickened as demand picked up and inflationary pressures showed signs of moderating.

That said, with costs continuing to rise sharply, some companies were reluctant to hire additional staff and employment increased only marginally. The headline figure derived from the survey is the Stanbic IBTC Purchasing Managers’ Index.

Readings above 50.0 signal an improvement in business conditions on the previous month, while readings below 50.0 show a deterioration. The headline PMI rose to 53.7 in February from 52.0 in January, signalling a solid monthly improvement in business conditions, and one that was the most pronounced since January 2024.

Muyiwa Oni, Head of Equity Research West Africa at Stanbic IBTC Bank commented: “Activity in Nigeria’s private sector improved for the third consecutive month with the latest PMI reading of 53.7 points in February at its highest level since January 2024 (54.5 points). A relatively stable exchange rate and moderation in fuel prices are supporting the ease in inflationary pressures, which in turn helped strengthen consumer demand in the month.

Thus, new orders increased for the fourth consecutive month, with survey participants noting a greater desire on the part of customers to commit to new projects. In line with the increase in new orders, output also increased sharply in February as the output index settled at 56.9 points from 53.7 points in January. That said, input price inflation eased further in February to its weakest level since April 2024.

However, about 39.0% of respondents increased their output prices in the month, with less than 1.0% lowering their charges. “Nigeria’s real GDP growth improved further in Q4:24, rising by 3.84% y/y, from 3.46% y/y in Q3:24. Growth in Q4:24 was the highest since Q4:21 when this economy grew by 3.98% y/y in real terms. Q4:24 GDP now brings 2024 full-year growth to 3.40%, from 2.74% in 2023, supported by both the oil and the non-oil sectors. In terms of contributions to the overall GDP growth in Q4:24, Services continue to dominate with a 79.0% contribution to the country’s GDP growth (same as Q3:24), followed by Agriculture with an 11.9% contribution while Industries contributed the remaining 9.0% of the real GDP growth in the review quarter.

“The non-oil sector of the Nigerian economy is now poised to improve further in 2025 as the lingering FX stability and improved FX liquidity bodes well for the real sector activities, including manufacturing, trade and real estate. This, in addition to the anticipated reduction in borrowing costs should further support the growth of the non-oil sector in 2025.

Accordingly, we project the non-oil sector to grow by 3.4% y/y in 2025. Therefore, we still expect the Nigerian economy to grow by 3.5% y/y in real terms in 2025 with the Q1:25 growth print forecasted to settle at 3.55% y/y.”

The health of the private sector has now strengthened in three consecutive months. Output increased for the third month running in February. Moreover, the latest expansion was sharp and the fastest since January 2024. Respondents linked the rise in activity to higher sales amid an improving demand environment. Output was up in agriculture, manufacturing, services and wholesale & retail, although in wholesale & retail the rise was only fractional. New orders also increased at a marked pace, with the latest rise the most pronounced in just over a year. Customers were reportedly more willing to commit to new projects.

Signs of strengthening demand coincided with moderating inflationary pressures. Overall input costs increased at the slowest pace in ten months, although the pace of inflation remained elevated amid higher prices for raw materials and a rise in staff costs that was the sharpest since March 2024.

In fact, cost pressures acted to limit the pace of job creation in February. Employment rose only marginally and at the slowest pace in three months, despite marked expansions in output and new orders.

Nevertheless, backlogs of work ticked down. In line with the picture for input costs, the pace of output price inflation remained sharp in February, but eased to a seven-month low. While employment rose only marginally, companies ramped up their input buying during the month, with the pace of growth the steepest since May 2023. Stocks of purchases also increased at a faster pace.

Despite rising demand for inputs, suppliers’ delivery times shortened to the greatest extent in seven months as prompt payments led to the speedy delivery of goods. Although companies were optimistic that output will increase further over the next 12 months, sentiment dipped in February and was below the series average.

Plans to expand businesses through the opening of new plants and increased export operations were among the factors supporting optimism.

Rex Insurance Earns Support from Brokers for Business Partnership

Business Journal

03/03/2025

Rex Insurance has been lauded by the President of the Nigerian Council of Registered Insurance Brokers (NCRIB), Prince Babatunde Oguntade, as a financially strong, reliable and trustworthy insurer worthy of patronage and support of the Broker Community in Nigeria.

He made this pronouncement at the February Edition of the Members’ Evening of the NCRIB which held on the 25^th of February 2025, the NCRIB House in Lagos. The esteemed event had in attendance over 250 insurance brokers, alongside industry professionals and stakeholders, who came together to celebrate the achievements of NCRIB members and promote collaboration and unity within the insurance sector.

Speaking at the event, the Managing Director/Chief Executive, Rex Insurance Limited, Mrs. Ebelechukwu Nwachukwu stated that as a leading provider of innovative insurance products, dedicated to supporting initiatives that enhance growth and foster positive collaborations, Rex Insurance is committed to delivering exceptional service to its clients and brokers.

According to Mrs. Nwachukwu “we have strengthened our internal structures to ensure that claims are handled with speed because we realise that this is the main reason we are in business, and we will ensure it is sustained”.

Speaking further, she added that “the human capital structure of the company has also been beefed up with the recent appointment of the Executive Director, Technical, among others who are already adding value to our operations and systems, for the benefit of our esteemed customers. We have also increased our capacity to do more volume businesses as evidenced by the increase in our reinsurance treaty across all classes of business. Rex Insurance is well capitalized, has a robust balance sheet and we are here today, asking the broker community to support us, give us more businesses and let us all grow together.”

