BANK JOBS NOT DOWN DESPITE DAISY LOAN PORTFOLIO

Perhaps because of the prop offered by financial assets  revaluation since the dive in Naira exchange value, bank jobs are fairly stable in spite of recent astronomical increase in credit loss provisions by many banks.

According the National Bureau of statistics (NBS) by quarter three of this year, 82470 were employed in the banking industry.

This represents 4.97% increase on quarter two's 78563 thus arresting the 3.15% drop from 81122 in quarter one.

Equally important was the fact that the 2016 quarter three figure was ahead of 2015 quarter three by 0.96% and 2014 quarter three by 1.99%.

The high since 2014 though remains quarter four when the industry employed 84358 staff followed by quarter one 2015 with 83898.

Thus, 2016  quarter three figure remains the third highest quarterly employment figure in the banking industry since 2014.

The low within the period was 2014 quarter one's 70960 followed by 2015 quarter two's 76471 and quarter four's 79418.

Also, in spite of the higher impairment provision, total loans by commercial banks by 2016 quarter three was up by 17.9% on 2015 corresponding quarter three figure.

The same with domiciliary deposits which by 2016 quarter three was 15% up on 2015 related quarter.

However, of note is the fact that the slide in both figures since quarter two in 2015 was checked in 2016 quarter two when 18.6% and 29.5% quarterly increases were recorded in total loans and domiciliary deposits respectively.

Not so for outstanding total deposits which resumed its slide by going down 2.55% in 2016 quarter three after quarters one and two recorded marginal increase to check the quarterly slide in 2015.

The outstanding deposits trend was not strange since from quarter four to date interest rate on deposits stayed below 4 per cent while interest on loans stayed above 16% throughout.

Average interbank rates too only dived to 1.61% and 3.02% in 2015 quarter four and 2016 quarter one respectively while staying above 15% and indeed averaging a high of 23.42%  by 2016 quarter three.

Comments

Post a Comment

Popular posts from this blog

NAIROBI SE's HIGH PRICED EQUITIES.

In the wake of Nigeria's high priced quoted companies posted in this blog a while ago, Henates took a look to at Nairobi Securities Exchange June 23 official list to identify its high priced equities and the outcome was interesting too. Of the 66 companies quoted on the market by June 23, 15 or 22.7% were valued averagely at above 30 times nominal value. A word of caution though: There are two clear differences between the Nigerian stock market list and that of Nairobi: In the Nigerian one most listed companies have par or nominal value of N0.50 as is there is an implied agreement on this. On the other hand, at Nairobi most of the equities do not share common par value, they differ greatly. Then another thing, Nigerian equities are not valued below par, Nairobi ones can and many are so valued. Of the top 15 high priced equities at the Nairobi market, Safaricom topped with because by June 23, at 23.25 Ksh average price, it was valued 465 times its nominal value of just 0.0...
Read more

2018: TWO BLOWS TO UNITED CAPITAL PLC.

When a child who in a previous examination scored 80%, comes home with a new report in which he now scores 67.2%, the parents have a right to sit him down and ask how come. So it must be between Nigeria's United Capital Plc and its discerning shareholders since the release of the company's 2018 audited figures. In 2018, all said and done, says the annual report, United Capital ended with 67.2 % profit margin compared to 80.2% in 2017. How come? What comes across from the figures was that the company received 2 blows to the jugular in 2018: Sharp drops in Investment income and fair value gain. Investment income dropped by 10.8% to N4422.8m from N4965.2m while fair value on financial assets plunged by 79.7% to N6.173m from 2017's N30.387m. In view of both drops, the group's gross earnings grew by only 33.9% to N9259.4m despite strong growths in net trading income, and net operating income leap to N757.5m from N143.5m  Other income streams ended with single digit increase....
Read more

DEC 20, 2018: UP, DOWN? CHECK ! AT NIGERIAN STOCK EXCHANGE

With one day more to end of the trading week, the All Share Index at the Nigerian Stock Exchange on Thursday confirmed a new up today, down tomorrow trend. The ASI closed at 30,802.90, up 0.32% after Wednesday's 0.35% decrease. Earlier, on December 13, the same trend was punctuated when the ASI closed 0.24% down instead of up. Since the trend resumed and got confirmed on Thursday as it rose by 0.32% on the back of 17 gains and 22 price drops. Seplat Petroleum jumped by N37.8 or 6.81% per share to lead the gainers as found and closed at N593 per share compared to N555.2 previously. It however recorded only 6 deals for 0.146m shares worth N87.106m. Also very much part of the critical pressure on ASI upwards, was N5 of 2.15% per share gain by Dangote Cement while witnessing 98 deals for 2.042m shares valued at N380.390m The rest gains were below N1 per share in contrast to price drops where 3 were above this borderline. Nestle Nigeria set the pace with N10 or 0.68% drop again, as it s...
Read more