CAPITALDIGEST DAILYNEWS, 06/07/2026

NNPC REVENUE FALLS BY N636BN DESPITE STABLE OIL PRODUCTION

The Nigerian National Petroleum Company Limited recorded a decline in its financial performance in May 2026, with revenue dropping by nearly 13 per cent to N4.335tn despite maintaining stable crude oil and natural gas production. The national oil company disclosed this in its latest Monthly Report Summary released on Wednesday. According to the report, revenue fell by N636bn from the N4.971tn recorded in April, while profit after tax also declined to N462bn from N481bn in the preceding month. The figures indicate that despite relatively stable production levels, market conditions and operational challenges weighed on the company’s earnings during the month. NNPC said it produced 1.73 million barrels of crude oil and condensate per day in May, while natural gas production stood at 7,774 million standard cubic feet per day. The report also showed that upstream pipeline availability remained high at 98 per cent, while the availability of Premium Motor Spirit at NNPC Retail Limited stations stood at 57 per cent during the period under review. The company said it had continued to intensify efforts to tackle operational bottlenecks affecting production. It stated, “The company is intensifying efforts to address performance issues, declining reservoir pressure, lifting constraints, maintenance-related shutdowns, and facility reliability challenges. These measures are expected to reduce production deferments, improve asset availability, and boost overall output.” The report further showed that NNPC made statutory payments of N4.858tn to the Federation between January and May 2026, underlining its position as one of the country’s biggest revenue contributors. On strategic gas infrastructure, the company said significant progress was recorded on two critical projects expected to boost domestic gas supply and support industrialisation. According to the report, the Ajaokuta-Kaduna-Kano Gas Pipeline has reached 94 per cent completion, with construction, installation and pre-commissioning activities advancing steadily. NNPC said the project was on course to begin delivering gas to Abuja later this year. It added that the OB3 River Niger Crossing project had reached 97 per cent completion. The company stated, “Post-pullback pre-commissioning and tie-in activities are progressing towards the target of fully commissioning the pipeline section by the end of the third quarter of 2026.” The report noted that the company remained focused on improving operational efficiency, strengthening production reliability, and executing strategic initiatives across its businesses. NNPC, however, stressed that all operational and financial figures contained in the report were provisional and remained subject to reconciliation with relevant stakeholders. Beyond its core oil and gas business, the company highlighted a major healthcare intervention undertaken through the NNPC Foundation. The report stated that on May 15, the foundation commissioned and handed over a state-of-the-art 1.5 Tesla Magnetic Resonance Imaging system to the Nnamdi Azikiwe University Teaching Hospital, Nnewi, Anambra State. According to the company, the facility also received chillers, an uninterruptible power supply system, battery racks, and backup power facilities. NNPC disclosed that before the commissioning, no fewer than 40 patients benefited from free MRI scans under a training programme organised by General Electric for radiologists and radiographers at the hospital. The company said the equipment had already begun expanding access to advanced diagnostic services in the South-East. It stated, “The MRI system is reducing the need for patient referrals outside the region, supporting earlier disease detection and strengthening specialist healthcare delivery in the South-East.” NNPC described the donation as part of its broader commitment to supporting national development and improving access to quality healthcare. The monthly report forms part of the company’s transparency initiative through which it provides updates on its production activities, financial performance, infrastructure projects, and statutory contributions to the Federation. The latest figures come as the Federal Government and industry stakeholders continue efforts to raise Nigeria’s crude oil production to more than two million barrels per day and leverage the country’s vast gas resources to drive industrialisation, power generation and economic growth. The AKK and OB3 pipelines are among the flagship gas projects expected to deepen domestic gas utilisation, improve energy security and support the Federal Government’s Decade of Gas programme aimed at transforming Nigeria into a gas-powered economy.

