Headlines

Nigerian Companies To Start Employing Again In August – CBN Reveal

After a long downtime across Nigerian sectors over the sprouted coronavirus pandemic, the Central Bank of Nigeria (CBN) has revealed that the country might resumes employment in August 2020.

Brandnewsday gathers that the Apex bank made this known on the CBN Business Expectation Survey which was published recently on the CBN’s website.

Meanwhile, findings from the survey show a generally optimistic outlook for August with a confidence index of 33.7 points and hope that the volume of business activities would increase in the next 2 to 6 months to justify the employment outlook.

Advertisement

CBN Business Expectation Survey

The business survey was conducted by the statistics department of the Central Bank of Nigeria in July 2020, and it involved a sample of 1050 businesses with a 96% response rate. Respondent firms include small, medium and large businesses cut across agriculture, services, manufacturing, wholesale/retail trade, and construction sectors, both import and export-oriented, across the country.

Sector by sector breakdown showed that wholesale/retail trade had the highest prospect for employment in August with an index of 16.4 points, while manufacturing trailed closely behind with 14.6 points. Respondent firms in Agric/services put the employment prospect index at 3.1 points.

The wholesale/retail trade sector is also highly optimistic on expansion plans, showing an index of 46.3 points, while the construction sector had an index of 45.0 points. Agric/services sector had an index of 43.4 and manufacturing sector had 39.7 points all pointing towards a positive disposition to expand in the current month (August).

Advertisement

With such expansion plans in view, the borrowing rate is also expected to increase in August, September, and December 2020 with confidence indices of 10.5, 15.7 and 16.1 points respectively.

This is in spite of the obvious challenges which the firms face, which include insufficient power supply, competition, unfavourable economic climate, financial problems, and high-interest rates.

Unclear economic laws, unfavourable political climate, insufficient demand, difficulties in accessing credit and equipment also pose major constraints to business activities.

Advertisement

Outlook: Naira Appreciates

On the exchange rate, firms are positive that the Naira will appreciate in August, September, and December, with 3.0, 16.5 and 49.4 confidence index points respectively. Meanwhile, the inflation level is expected to rise in the next 6 to 12 months (December 2020 and June 2021), at 13.92 and 13.95 per cent.

Facebook Comments
Adebayo

Adebayo is a Content Developer and website manager who loves to learn, unlearn and relearn. He has a knack for exploring the tech world. He is always thirsty to learn as the tech ecosystem evolves every day.

Recent Posts

Apple Unveils iPhone 17 Air, Slick, Slimmer Than Previous Models (PHOTOS)

Apple Inc is set to present a slimmer iPhone 17 Air model, marking a potential…

2 weeks ago

Six-Year-Old Ella Shoots, Kills American Police Officer In Mother’s Defense

A six-year-old girl, Ella, fatally shot a 28-year-old American police officer last month after witnessing…

2 weeks ago

LIRS Urges Taxpayers To Meet March 31 Deadline For Annual Tax Return Submission

The Lagos State Internal Revenue Service (LIRS) reminds all individual taxpayers, including self-employed individuals, those…

2 weeks ago

Stanbic IBTC Bank Partners Autochek To Boosts Car Ownership, Disburses N4Bn

Stanbic IBTC Bank, a prominent financial institution in Nigeria, has partnered with Autochek, an innovative…

3 weeks ago

Stanbic IBTC PMI®: Output Growth Accelerates To Fastest In Just Over One Year

The headline figure derived from the survey is the Stanbic IBTC PMI® - Purchasing Managers’…

3 weeks ago

Stanbic IBTC Bank Reintroduces Its Private Banking Offerings To Empower Nigerians Build Lasting Wealth

Stanbic IBTC Bank, a subsidiary of Stanbic IBTC Holdings and a leading financial service solutions…

3 weeks ago

This website uses cookies.