Finance Friday- Nigeria Strengthens Regional Influence as Oil Output Rises; Global Policy Shifts and OPEC+ Signals Shape Market Outlook
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Market Overview
Good evening and welcome to today’s market wrap, where Nigeria strengthened its regional financial standing with a permanent African Central Bank board seat, while crude output rose to 1.459mbpd, maintaining its lead in Africa despite quota constraints. The Bank of Industry’s record ₦636billion disbursement, driven by agribusiness, signals stronger industrial expansion as United Nigeria Airlines plans direct U.S. flights. Globally, potential output increases from OPEC+, Russia’s rate cut signals, and shifting trade flows in India may shape oil prices, FX trends, and capital movements into emerging markets like Nigeria.
Nigerian News & Market Update
Nigeria gets AU bank board seat:
Nigeria secured a permanent seat on the Board of the African Central Bank following approval at the African Union Executive Council, strengthening its influence in Africa’s financial integration. - Punch
Nigeria’s crude output rises to 1.459m bpd in January:
Nigeria’s crude oil production rose to 1.459 million bpd in January 2026, remaining Africa’s largest producer but still below its quota set by the Organisation of Petroleum Exporting Countries. - DailyTrust
Agribusiness Gets Lion’s Share as BoI Disburses Record ₦636billion to Drive $1 Trillion GDP Goal:
Bank of Industry disbursed a record ₦636billion in 2025 led by ₦202billion to agribusiness to boost food security, jobs, and industrial growth. The funding supports Nigeria’s push toward a $1trillion GDP by expanding infrastructure, reducing imports, and backing over 7,000 enterprises nationwide. - DailyTimes
United Nigeria To Launch Direct New York Flights By Q2 2026:
United Nigeria Airlines plans to launch direct flights to New York by Q2 2026 as part of its regional and intercontinental expansion. The airline is expanding its fleet with new Airbus A330-200 and Boeing 737-800 aircraft to support routes across Africa, the US, Europe, and the Middle East. - Leadership
Nigeria Sectoral Indices Performance
The table below shows that the Nigerian market closed broadly positive, with the NGX 30 and NSE ASI gaining over 2% as strong buying interest lifted most sectors. Consumer Goods, Oil & Gas, and Banking led performance, while Insurance lagged slightly on a month-to-date basis despite remaining positive year-to-date. Overall momentum remains firm across all major indices, with double-digit gains recorded MTD, QTD, and YTD particularly in Oil & Gas and Premium Board stocks.
Fixed Income (FGN Bonds)
Global News & Market Update
First Gen Corp to acquire 40% stake in Prime Infra’s pumped storage projects:
First Gen Corporation is set to acquire a 40% stake in Prime Infrastructure’s 2,000 MW pumped-storage hydropower projects in Luzon for $1.3 billion, pending regulatory approval. - Reuters
India allows wheat and sugar exports to placate farmers amid US trade deal protests:
India has approved exports of wheat and sugar to support farmers amid protests over a U.S.-India trade deal, while domestic supply conditions improve. - Reuters
India’s Reliance wins US licence for Venezuelan oil:
India's Reliance Industries has received a U.S. licence to directly import Venezuelan oil, helping replace Russian crude and reduce costs. - Reuters
Russia’s central bank signals rates to come down further after surprise 50bp cut:
Russia's central bank cut its key interest rate to 15.5% and signaled further reductions to support the slowing wartime economy. - Reuters
OPEC+ leans towards resumption in oil output increases from April:
OPEC+ is considering resuming oil output increases from April to meet rising seasonal demand and strengthen prices amid U.S.-Iran tensions. The group’s March 1 meeting will discuss production adjustments as Brent crude trades near six-month highs. - Reuters
Indices, Commodities & Currencies
The table below shows that the Global equities delivered a mixed performance, with gains in the Nikkei 225, DAX, and Russell 2000, while the S&P 500 and NASDAQ 100 closed lower; the VIX edged higher, signaling mild volatility. Energy prices softened as WTI and Brent declined, natural gas fell sharply, while precious metals rallied strongly with gold, silver, and platinum posting notable gains. In commodities, cocoa and soybeans weakened, corn and oats advanced, and the U.S. dollar firmed slightly against major peers amid mixed currency movements.
Fixed Income (USA Bonds)
Event
Conclusion
Looking ahead, rising oil production and potential OPEC+ supply adjustments may keep energy markets volatile, directly impacting Nigeria’s fiscal outlook and FX liquidity. Increased development finance and agribusiness investment could support medium-term growth and equity market resilience, particularly in industrial and consumer-linked sectors. However, global rate adjustments, geopolitical energy dynamics, and shifting trade policies will remain key external drivers, meaning investors should watch oil price trends, bond yields, and capital flow movements for directional cues in both fixed income and equities markets.
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