Q4: 2016 MARKET REPORT
Speculation of a hike in interest rates by the US Federal Open Markets Committee (FOMC) kept investors on their toes in the last quarter of 2016. Investors continued to price in a possibility of a rate hike until the recent victory of Donald Trump at the polls (8/11/2016) surprisingly triggered a rally in equities most especially in the US.
At the last FOMC held on 13th-14th December 2016, the Fed hiked interest rates by 25bps and indicated the likelihood of three further rate hikes in 2017…
THE 2016 NIGERIAN BANKING SECTOR REPORT
The 11th edition of the Afrinvest Nigerian Banking Sector Report titled “Searching for Investor Confidence” aptly captures the degree of pessimism in the Nigerian economy by investors following the sharp decline in global oil prices and the lingering crisis in the currency market.
With the economy under performing its potential, the oft-repeated investment case for Nigeria has shifted from the resilient economy with unexploited natural/human resources and attractive demographic features to confidence metrics such as, policy consistency, sound governance, regulation and reforms.