• Nigeria earned ₦682.06 billion in October 2018, according to the CBN’s economic report which was released on Monday. The figure was below the monthly budget estimate and receipts in the preceding month by 38.4% and 18.0%, respectively. The oil and non-oil receipts (gross) stood at ₦422.13 billion and ₦259.93 billion in the review period, constituted 61.9 % and 38.1 % of total revenue, respectively. The report also shows that the FG retained revenue and estimated expenditure for October 2018 were ₦280.96 billion and ₦347.48 billion, respectively, resulting in an estimated deficit of ₦66.51 billion.
  • Following the recent steady decline in the international oil price, Nigeria may have started reviewing developments in the global oil market in order to adopt a new oil price benchmark for its 2019 budget. The country’s ₦8.6 trillion budget was based on a $60 per barrel benchmark at a time international oil prices hovered around $75p/b. With this in mind, the DG of the Budget Office, Ben Akabueze, said the FG is willing to review the price projection downwards if it becomes clear that it is no longer sustainable. The price of oil escalated to about $86p/b before it began a downward trend seven weeks ago closing at a year low of $59p/b last weekend. It increased marginally to $61 as at Monday, which is still a threat to the 2019 budget, especially as a gap of at least $10 is required between the budget benchmark and prevailing oil price.
  • The case between MTN Nigeria and the Attorney General of the Federation over a $2 billion tax demand has been adjourned to February 7, 2019 as the presiding judge, Justice Saliu Saidu, was away on administrative leave. MTN faces a $2 billion tax demand from the Nigeria’s Attorney General, a claim the company has denied. It also emerged that the FG had yet to file a full reply to its suit, but the company had filed an injunction asking the court to restrain the government from “disturbing or otherwise interfering with the business of the company.” MTN Nigeria is also facing a separate legal battle with the Central Bank of Nigeria over allegations that it illegally transferred $8.1 billion from the country in breach of foreign exchange regulations, which the company had also denied.
  • Nigeria’s rig count increased by one in October to 34 according to data from OPEC. The organisation as a whole recorded an increase of 10, with 568 rigs, as against 558 recorded in September. Globally, there was an increase of 14, with all oil production in October came from 2,355 rigs. Saudi Arabia leads the pack of gainers in the OPEC cartel with plus six, having had 155 in October as against September’s 149.