W’BANK APPROVES $1.25BN NIGERIA LOAN DESPITE DEBT CONCERNS

The World Bank has approved a $1.25bn loan for Nigeria under its Nigeria Actions for Investment and Jobs Acceleration programme, despite recent public backlash over the country’s rising debt burden and calls by many Nigerians for the lender to halt further borrowing. The approval was announced in a statement issued by the World Bank on Wednesday, alongside the launch of a new Country Partnership Framework for Nigeria covering 2026 to 2032. The bank said the new framework would guide its support for Nigeria over the next six years, with a focus on creating jobs by unlocking private sector-led growth. “The World Bank Group has endorsed a new Country Partnership Framework for Nigeria spanning 2026-2032, setting out a strategy to create more and better jobs at scale by unlocking private sector-led growth,” the statement read. It added that the bank had “also approved the Nigeria Actions for Investment and Jobs Acceleration Development Policy Financing operation, which supports Nigeria’s transition toward a more inclusive growth model that spurs growth and creates jobs.” The approval comes weeks after many Nigerians criticised the proposed loan on social media, arguing that the country’s growing external debt had not translated into improved living standards. The backlash began after The PUNCH exclusively reported that the Federal Government stepped up engagement with the World Bank for a fresh $1.25bn loan to support economic reforms, job creation and competitiveness.  According to the statement issued on Wednesday, the Country Partnership Framework builds on Nigeria’s recent macroeconomic reforms, which it said had delivered stronger economic growth, higher government revenues, increased external reserves and improved investor confidence. The framework seeks to expand electricity access to 32 million Nigerians, provide broadband connectivity to 58 million people, improve health and nutrition services for 40 million citizens, and support 9.5 million farmers. It also aims to strengthen human capital, boost agricultural productivity, and expand access to energy and digital infrastructure. In the statement, the World Bank Country Director for Nigeria, Mathew Verghis, said the institution’s strategy would focus on helping Nigeria convert recent macroeconomic gains into better living standards. “Our new Country Partnership Framework provides the strategy for how the World Bank Group will support Nigeria over the coming years, with a strong focus on helping to create more and better jobs, particularly by enabling private sector-led growth,” Verghis said. He added, “The recent macroeconomic gains have been critical to help stabilise the economy. Translating improved macroeconomic conditions into better living standards will require addressing the structural constraints to spur private sector investment and job creation.” The statement said the $1.25bn financing would support reforms aimed at strengthening the foundations for growth and competitiveness. It listed the reforms to include deepening capital markets, modernising the regulatory framework for the digital economy and e-governance, advancing power sector reforms to accelerate electrification, lowering trade barriers in line with Nigeria’s commitments under the Economic Community of West African States and the African Continental Free Trade Area, improving access to quality agricultural seeds and strengthening domestic revenue mobilisation. The statement read, “The NAIJA DPF operation, which amounts to $1.25bn, supports a set of Government reforms to strengthen the foundations for growth and competitiveness. “These include deepening capital markets, modernizing the regulatory framework for the digital economy and e-governance, advancing power sector reforms to accelerate electrification, lowering trade barriers in line with Nigeria’s ECOWAS and AfCFTA commitments to help ease price pressures, improving access to quality agricultural seeds, and strengthening domestic revenue mobilization.” The bank said the operation formed part of its broader support for Nigeria through policy reforms, investments and financing in energy, digital infrastructure, agriculture, private sector development and social protection to promote job creation, economic resilience and poverty reduction. The International Finance Corporation Divisional Director for Nigeria, Dahlia Khalifa, said Nigeria’s reform programme had created opportunities to attract more private investment. “Nigeria’s long-term growth potential will be shaped by the economy’s ability to attract investment, raise productivity, and unleash private sector job creation, building on the capital of a rapidly growing population,” she said. Khalifa added that the World Bank Group would work with Nigeria to unlock private investment, expand access to infrastructure and essential services, and create conditions for businesses to innovate and compete. Also, the Vice-President and Chief Financial Officer of the Multilateral Investment Guarantee Agency, Ed Mountfield, said although Nigeria’s reforms had opened new opportunities for investors, risks remained. Nigeria’s reform progress is creating important opportunities for private investment, but risks remain for investors. MIGA’s role is to help manage these risks through guarantees and political risk insurance so that investors can step in with confidence,” he said. He added that the World Bank Group Guarantee Platform would expand support for priority sectors such as infrastructure and financial services to help unlock investment, jobs and economic growth. The approved loan is the second-largest single World Bank facility secured under President Bola Tinubu, behind only the $1.5bn Reforms for Economic Stabilisation to Enable Transformation Development Policy Financing approved in June 2024. The PUNCH recently reported that Nigeria’s debt to the World Bank rose by $2.08bn in one year to $19.89bn as of December 31, 2025, according to an analysis of external debt stock data released by the Debt Management Office. The figure represents an 11.7 per cent increase from the $17.81bn owed to the global lender as of December 31, 2024. The World Bank debt comprises loans from the International Development Association and the International Bank for Reconstruction and Development. The IDA provides concessional grants and loans to low-income countries, while the IBRD provides financial products and policy advice mainly to middle-income and creditworthy developing countries. DMO data showed that Nigeria’s IDA debt rose from $16.56bn in 2024 to $18.51bn in 2025, an increase of $1.94bn or 11.73 per cent. IBRD exposure also increased from $1.24bn to $1.38bn, representing an increase of $141.84m or 11.41 per cent. The increase means World Bank loans accounted for 38.36 per cent of Nigeria’s total external debt stock of $51.86bn as of the end of 2025.

