First City Monument Bank (FCMB) Unveils Another Customer Reward Scheme

First City Monument Bank (FCMB) Limited has said it is set to enhance the experience of its customers through another reward scheme tagged “FCMB Millionaire Promo Season 3.”

The bank explained that the latest promotion has been designed to provide extra empowerment value to customers of the bank, while encouraging financial inclusion and savings culture.

According to the bank, the new promo followed the success it recorded in the second phase of the “Millionaire Promo” held between August 2015 and January 2016 across the country.

Inside Banking Hall Diamond Bank, Fadeyi, Ikorodu Road

Like most branches of Diamond Bank, this big branch has enough parking spaces it numerous customers. The interior and exterior looked beautiful and clean. However, the services at this branch were unimpressive.

 

During the length of this observation, there were a large number of customers inside the banking hall.

Rand Treads Water ahead of Current account Figures

The rand was steady on Monday morning as traders awaited the release of current account figures.
At 8.38am the rand was at R15.3705 against the dollar from R15.3463 previously.
Against the euro, the rand was at R16.8958 from R16.8264 previously. It was at R21.8436 against the pound from R21.8161. The euro was at $1.0991 from $1.0990 previously.

 
The Reserve Bank will release current account data on Tuesday. The shortfall for last year is expected to have narrowed to 4% of gross domestic product (GDP) from 5.4% in 2014.
The rand tends to firm when the current account deficit narrows because investors see it as an indication that less money will be needed to finance the debt required to cover the deficit.

Offshore funds burst through Reserve Bank limits

SOME asset managers are turning away money destined for rand-denominated offshore funds after the currency’s weakness resulted in breaches of maximum portfolio allocation rules.

The rand plunged 45.15% against the dollar in the year to January 26 as emerging markets experienced sharp capital flight. This has seen certain portfolios exceed their allowed foreign retail asset allocations that exchange controls cap at 25% for retirement funds and long-term insurers.
The controls allow an additional 5% to be invested in African assets, while collective investment schemes may invest up to 35% in foreign assets.

The exchange controls were introduced in an effort to preserve foreign currency reserves.
"The weakness of the rand has meant that our offshore investments have grown disproportionately in rand terms," says Richard Carter, head of product development at Allan Gray.

Bank of England: Oil price fall 'good for UK economy'

The fall in oil prices has been a "net good" for the economy, Bank of England deputy governor Ben Broadbent has said.

 

He told BBC Radio 5live's Wake Up To Money that falling oil prices had helped to push up wages in real terms.

Mr Broadbent also said the UK was enjoying a "solid" recovery but he added there was "no great urgency" to put up interest rates. 

Oil prices have fallen by 75% since mid-2014, due to an oversupply and sluggish demand.

PMI shows private sector business confidence remains weak

ONFIDENCE levels among private-sector business people remains weak amid muted demand and sharp increases in input costs due to rand weakness, forcing job losses.

 

This is according to the latest seasonally adjusted Markit/Standard Bank SA purchasing managers index (PMI) which rose from 49.1 in December to 49.6 last month, but remained below the critical 50 points level.

A level below 50 signalled deterioration in business conditions, although the slight improvement in the index suggested that conditions deteriorated at a slower pace.

Both demand and supply side PMI indicators implied sustained weakness in SA’s economy, Standard Bank economist Kuvasha Naidoo said.

BANKS: GTBANK Plc Continues to lead in earnings performance

In recent years the Annual General Meeting of Guaranty Trust Bank Plc have been a celebration of what  remains the most profitable banking operation in Nigeria. This brand equity has been exported to make the bank a successful international brand. At present the number of foreign subsidiaries with the bank’s Group is 10 with total investment of about N40billion. GTB plans to continue with this growing trend in its global strategy. 

South Africa's Pravin Gordhan named third finance minister in week

On Wednesday, the president sacked Nhlanhla Nene in a move that sent the rand to record lows and sparked a sell-off in bank shares.

His replacement for less than a week, Mr van Rooyen, is a little-known MP.

The latest move sent the rand up almost 5% on Sunday night.

Mr Gordhan was widely respected when he served as South Africa's finance minister from 2009 until 2014.

'Russian roulette'

China's Postal Savings Bank raises $7bn ahead of IPO

The state-owned bank has sold a 17% stake to investors including UBS, JPMorgan and Canada Pension Plan Investment Board.

 

The deal values China's sixth-largest bank by assets at $41bn.

The bank said the stake sale was the biggest private fundraising by a Chinese financial institution.

Access Bank to Holds Leadership Conference Next Week

 

A stellar line-up of global business and political leaders will next week descend on Lagos for the 2015 Access Leadership Conference which is being organised by Access Bank Plc.

This year’s conference which will be held on December 10 is titled “Leading in a Transformational World – The Imperative of Innovation” and features a host of speakers from around the world who will discuss the major issues facing Africa, the global economy and the social transformation which is being wrought by technological change.

Union Bank Unveils ‘New Look’ Branches

As part of efforts to make banking “simpler and smarter” for its teeming customers, Union Bank has unveiled two of its upgraded branches in Ibadan, the Oyo state capital.

Union Bank "new look"

It also launched an innovative savings product, UnionKorrect, which it said was designed to assist customers “save small and win big.”

The two upgraded branches of the bank unveiled are located on Bank Road, Dugbe, and the University College Hospital (UCH).

