The financial services industry dominated in volume terms at the end of transactions in the equities sector of the Nigerian Stock Exchange (NSE).
It led the activity chart with 1.185 billion shares valued at N15.073billion in 13,728 deals; thus contributing 84.99 per cent to the total equity turnover volume. The consumer goods industry followed with 90.576 million units valued at N7.384billion in 4,687 deals.
The conglomerates ranked third with a turnover of 40.906 million shares worth N87.613million in 796 deals.
Trading in top three equities namely – Access Bank Plc, Zenith International Bank Plc, and Guaranty Trust Bank Plc accounted for 655.596 million shares worth N12.182billion in 4,881 deals, contributing 47.02 per cent to the total equity turnover volume.
Consequently, a turnover of 1.394 shares worth N15.073billion was recorded in 23,133 deals by investors on the floor of the Exchange in contrast to a total of 1.518 billion shares valued at N28.868billion that changed hands in 23,053 during the preceding week.
The NSE All-share index and market capitalisation depreciated by 3.35 per cent to close the week at 36,920.56 and N12.726trillion respectively.
Similarly, all other indices finished lower during the week with the exception of the NSE ASeM Index that closed flat.
About 19 equities appreciated in price during the week, lower than 32 equities of the previous week, while 51 equities depreciated in price, higher than 37 equities of the previous week. Also, 101 equities remained unchanged lower than the 102 equities recorded in the preceding week.
The 2016 Ciuci Consulting Annual Banking Report- What Nigerian Retail Customers Want shows a significant climb for Wema Bank in the perception ranking of the 18 to 24 age group, where they moved from 16th place in 2015 to 7th place. Wema Bank is succeeding in capturing the hearts of the youth as the report shows a strong attraction by this age group as their ranking with them is much higher than the bank’s overall perception ranking of 14th.
What is the “purple branded bank” doing to target this age group and how is it achieving its desired result?
It is only normal to take deliberate steps to achieve a set goal. Driven by the desire to develop an intimate relationship with its customers and “’deepen financial inclusion in line with the Central Bank of Nigeria (CBN) Wema Bank has targeted the Youth”. Femi Olowoyeye, Regional Manager, Wema Bank, Apapa.
The bank has applied a two-pronged strategy to encourage a savings culture and increase access to digital banking. It has a product called the ‘Purple Savings Account’ that allows its customers to open an account with just N1,000, with the account activation done via mobile banking. The bank has partnered with both secondary and tertiary schools to offer quality services and boost the digital banking experience of students. An example of this partnership is the recently concluded orientation program for new students of Lagos State University (LASU), which Wema Bank participated in.
The Ciuci Consulting retail banking data shows the 18 – 24 age group indicated that the products and services they desire most are savings accounts, depositing machines and money transfer services. Wema Bank has chosen to focus on encouraging a savings culture and through its Purple Savings Account features it addresses a major touch point for the Nigerian youth. The data also shows that the convenience and accountability of Internet banking makes it the most preferred transaction channel for the youth. This further supports Wema Bank’s strategy to increase digital channels.
Wema bank has shown that it not only understands what its target customers want but also that they can successfully implement strategies to attract them. The youth are responding to Wema Bank’s products, services and functionality.
The Bank of Industry (BOI) has stated that its disbursement to Micro Small and Medium Enterprises (MSMEs) in the country has hit over N7 billion under its social intervention programmes and Government Enterprise & Empowerment Programme (GEEP) scheme.
According to the bank, efforts are underway to improve interventions as it is imperative to ensure that flow of money and capital reaches the Bottom of the Pyramid (BOP) where over 80 per cent of MSMEs occupy.
Indeed, the Development Finance Institution (DFI) added that it was partnering with microfinance institutions as they play key roles in bridging the financing gap experienced by micro enterprises in the Nigerian economy, noting that the bank is intensifying its efforts by aligning with the MFBs to promote financial inclusion and deepen its activities to achieve economic growth and development.
The Managing Director, BOI, Oulakyode Pitan, during an interactive technical session with MFBs, pointed out that the bank had so far disbursed about N3 billion to over 3,000 micro enterprises under its BOP scheme, adding that the bank has also been mandated by the Federal Government to execute the Government Enterprise & Empowerment Programme (GEEP) where over N4 billion has been disbursed to qualified beneficiaries in the country.
”This is where the micro finance institutions function as enablers to bridging this financing gap. In countries that have vibrant MSME segments, Micro Finance Institutions (MFIs) have been major contributors to reducing poverty levels and increasing the earning powers of micro enterprises. Nigeria is not an exception as the activities of Nigerian MFIs including the licensed MFBs have led to reductions in the country’s number of unbanked adults, ’’he said.
In his words, ‘‘The MFBs here in attendance would have a better understanding of BOI’s position in driving micro enterprise development in Nigeria. We MFBs would better understand BOI’s micro-credit programmes and how they can participate in the execution of these programmes. BOI would recognize the challenges experienced by interested MFBs for the programme and both institutions would have reached common grounds on how to increase the participation of Nigerian MFBs on the BOI programmes.’’
He however stated that there is more work to be done to achieve the Central Bank of Nigeria (CBN) financial inclusion mandate to reduce financial exclusion rate to 20 per cent by 2020, stressing that the DFI is fully keyed into this financial inclusion mandate and has set up structures and processes to achieve the mandate.