Also speaking at the Members’ Evening, the Executive Secretary of the NCRIB, Mr. Tope Adaramola said that its very symbolic that Rex is sponsoring the first members evening of the year, as the company is indeed the first insurance company in Nigeria.

The evening was attended by distinguished guests, including Council Members of the NCRIB, 2 Past Presidents, senior executives from Rex Insurance, including the Executive Director, Business Development Mr. Sunny Uwagboi, Executive Director, Technical, Mrs. Adesola Akintayo, Chief Financial Officer, Mr. Abayomi Kayode.

Other staff in attendance include the Head Claims, Mr. Adeseye Ajibulu; Head Underwriting, Mr. Kazeem Sulaimon and other senior staff from the company.

The event featured an insightful presentation from the MD/CE of Rex Insurance, titled “Doing Business with Rex Insurance – 2025 and beyond, and also offered networking opportunities for brokers to connect with relationships with representatives from Rex Insurance.

The Chairman of NCRIB, Prince Babatunde Oguntade expressed appreciation to Rex Insurance for their sponsorship, which made the NCRIB Members’ Evening a resounding success. He mentioned that the unwavering support and commitment of Rex Insurance to the industry aligns seamlessly with their mission to elevate the standards of professionalism within the insurance sector.

The event was a celebration of the achievements of NCRIB members and a reinforcement of the key relationships that facilitate the growth of the Nigerian insurance market. Rex Insurance, known for its innovative approach and dedication, is focused on fostering collaboration and enhancing the satisfaction of its partners and clients.

About Rex Insurance Limited (Rex)

Rex Insurance Limited (Rex) is licensed by the National Insurance Commission (NAICOM) to offer the full range of general and special risks insurance products to the insuring public.

With decades of experience in the Nigerian market, Rex Insurance has an enviable reputation for technical competence and financial strength.

With a vision of being the “Preferred Nigerian Insurance Company”, our strategic direction within the next 5 years is to focus on growth and profitability with the aim of growing the company’s gross premium written and be amongst the Top-Top-Tier general insurance companies in the market.

Operating from twelve (12) business locations nation-wide to ensure maximum outreach and accessibility, we have an unwavering dedication to our core values of Resilience, Efficiency, eXellence, Integrity & Teamwork (REXIT).

Sales Superstars Shine: Prudential Zenith Life Honors Top Achievers at Gala Night

Business Journal

25/02/2025

Prudential Zenith Life Insurance hosted its annual Sales Gala Night, an evening of glitz and glamour dedicated to honoring exceptional sales staff who have met and exceeded their targets.

The event celebrated the company’s commitment to excellence and recognised the outstanding contributions of its top performers who are helping its customers meet their wealth and protection goals. The evening’s highlight was the acknowledgment of the Diamond and Emerald category winners, a group of esteemed sales professionals who have exemplified exceptional dedication and outstanding performance.

As a token of appreciation for their hard work, these top achievers will be rewarded with an all-expenses-paid trip to Kuala Lumpur, Malaysia, reflecting Prudential Zenith Life Insurance’s commitment to incentivizing excellence and fostering a culture of high performance.

Afolabi Lawal, Executive Director and Chief Financial Officer of Prudential Zenith Life Insurance, expressed his enthusiasm about the event, affirming our excitement at celebrating our top-performing salespeople, whose hard work and devotion have greatly aided in our success. Their accomplishments serve as a testament to the high standards that Prudential Zenith Life Insurance maintains.

At Prudential Zenith Life Insurance, we empower our team and deliver exceptional service to our customers. Our passionate, dedicated employees are the driving force behind our ongoing success and growth.

About Prudential Zenith

Prudential Zenith Life Insurance Ltd (PZL) is a fully owned subsidiary of Prudential Plc, following Prudential Plc’s acquisition of a 100% shareholding as of September 26th, 2024. It has become one of the most capitalised companies in the Nigerian insurance industry.

With a gross written premium of N6.3Bn as of December 2022, PZL offers a wide range of individual products, including savings and investment-linked products, endowment, and protection plans designed to meet the needs of individuals and their families.

For corporate clients, the company provides Group Life, Key-Man Assurance, Credit Life, School Fees Protection, and Mortgage Protection, ensuring comprehensive coverage for the welfare of clients’ employees and families.

About Prudential Plc

Prudential plc provides life and health insurance and asset management in 24 markets across Asia and Africa. Prudential’s mission is to be the most trusted partner and protector for this generation and generations to come, by providing simple and accessible financial and health solutions.

The business has dual primary listings on the Stock Exchange of Hong Kong (2378) and the London Stock Exchange (PRU). It also has a secondary listing on the Singapore Stock Exchange (K6S) and a listing on the New York Stock Exchange (PUK) in the form of American Depositary Receipts.

It is a constituent of the Hang Seng Composite Index and is also included for trading in the Shenzhen-Hong Kong Stock Connect programme and the Shanghai-Hong Kong Stock Connect programme.

Prudential is not affiliated in any manner with Prudential Financial, Inc. a company whose principal place of business is in the United States of America, nor with The Prudential Assurance Company Limited, a subsidiary of M&G plc, a company incorporated in the United Kingdom.

In Africa, Prudential operates in eight countries namely Cameroon, Côte d’Ivoire, Ghana, Kenya, Nigeria, Togo, Uganda, Zambia and for almost ten years, it has offered affordable insurance and health solutions. Today, it covers over 2.2 million lives through a distribution network of more than 17,000 agents and 1700 bank branches.

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