Speaking at the event, Joe Mbulu, Transformation Director Union Bank, said the bank had in the past three years been working and improving on its physical infrastructure to provide customers a more comfortable banking environment.

Global stocks hold Asia gains, euro rises as ECB bets waver

Hints that a slowdown in China's economy may be leveling out pushed stock markets up on Tuesday, while euro bears and bond investors had second thoughts about sky-high expectations of European Central Bank easing later this week.


China's official Purchasing Managers' Index reached a three-year low in November. But the private Caixin/Markit China Manufacturing PMI showed factory activity contracted at a slower pace than in October, fuelling hopes the economy may have been bolstered by government support.

Companies shy away from Long-Term Debt as Economy Sags

South Africa companies are becoming reluctant to raise long-term funding as the country’s economic outlook deteriorates, according to Standard Bank Group, Africa’s biggest arranger of corporate bonds.

 

About 74% of corporate bonds issued in South Africa had maturities of three years or less, compared with 42% in 2014, Standard Bank data showed. Debt with maturities of five and seven years dropped to 26% of total sales excluding issuance by banks, from 54% last year.

FRC of Stanbic IBTC did not follow due process—CBN

The Central Bank of Nigeria, CBN, has condemned in strong terms recent sanctions approved by the Financial Reporting Council of Nigeria, FRCN, against the board and management of Stanbic IBTC Holding, SIBTCH, saying the council did not follow due process.

 

The FRCN had, amongst others, sacked four directors of Stanbic IBTC, including its Chairman, Mr. Atedo Peterside, for alleged infractions, while also calling for the withdrawal of its financial statements for the years ended December 31, 2013 and 2014.

But in a five-page letter, dated, November, 2, 2015, and signed by the CBN Governor, Mr. Godwin Emefiele, which was obtained by Vanguard, the apex bank also said the FRCN action was capable of eroding investors’ confidence as well as causing financial instability in the system.

Credit Agricole Bank fined $800m for US Sanctions Violations

The settlement is expected to be announced later this week.

It follows a lengthy investigation of European banks by US authorities into illegal dollar transactions.

Deutsche Bank reveals plan to restructure into new division as"Global Market"

The investment bank is being split, with several senior bankers departing.

The chairman, Paul Achleitner, described it as a "fundamental reorganisation" that required tough decisions.

New boss John Cryan is under pressure to reform Deutsche following a series of scandals.

Earlier this year the bank was fined $2.5bn (£1.7bn) for its role in the Libor-rigging affair.

The fine resulted in co-chief executives Juergen Fitschen and Anshu Jain resigning in June, to be replaced by Mr Cryan. 

‘Save4 Shelter’ promo Fidelity Bank Produces Winners

FIDELITY Bank Plc’s on-going promotional campaign, tagged ‘Save 4 Shelter’ promo has produced first set of winners.

A total of 21 customers drawn from the six geographical zones of the country won different cash prizes and consolation prizes of six refrigerators and generators sets at the first draw conducted at the bank’s head office in Lagos.

 

The draw saw a customer carting away N2 million, two customers won N1 million each; six customers won N500,000 each, to bring the total cash prize to N7 million. Also, six customers won refrigerators, while another six emerged winners of generating sets.

Access Bank partners PAN Nigeria Limited on vehicle acquisition finance scheme

One of Nigeria’s biggest banks by asset and capital,  Access Bank plc, has collaborated with PAN Nigeria Limited, a leading local distributor and automobile manufacturer  of the Peugeot brand, for easy and affordable vehicle purchase financing.

Access

The partnership allows prospective and existing customers to own any brand of Peugeot car and pay within the space of four years at a discounted interest rate.

Victor Etuokwu, Executive Director of Personal Banking at Access Bank, said the partnership is in support of the Federal Government auto policy and a reflection of Access bank’s culture of supporting economic development.

He said the scheme provides opportunity for people who do not have resources to buy a car, to own one at ease. He added that leasing and vehicle finance has become critical in an attempt to drive economic development.

In spite of Challenges, UBA profit rises 40% as half year earnings,

Pan-African financial services group, United Bank for Africa Plc, has announced its audited 2015 half year financial results.

UBA

The results showed strong growth in earnings and profits, as the Bank continued to benefit from its determination to provide value to its large customer base in Nigeria, its increasingly important pan African network, now contributing over 23 percent of profit after tax and its prudent management of costs and risk.

In a time of increased economic challenge, the Bank has continued to extend loans to Nigeria and to support domestic Nigerian businesses.

 In line with best practice in corporate governance, UBA has elected to have its half year results audited, before its release to the Nigerian Stock Exchange.

 UBA’s earnings grew strongly by 21 percent to N166.9 billion during the period, compared to N138.2 billion in the same period of June 2014. 

The Bank’s profit before tax (PBT) also rose 35.1 percent to N39.0 billion, while profit after tax (PAT) was up a significant 40 percent to N32 billion within the same period. As a reward to shareholders, the Bank has announced the payment of an interim dividend of 20 kobo per share.

GTBank considers new Eurobond at Maturity

Nigeria’s Guaranty Trust Bank (GTBank) will redeem its existing Eurobond at maturity and consider issuing a fresh one, its chief executive said on Tuesday.

 

“We probably will redeem everything, but we might raise fresh bond … subject to pricing, prevailing environment,” Segun Agbaje told an investor conference call.