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Nigeria, ECOWAS map out plastic waste management plan

Democracy in Nigeria is democracy for sub-region, continent…..President ECOWAS Commission 

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CBN Cuts T-bill Rate Amid N3.63tn Demand Investors are increasingly positioning for longer-term returns in Nigeria’s fixed-income market, with the latest treasury bills auction showing an overwhelming preference for the one-year government security. At the Central Bank of Nigeria’s (CBN) primary market auction on Wednesday, investors submitted N3.63tn for the 364-day T-bill, representing 95.9 per cent of the N3.79tn total bids received across the three maturities. The demand came despite the CBN lowering the stop rate on the one-year instrument by 44 basis points to 17.15 per cent, from 17.59 per cent at the previous auction. The auction results point to a significant shift in investor appetite towards longer-dated government securities, even as demand for shorter-tenor instruments remained subdued. The CBN had offered N700bn across the three maturities, comprising N100bn each for the 91-day and 182-day bills and N500bn for the 364-day bill. However, total subscriptions reached approximately N3.79tn, more than five times the amount offered. The 364-day instrument was the clear outlier at the auction, receiving bids equivalent to 7.26 times the amount offered. The CBN ultimately allotted N638.19bn, exceeding the N500bn offer by N138.19bn. Despite the additional allotment, only about 17.6 per cent of total bids submitted for the instrument were accepted. Investors quoted yields between 16.00 per cent and 19.05 per cent, but the CBN settled at 17.15 per cent, suggesting that the level of demand allowed the regulator to reject more expensive bids. The development is significant because the CBN achieved a lower borrowing rate even after receiving exceptionally strong demand for the security. The contrast was stark at the shorter end of the curve. The 91-day bill attracted N103.32bn in subscriptions against N100bn offered. The CBN allotted N89.10bn at an unchanged stop rate of 16.30 per cent. The 182-day bill performed even more weakly, attracting only N52.93bn against N100bn on offer. The CBN allotted N35.59bn, while the stop rate remained at 16.50 per cent. Secondary-market yields for the three instruments stood above their respective auction stop rates, at 17.45 per cent for the 91-day bill, 17.05 per cent for the 182-day bill and 17.24 per cent for the 364-day bill. According to a financial sector analyst, Jimbe Asalor, the concentration of bids in the one-year instrument suggests investors may be placing greater value on locking in relatively attractive yields over a longer period rather than repeatedly rolling over shorter-term securities. He noted that the latest auction also demonstrates “the CBN’s ability to borrow more cheaply when demand is concentrated around a particular maturity.” He added that by accepting N638.19bn on the 364-day bill at 17.15 per cent, the CBN borrowed above its initial offer while simultaneously cutting the rate by 44 basis points. “The nine-basis-point difference between the auction stop rate and the 17.24 per cent secondary-market yield also indicates that the one-year segment is now trading relatively close to market expectations.” A Lagos-based consultant economist, Chukwunonso Iheoma, said if the preference for longer-dated treasury bills persists, the development could provide further support for a gradual decline in government borrowing costs while strengthening expectations of eventual interest-rate cuts.

 

 

Poor plastic waste disposal is posing major risks to food security in the West African sub-region Nigeria’s Minister of Environment, Balarabe Abbas Lawal has said.

Lawal also disclosed that no fewer than 2 million tonnes of plastic waste are generated annually, with a significant percentage ending up in waterways.

Lawal made the disclosure at the opening ceremony of the validation of the ECOWAS Regional Action Plan on plastic management and the ECOWAS initiative towards economic integration through trade, environment and agriculture.

He said: “Across the ECOWAS sub-region, it has been estimated that over 2 million tonnes of plastic waste are generated annually, with a significant percentage ending up in waterways, drainage channels, ocean bodies or open dumps.”

He explained that this poses major risks to food security, climate resilience, public health and economic livelihoods.

He added: “The validation of this Regional Action Plan, therefore, provides us with a harmonised framework for: Transitioning to sustainable plastic production and consumption systems; Strengthening Extended Producer Responsibility (EPR) mechanisms; Advancing circular economy value chains; Promoting regional standards, monitoring and compliance systems; and Supporting research, innovation and green job creation.”

He also pointed out that the ECOWAS is championing an integrated approach that ensures trade policies, agricultural systems, environmental standards, and industrialisation.

The minister pledged that “Nigeria fully aligns with the objectives of this regional action plan.”