SEC EXPANDS CRYPTO OVERSIGHT WITH SEVEN NEW FIRMS

The Securities and Exchange Commission has admitted seven digital asset companies into its Accelerated Regulatory Incubation Programme, a framework designed to bring crypto and blockchain operators under formal oversight without immediately granting full operating licences. The incubation model allows Nigeria’s capital market regulator to test these operators in real market conditions before deciding on full authorisation, the digital asset watchdog said on its website on Friday. The commission revealed that the firms had been granted approval in principle, enabling them to operate within defined limits while undergoing assessment for compliance with regulatory, governance and risk management standards. The companies admitted into the programme are Bitbarter Technologies Limited, Luno Fintech Nigeria Limited, GetEquity Limited, Koinkoin Global Network Limited, Wrapped CBDC Ltd, Trovotech Ltd and Blockvault Custodian Ltd. The SEC said the incubation scheme forms part of its broader effort to formalise Nigeria’s fast-growing digital asset sector, which has expanded despite periods of regulatory uncertainty and previous restrictions on financial institutions’ exposure to cryptocurrencies. Under ARIP, participating firms are allowed to operate in a supervised environment while the regulator evaluates their operations, including asset custody practices and safeguards against fraud, market abuse and operational failures. “These entities would receive the Commission’s approval-in-principle, permitting them to operate within the defined scope of the Programme and subject to conditions stipulated by the Commission. An approval-in-principle confirms that an entity has satisfied the Commission’s admission requirements for the Programme,” the regulator said. The commission stressed that approval-in-principle does not constitute a full licence and should not be interpreted as regulatory endorsement. Final authorisation will depend on firms meeting additional conditions during the incubation process. The latest admissions build on the SEC’s earlier inclusion of Quidax and Busha in August 2024, signalling a continued push to establish a structured licensing pathway for digital asset service providers in Nigeria. The regulator said it remains committed to supporting innovation that enhances efficiency, transparency, financial inclusion and sustainable growth in the capital market. “Through initiatives such as ARIP, the SEC continues to encourage responsible technological advancement alongside investor protection guardrails and market discipline,” it said. “Members of the investing public are strongly advised to verify the regulatory status of anyone promoting investment products or services through the Commission’s official channels before engaging.”Nigeria’s tightening of oversight in the crypto sector follows the exit of Binance from the country, a development widely seen as a turning point in enforcement actions against digital asset platforms. Authorities had previously accused Binance of contributing to pressure on the naira, allegations that intensified scrutiny of crypto trading activity and accelerated regulatory reforms. Since then, regulators have moved to strengthen oversight through stricter registration requirements, re-registration of operators, and tighter licensing conditions aimed at bringing all market participants under formal supervision.

