The Week Ahead | |||||
Recently, the CBN unveiled its new 100 for 100 PPP – Policy on Production and Productivity. The CBN has moved to support 100 companies that have the greatest potential to achieve significant scale in their local production for domestic consumption and exports. The objectives of the policy are to reduce reliance on imports and drive sustainable employment-led economic growth through increased domestic production and productivity. While the 100 for 100 PPP improves on existing development policies, we believe the policy could drive sector-wide growth and boost employment levels over the medium term. | |||||
Equity: Activity levels dwindled last week, as investors continued to take profit given the bullish sentiment the week before. We expect market to trade mixed in the coming week, with trades in the banking space boosting market activity. | |||||
Fixed Income: In the absence of any significant shift in macroeconomic fundamentals, we expect the bonds market to maintain tepid trading sentiment in the new week. Meanwhile, the T-Bills segment is projected to trade on a muted note as a result of the NTB auction, which is scheduled for this Wednesday. |
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