He said the Federal Ministry of Environment continues to strengthen national policies and regulatory frameworks, saying, “We remain committed to working collaboratively with all ECOWAS Member States to harmonise regional standards, promote knowledge exchange, and build capacity for effective implementation.”

The Vice President of the ECOWAS Commission, Mrs Damtien Tchintchibidja, referencing the 2024 FAO State of Food Security Report, said that 12% of the West African population is food insecure.

“The causes can be attributed to adverse effects of climate change, poor functioning of regional markets, policy incoherence, and restrictive trade policies, as well as conflicts,” she said.

The ECOWAS, she said is committed to advancing regional strategies that promote renewable energy, sustainable land use, and resilience against climate shocks.

She said the ECOWAS Commission, through its Department of Economic Affairs and Agriculture, is implementing a portfolio of strategic projects aimed at strengthening industrial development, promoting trade, boosting agricultural productivity, improving food and nutritional security, and accelerating inclusive economic growth in all member states.

“These initiatives aim to give operational content to ECOWAS Vision 2050 and the broader objectives of the African Union’s Agenda 2063.

She said, “Agriculture remains the backbone of our economies, employing millions and ensuring food security. Guided by the ECOWAS Agricultural Policy (ECOWAP), our interventions aim to modernize production, strengthen value chains, and promote agribusiness that is inclusive and competitive.

“Furthermore, we are advancing the West Africa Fertilizer and Soil Health initiatives, which are critical for improving productivity, restoring degraded lands, and ensuring sustainable food systems.

“By investing in soil health and fertiliser access, we are laying the foundation for resilient agriculture that can feed our people and create jobs for our youth and women,” she said.

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CBN Cuts T-bill Rate Amid N3.63tn Demand Investors are increasingly positioning for longer-term returns in Nigeria’s fixed-income market, with the latest treasury bills auction showing an overwhelming preference for the one-year government security. At the Central Bank of Nigeria’s (CBN) primary market auction on Wednesday, investors submitted N3.63tn for the 364-day T-bill, representing 95.9 per cent of the N3.79tn total bids received across the three maturities. The demand came despite the CBN lowering the stop rate on the one-year instrument by 44 basis points to 17.15 per cent, from 17.59 per cent at the previous auction. The auction results point to a significant shift in investor appetite towards longer-dated government securities, even as demand for shorter-tenor instruments remained subdued. The CBN had offered N700bn across the three maturities, comprising N100bn each for the 91-day and 182-day bills and N500bn for the 364-day bill. However, total subscriptions reached approximately N3.79tn, more than five times the amount offered. The 364-day instrument was the clear outlier at the auction, receiving bids equivalent to 7.26 times the amount offered. The CBN ultimately allotted N638.19bn, exceeding the N500bn offer by N138.19bn. Despite the additional allotment, only about 17.6 per cent of total bids submitted for the instrument were accepted. Investors quoted yields between 16.00 per cent and 19.05 per cent, but the CBN settled at 17.15 per cent, suggesting that the level of demand allowed the regulator to reject more expensive bids. The development is significant because the CBN achieved a lower borrowing rate even after receiving exceptionally strong demand for the security. The contrast was stark at the shorter end of the curve. The 91-day bill attracted N103.32bn in subscriptions against N100bn offered. The CBN allotted N89.10bn at an unchanged stop rate of 16.30 per cent. The 182-day bill performed even more weakly, attracting only N52.93bn against N100bn on offer. The CBN allotted N35.59bn, while the stop rate remained at 16.50 per cent. Secondary-market yields for the three instruments stood above their respective auction stop rates, at 17.45 per cent for the 91-day bill, 17.05 per cent for the 182-day bill and 17.24 per cent for the 364-day bill. According to a financial sector analyst, Jimbe Asalor, the concentration of bids in the one-year instrument suggests investors may be placing greater value on locking in relatively attractive yields over a longer period rather than repeatedly rolling over shorter-term securities. He noted that the latest auction also demonstrates “the CBN’s ability to borrow more cheaply when demand is concentrated around a particular maturity.” He added that by accepting N638.19bn on the 364-day bill at 17.15 per cent, the CBN borrowed above its initial offer while simultaneously cutting the rate by 44 basis points. “The nine-basis-point difference between the auction stop rate and the 17.24 per cent secondary-market yield also indicates that the one-year segment is now trading relatively close to market expectations.” A Lagos-based consultant economist, Chukwunonso Iheoma, said if the preference for longer-dated treasury bills persists, the development could provide further support for a gradual decline in government borrowing costs while strengthening expectations of eventual interest-rate cuts.

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