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Nigeria’s Zenith Bank Posts N509Bn Gross Earnings In 9 Months

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Zenith Bank Plc has reported a gross earnings of N509 billion for the third quarter (Q3) ended Sept. 30, compared with N491 billion achieved in the corresponding period in 2019.

In the bank’s unaudited results released by the Nigerian Stock Exchange (NSE) on Friday, indicated an increase of four per cent.

According to the unaudited accounts, the growth was driven by non-interest income which grew by 11 per cent from N157 billion recorded at the end of Q3 2019, to N173 billion reflecting the groups increasingly diversified business model.

It said that the performance demonstrated the groups’ resilience against the backdrop of a challenging macro-economic environment owing to the COVID-19 pandemic.

The unaudited account read in part: “The groups profit before pax (PBT) rose marginally to N177 billion at the end of Q3 2020, representing a one per cent growth over the N176 billion recorded in the corresponding period in 2019.

“The result also demonstrates the groups ability to deliver optimal pricing for its interest-bearing assets and liabilities in a declining yield environment, as net interest income grew by 5 per cent Year-on-Year to N225 billion despite the drop in total interest income from N322 billion to N319 billion.

“Interest expense and cost of funds were down by 13 per cent and 27 per cent respectively to close at N94 billion, reflecting the groups robust treasury and liquidity management.

“Total deposits closed at N5.2 trillion at the end of Q3 2020 up from N4.3 trillion in December 2019, dominated by low-cost deposits.

“Retail deposits grew impressively by 58 per cent to N1.7 trillion at the end of Q3 2020 up from N1.1 trillion as at Dec. 2019, underpinned by the continuous expansion and improvement of the groups digital platforms.

“In terms of asset quality, the Groups Non-Performing Loan (NPL) ratio improved to 4.80 per cent (FYE 2019: 4.95 per cent), despite growing loans and advances by 17 per cent from N2.5 trillion as at December 2019 to N2.9 trillion at the end of Q3 2020, affirming the groups prudent credit risk management.”

Also according to the report, the liquidity and Capital Adequacy Ratios (CAR), was at 67.4 per cent (Bank: 52.5per cent) and 21.5 per cent respectively at the end of Q3 2020, representing an above regulatory thresholds of 30.0 per cent and 15.0 per cent.

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Business Edge | Nigeria, UAE Signs MOU, Eskom Faces R5 Million Over Kendal Power Station Pollution

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The Nigerian Government has signed a Memorandum of Understanding with the United Arab Emirates (UAE), which provides a platform for both countries to establish a Joint Commission between the two friendly countries, seeking to enhance cooperation and coordination between both countries in all fields.

Also, Eskom could face fines of up to R5-million under South Africa’s air quality legislation for supplying blatantly false and misleading information about its toxic pollution at the Kendal coal-fired power station to authorities.
On 28 January 2021, the state-owned energy utility will appear in the Emalahleni regional court on four counts of environmental transgressions.

Tolulope Adeleru-Balogun and Mukhtar Mohammed, CEO Asher Dynamic Solutions, discussed these on Business Edge.

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Nigeria’s Federal Government Approves N117 Billion for Road Rehabilitation

The Ministry of Works and Housing presented three memoranda, two relating to roads, and one relating to a banking application.

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The Federal Executive Council (FEC) on Wednesday approved N117.6 billion for the rehabilitation of some major roads across Nigeria.

This was disclosed to journalists by the Minister of Works and Housing, Babatunde Fashola, after the meeting chaired by President Muhammadu Buhari.

The Ministry of Works and Housing presented three memoranda, two relating to roads, and one relating to a banking application.

Read also: Full Text Of Nigeria’s President Buhari Budget Proposal Speech

“The first set of roads is for a total sum of N18,923,846,198.47, and it is with respect to roads and bridges as follows: rehabilitation of 26 km road linking Kano, Jigawa and the Katsina States, N8.767 billion; Omo-Umulokpa road in Anambra and the Enugu States, N1.712 billion; rehabilitation of Oye-Oranta road in Anambra, N2.504 billion; Okpoko bridge along Benue-Cross River road, N1.057 billion; the bridge at km 22.7 along Bida-Zungeru road in Niger State, N1.022 billion; Nkumi bridge linking Abia and Enugu States, N1.0.72 billion, and Challawa-Nunku road in Kombotso, Kano State, N2.787 billion.

“The other memorandum relating to roads is also for the total sum of N98,073,840, 842.81. The roads are Rijiya-Gusau road in Zamfara State, N7.799 billion; Jegga-Kwana-Sanagi-Gumi road in Kebbi State, N31.539 billion; Koko-Mahuta road in Kebbi, N19.713 billion; Kuka Babbangida-Ganagara road in Katsina State, N11.731 billion; Ihiala-Olu-Umudu road, N16.750 billion; Oye-Ama-Etite-Umuawulu road in Anambra, N2.155 billion and Bichi road in Kano State, N8.384 billion,” Fashola said.

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Arik Air Workers Ground Operations

They alleged that several members of staff had been furloughed, adding that pensions were being owed.

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Operations of Arik Air, one of Nigeria’s carriers have been grounded by the National Union of Air Transport Employees over poor working conditions.

The workers on Thursday blocked the entrance of the airline’s headquarters in Lagos, the country’s commercial capital in the South West, carrying placards with different inscriptions.

Some of the inscriptions read, “End Arik brutality”, and “Sign our condition of service and recall all staff.”

They alleged that several members of staff had been furloughed, and that pensions were being owed.

The Lagos state Secretary of NUATE, Ijeh Anthony, said the issue had lingered for long, vowing to continue the strike till all demands are met.

He said, “The contentious issue is the signing of the Conditions of Service which we have been negotiating for the past three years.

Read also: Unions Shut Down Nigeria’s Arik Air Operations Over Anti-Labour Practices

“But the only aspect remaining in the CoS is the issue of the severance package. We have sought interventions from the Ministry of Aviation, the Nigerian Civil Aviation Authority.

“However, in most discussions, Arik Air Management will always renege.”

At the Murtala Muhmmed Airport 2 terminal, several passengers booked for 8 am flights were stranded.

Some of the passengers were distraught after waiting for several hours.

Officials from the airline were seen trying to manage the situation.

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