EQUITIES MARKET SHEDS N2.39TN IN JULY OPENING SESSION

The Nigerian equities market resumed its bearish trend to open trading activities for the month of July, as sustained selling pressure weighed on investor sentiment. The All-Share Index lost 3,729.11 points, representing a decline of 1.63 per cent to close at 225,690.07 points. Similarly, market capitalisation shed N2.393tn to close at N144.825tn. The decline was driven by price depreciation in large and medium-capitalised stocks, including Aradel Holdings, Dangote Cement, NASCON Allied Industries, Zenith Bank, and Guaranty Trust Holding Company. Market breadth remained negative, with 28 gainers against 33 decliners. Austin Laz & Company emerged as the highest price gainer with a 10 per cent appreciation to close at N3.30 per share. Guinea Insurance followed with a gain of 9.89 per cent to close at N1.00, while Abbey Mortgage Bank advanced 9.66 per cent to close at N7.95 per share. Daar Communications appreciated 9.60 per cent to close at N1.37, while Regency Alliance Insurance rose 9.52 per cent to close at 92 kobo. On the losers’ chart, McNichols, Neimeth International Pharmaceuticals, and Aradel Holdings led to 10 per cent each to close at N7.65, N8.10, and N1,275.80 per share, respectively. NASCON Allied Industries followed with a decline of 9.98 per cent to close at N197.60, while International Breweries shed 9.52 per cent to close at N9.50 per share. Meanwhile, the total volume traded declined 54.7 per cent to 437.60 million units, valued at N12.73bn, exchanged in 45,068 deals. Transactions in the shares of Sterling Financial Holdings Company led the activity chart with 124.618 million shares worth N980.635m. UPDC followed with 40.091 million shares valued at N130.365m, while Access Holdings traded 36.844 million shares valued at N811.552m. Honeywell Flour Mills traded 33.775 million shares worth N490.085m, while United Capital traded 28.347 million shares worth N469.144m.

CBN ISSUES FRESH GUIDANCE ON TROUBLED BANKS’ CONTRACT SUSPENSIONS

The Central Bank of Nigeria has issued interpretative guidance clarifying the practical application of Sections 34(2)(b) and 40(2) of the Banks and Other Financial Institutions Act, 2020, setting a maximum period of two business days for the suspension of certain contractual obligations during the resolution of failing banks. The clarification was contained in a circular issued on Wednesday by the Acting Director of the Financial Markets Department, Okey Umeano, who said the guidance takes immediate effect. According to the apex bank, the absence of a clearly defined maximum duration for the exercise of its powers under the two BOFIA provisions had created uncertainty for banks, financial institutions, and their counterparties in relation to financial contracts. The circular stated, “The Central Bank of Nigeria has observed that the absence of a defined maximum duration period pursuant to the exercise of its powers under Sections 34(2)(b) and 40(2) of the Banks and Other Financial Institutions Act, 2020 has created some uncertainty for counterparties dealing with Nigerian banks and other financial institutions in respect of financial contracts.” It added that the uncertainty had the potential to impede the effective management of commercial risk. To address this, the CBN said the circular provides interpretative and operational guidance on how it will exercise the powers conferred on the Governor under the relevant provisions of BOFIA. The guidance applies to banks, other financial institutions, and counterparties to what the CBN described as “Affected Contracts,” defined as contracts to which a bank or other financial institution is a party and which fall within the scope of Sections 34(2)(b) or 40(2) of BOFIA.Under the new guidance, the CBN said any suspension of payment or delivery obligations under an affected contract involving a failing bank pursuant to Section 34(2)(b), as well as any suspension of termination rights under contracts covered by Section 40(2), “shall not exceed a period of two business days commencing from the date on which the written order or notice of suspension is issued by the CBN Governor.” The clarification relates to two key provisions of BOFIA 2020 that underpin the CBN’s bank resolution framework. Section 34(2)(b) empowers the apex bank to facilitate the acquisition of a failing bank by one or more banks as part of efforts to preserve financial stability, while Section 40(2) allows the CBN Governor, where a banking licence has been revoked and it is considered to be in the public interest, to direct the commencement of resolution actions, including the temporary suspension of certain contractual termination rights. By introducing a two-business-day limit, the CBN has clarified that any suspension arising from the exercise of these powers will be temporary, providing greater certainty for market participants and counterparties to financial contracts. The circular comes as the apex bank revoked the licences of 46 inactive, insolvent, or non-operational microfinance banks, citing its powers under BOFIA. While the latest guidance is not linked to any specific institution, it provides greater clarity on how contractual obligations will be treated whenever the CBN exercises its statutory resolution powers over troubled banks. The CBN said the guidance was issued pursuant to the powers granted to the Governor under Section 56 of BOFIA and Section 33(1)(b) of the Central Bank of Nigeria Act, 2007, and took immediate effect on July 1.