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Tag: BOA

  • Inflation could hit 30 per cent in Nigeria – Bank of America

    Inflation could hit 30 per cent in Nigeria – Bank of America

    The Bank of America (BOA), has said  that the Monetary Policy Committee of the Central Bank of Nigeria (CBN) may need to increase interest rates by at least 700 basis points before the end of the year to curb inflation.

    In an interview with Bloomberg on Monday, the bank’s sub-Saharan Africa Economist, Tatonga Rusike, said the hike was necessary to tackle soaring inflation occasioned by the fuel subsidy removal and unification of foreign exchange.

    Rusike explained that at the current trend, inflation may quicken to 30 per cent by the end of the year from 22.4 per cent in May, noting that the nation’s apex bank may need to push up the rates.

    He further warned that if this decision was not taken, foreign investors might exercise caution before investing in the country.

    “Inflation may quicken to 30% by the end of the year from 22.4% in May and that will require a monetary policy response from the central bank – effectively, interest-rate hikes by at least 700 basis points.

    “If the negative real interest rate is not reversing, then it is less likely to see foreign inflows coming into the country,” Rusike said adding that “it is less likely they (CBN) will do such level of increases,” he said.

    At its last Monetary Policy Committee meeting held in May 2023, the MPC further pushed benchmark interest rate forward by 0.5 per cent to 18.50 per cent from 18.00 per cent in March.

    The raise has, however, not slowed Nigeria’s soaring inflation which hit 22.41 per cent in May 2023 compared with 22.22 per cent in April 2023.

  • Kaduna train attack: Terrorists reveal why BoA MD was released [VIDEO]

    Kaduna train attack: Terrorists reveal why BoA MD was released [VIDEO]

    Terrorists, who attacked the Abuja-Kaduna train on March 28, 2022, said the Managing Director of the Bank of Agriculture (BoA) Alwan Ali-Hassan was released on compassionate ground.

    In a video circulating on social media, one of the terrorists, who spoke in Hausa language, said they decided to have mercy on the BOA MD in the spirit of the Ramadan season and his age.

    Hassan, who was flanked by the heavily armed terrorists before his release, also confirmed they were releasing him on compassionate grounds.

    The BoA MD, who was directed to speak in the video before his release, pleaded with the government to listen to the terrorists so that other captives can be released.

    He said: “There are many captives with our abductors here and out of pity, they decided to release me and due to the month of Ramadan, I am appealing to the government to save the lives of other with them”.

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  • BOA, SunTrust Bank seal ‘landmark’ MoU on agric banking

    BOA, SunTrust Bank seal ‘landmark’ MoU on agric banking

    Bank of Agriculture (BOA) and SunTrust Bank have sealed an e-banking agreement described by the Minister of Agriculture Audu Ogbe as ‘landmark’ and instrumental to the development of agricultural sector in Nigeria.

    The agreement was signed yesterday at the Federal Ministry of Agriculture in Abuja.

    Managing Director/CEO of SunTrust Bank Nigeria Limited Muhammad Jibrin and the Chief Executive of Bank of Agriculture Kabiru Adamu signed for their respective banks.

    The agreement, will among other things, allows the SunTrust Bank to deploy its innovative banking services and other complimentary e-banking services to enable BOA serve its customers across its 140 branches in Nigeria.

    The MD of SunTrust Bank said the deal will also allow it to deploy its banking platforms, technology like ATM and infrastructure for the over one million farmers in the kitty of BOA.

    Mr. Jibrin said: “We will also provide training support to the BOA staff.”

    In his remark, the MD/Chief Executive Officer of the BOA expressed optimism that the MoU will revolutionize agriculture in the country.

    According to Mr. Adamu, both banks have agreed to bring together their mutually unique capabilities and experiences to enable BOA serve its customers to facilitate quicker penetration of the unbanked farmers.

    He said the SunTrust Bank shall provide electronic payment solutions using its existing platform, including USSD, Mobile Money Service, Merchant and Settlement Accounts for e-transaction.

    Speaking, Minister of Agriculture Audu Ogbe said he was elated by the MoU, adding that the “landmark deal will change the face of farming in the country”.

    Mr. Ogbe who regretted that the BOA has been in difficulty of the years, said he expects that the new agreement and partnership with SunTrust Bank will get it out of the woods.

    “We have been trying to set up IT services at the BOA but it has been difficult. We hope that with your backing, the services will eventually come to fruition,” the Minister said.

    He said plans are afoot for farmers to own 30 percent shares of the Bank of Agriculture.

    “Thirty percent of BOA will be owned by farmers which will eventually makes it to be referred to as Farmers Bank like the one in China,” Mr. Ogbe said.

    He added that he looks forward to achieving 5 percent interest rate for farmers, describing the current interest rate as unfriendly and disincentive.

    ‘I think both of you(BOA and SunTrust Bank) will enjoy this relationship,” he added.

    It would be recalled that the SunTrust Bank commenced operation on Monday August 15, 2016.

    It is an innovative, IT savvy and financial technology based bank in Nigeria. It banking services also cover various mobile and Internet banking platforms enshrined with traditional banking values.

    Only recently the SunTrust Bank and Federal Government through Ministry of Finance signed an agreement for the provision of 5, 635 housing units for civil servants across the federation.